new delhi, May 11 -- India's goods and equipment manufacturing industry, largely concentrated in Punjab's Jalandhar and Uttar Pradesh's Meerut, is facing mounting cost pressures as the US-Iran war pushes up prices of petrochemical-based raw materials. Manufacturers, suppliers, and experts say prices of key raw materials, including polyester used in sports apparel, plastics and composites used in lightweight rackets, helmets, and hockey sticks, and rubber used in shoes, balls, and other inflatables, have increased sharply. The price of HDPE (high-density polyethylene), a polymer, has increased to as high as Rs.160 per kilogramme now from Rs.96-100 per kg before the war, said Ravinder Dhir, chairman of the Khel Udyog Sangh Punjab, a group representing sports goods manufacturers in the region. The price of rubber has risen to Rs.235 per kg from Rs.180 per kg, and of zinc to Rs.310 per kg from Rs.225 per kg, added Dhir, who also runs his own sports equipment supply business. As a consequence, manufacturers have seen margins come under pressure during the April-June season, when demand in the domestic market dominates order books. While some cricket equipment manufacturers have remained largely insulated, others said they are keeping inventory levels low and that order books are drying up. "Amid rising petroleum product prices, manufacturers are producing strictly according to demand and keeping inventory levels low. Retailers, too, are placing orders only as required instead of maintaining large stocks," said Sanjay Kohli, proprietor of BAS (Beat All Sports), a Jalandhar-based cricket bat and accessories maker. Manufacturers, particularly small and medium enterprises clustered in hubs such as Jalandhar and Meerut, are struggling to absorb rising costs. Many units operate on thin margins and are now being forced to either cut production or pass on the price increase to consumers. "The April-June period sees the highest demand from domestic buyers, but this year, increasing input costs have hit the supply. The demand is there, but manufacturers across board are finding it difficult to supply it," said Dhir....