LUCKNOW, March 28 -- The ongoing conflict in West Asia is posing severe challenges for Micro, Small, and Medium Enterprises (MSMEs) in Uttar Pradesh due to disruption of global trade dynamics impacting operations, finances and raw material supply.

The MSME units across various sectors have reported sharp increases in raw material prices across multiple commodities. With more than 9.6 million (96 lakh) MSME units in the state, the impact of the war is widespread.

"Recent hikes in prices of aluminium, ferrous and non-ferrous metals need to be regulated. It is affecting the machinery and building material manufacturing industries and increasing overall project and production costs," said Dinesh Goyal, national president of the Indian Indus...