Login ID:
Partner Login
Contact Us : 7066511911

Lockdown Impact: Absence Of Workers Leaves Cotton Mills High & Dry

24 Apr 2020 3:11 pm
 Comments 0 Comments  |  Comments Post Comment  |  Font Size A A A 

Mumbai (Commodities Control) – “Even if the lockdown is fully lifted, it will take much longer for the mills to operate with full capacity, as our migrant workers have left for their respective hometowns/villages, says Suresh Anand Kumar, Deputy Secretary General- Southern India Mills’ Association (SIMA).

In conversation with commoditiescontrol.com, Suresh Kumar of SIMA revealed that nearly they 50-60% of their workforce comprises of migrant workers, who were forced to leave for their homes amid lockdown and trade restrictions.

“We do not know when they (migrant workers) will be back. So even if start operating we will need to rely on the labours available locally”, explains Dy Secy General SIMA.

The unprecedented situation created by Covid–19 pandemic and lockdown announced by both the Union and state governments from March 24 has led to severe disruptions affecting the economy and impacting people at large and the MSME spinning mills.

Nationwide lockdown, closing of borders between districts and states has affected the highly labour, capital- intensive textile spinning sector and has affected the revenue of the entire textile value chain.

Cotton Association of India (CAI) has written to the Prime Ministers’ Office (PMO) and the ministries of Textiles, and Agriculture and Farmers’ Welfare seeking assistance and support for the cotton ginning and pressing factories.

Trade will most likely take much longer to be back on its feet as lockdown has led to severe demand destruction.

K Selvaraju, Secretary General, Southern India Mills’ Association, said, “Usually, the mill consumption is about 25-27 lakh bales per month. Due to lockdown it has become zero. Also, there are no takers as well. There is no clarity about when operations will resume, so going ahead we may end up with huge carryover stock.”

CCI has upped its discount on last seasons’ cotton stock by nearly 2.5 times upto Rs 10,000/Candy for the period of 20th-30th April 2020. However millers/traders are unsure if they should avail to this offer in the absence of labours and pandemic-hit demand.

(Commodities Control Bureau)

  Rate this story 1 out of 52 out of 53 out of 54 out of 55 out of 5 Rated

   Post comment
Comment :

Note : This forum is moderated. We reserve the right to not publish and/or edit the comment on the site, if the comment is offensive, contains inappropriate data or violates our editorial policy.
Name :  
Email :  

Top | Post Comment  

Latest Special Reports
Weekly: ICE Cotton Seen Moving Northwards Amid Lower Cr...
Weekly: ICE Cotton Range Bound; Eyes on Technical Break...
Weekly: ICE Cotton Rises 3% on Export Sales, U.S. Crop ...
Weekly: ICE Cotton Drops Over 3% On Demand Concerns; Do...
Top 5 News
USD/INR (Jul 20) Counter-trend Bounce / Key Resistan...
USD/INR (Jul 20) Counter-trend Bounce / Key Resistan...
USD/INR (Jul 20) Weak Price Trend / More Downside Pr...
USD/INR (Jul 20) Bearish Breakout from a Descending ...
CBoT Soybean Reaches 4-Months High on Dry, Hot U.S. Wea...
Top 5 Market Commentary
Indian soybean meal export dips to 5.73 lakh tons
Turmeric Trades Steady In Major Sport Markets
Red Chili Trades weak in Warangal
Jeera Trades Steady In Spot; Sharply Up In Futures
Chana Declines At Selective Spot Markets
Copyright © CC Commodity Info Services LLP. All rights reserved.