New Delhi, Oct. 29 -- New Delhi: A sharp rise in polymer prices, a key input for plastics used in products ranging from kitchen containers and water pipes to car parts and electronics, along with higher shipping costs since late February, is squeezing margins for India's small businesses and threatening to push up consumer prices.

Margins of micro, small and medium enterprises (MSMEs) that use polymers to make finished products have halved, while rising prices of crude oil from which polymers are made have strained their working capital since the West Asia war began on 28 February, according to four industry and company executives.

Brent crude prices are hovering around $114 a barrel, up from $72 when the war began, driving a 16-41% yea...