Carpet hub in east UP stares at heavy losses
VARANASI: Sars-Cov-2 outbreak has not only hit human health but also that of industries and businesses. The Indian floorcovering industry, including the carpet manufacturing hub in and around Bhadohi in eastern UP, is staring at heavy losses since around 40 per cent international orders have been cancelled and the rest are on hold at the ports for shipment.
The carpet industry provides employment to 20 lakh people (2 million) nationwide. However, the two million workers, including mostly weavers, are without work because carpet manufacturing has been halted due to the nationwide lockdown to prevent the spread of coronavirus.
India exports carpets worth about Rs 12,000 crore annually. This includes carpet export worth about Rs 7,000 crore from Bhadohi every year.
Carpet Export Promotion Council (CEPC) chairman Siddharthnath Singh said, “India exports carpets worth about Rs 12,000 crore annually, of which carpets worth about Rs 7000 crore are exported from Bhadohi and adjoining areas. More than 40 percent orders, which were placed during the past six months, were cancelled by the international buyers due to uncertainty in the international market.
“Around 60 per cent orders are on hold. Of these around 40 per cent are at the ports for shipment and 20 per cent are held up due to lack of means of transportation. Uncertainty looms large over these orders too.” Singh said nobody knew what would be the fate of the carpet industry that provides employment to around 20 lakh people in the country. He said the United States was the biggest buyer of Indian carpets and European countries the second largest.
India’s total annual carpet export included 55 per cent to USA, 25 per cent to European countries and 20 per cent to the rest of the world. Corona virus wreaked havoc in the USA and several European countries like Italy, Spain, Germany and France among others.
Even if the manufacturers started production of the carpets, it would be difficult to get export orders from the USA and Italy, Germany, France and Spain among others, Singh added.
He said the government should come forward to help this industry through exporters or else it would collapse. This industry provided employment to the people largely in rural pockets of Mirzapur, Bhadohi and Varanasi, where a large number of women wove the carpets, he said.
The Bhadohi District administration held a meeting with the carpet manufacturers and members of All India Carpet Manufacturers Association (AICMA) and CEPC on April 20 and gave them permission with certain conditions to open the carpet factories from April 21.
Deputy commissioner industries, Bhadohi, Harendra Pratap Singh said, “A meeting was held with the carpet manufacturers and owners of carpet factories on Monday. They were apprised of the guidelines and instructions required to be followed by them. They have been allowed to open the factories with certain conditions as per instructions from the government. The carpet factory owners and the carpet manufacturers will have to ensure the screening of the workers and will also provide mask to each worker.”