AHMEDABAD
Chinese lamps and strings of light, that used to light up homes, now have few takers in Ahmedabad's market. Depreciation of the Rupee and overall economic slowdown are the major factors contributing to this trend. Part of it is also because of an aversion towards Chinese products, say traders at Gandhi Road.
Chinese lamps and strings of light, that used to light up homes, now have few takers in Ahmedabad's market. Depreciation of the Rupee and overall economic slowdown are the major factors contributing to this trend. Part of it is also because of an aversion towards Chinese products, say traders at Gandhi Road.
"Earlier, 80 per cent of all products sold were Chinese. Now the ratio of Chinese products to local products is 50:50," says Jaiprakash Mulchandani, secretary of Gandhi Road Vepari Mahajan. Major Chinese products for Diwali include electrical lamps that look like traditional lamps.
"Strengthening of the Dollar against Rupee has made imports dearer. Who will buy costlier products? Moreover, the demand for Diwali shopping is less," said Mulchandani.
Due to protests against China-made products, traders are reluctant to stock slow-moving products. "These are seasonal products. We have to preserve unsold inventory till the next season. Why risk investments?" says Mulchandani.
Their place is taken by lamps and lights made in Ahmedabad and other parts of the country. Mulchandani says local manufacturers produce quality products, but do not have government support. In China, the government incentivises production and exports.
Shailesh Patwari, former vice-president of Gujarat Chamber of Commerce and Industry, who led the protests against sale of Chinese products, welcomed the trend. He's grouse is that China supports Pakistan against India and abets its terrorist activities. "Why should we support the economy of a country which is bent upon harming the interests of out nation?" he says.
Overall, traders blame a slowdown in demand for the lacklustre festivities.
Dilip Ramsinghani, who supplies electrical items, including those used for Diwali decorations, told DNA that until about few years ago, he used to stock cartons of materials. Now he does not keep an inventory.
Prakash Shah, another trader on Gandhi Road, says the drought has dented the demand from the rural sector. Earlier, demonetisation affected purchasing power, he said.