The restriction on textile businesses and stopping production at powerlooms and lack of orders from other places has led to stagnation of rayon fabric worth ₹50 crore.
There are over 30,000 powerlooms in the district and due to the recent restrictions to prevent the spread of COVID-19 disease, shops in and around Gani market was closed and this has affected business in the region.
President of Erode Gani Market Weekly Market Traders’ Association P. Selvaraj, said that business has been severely affected due to the closure of shops in and around the market. He said that traders from different parts of the country used to visit the place for trade and their numbers have been dwindling for the past 10 days. Mr. Selvaraj said that trade close to ₹5 crore has been affected due to this.
Convener of Erode Powerloom Owners’ Association P. Kandhavel said that wholesale textile markets in North India has been shut to prevent spread of COVID-19 and due to this ₹50 crore worth rayon fabric produced at various units here are stagnating at godowns. He added that those who purchased products earlier are yet to make payments and this has affected their payments to labourers and purchase of raw materials for production.
Source: www.thehindu.com