: Clothing body CMAI appeals to Maharashtra govt to avoid reimposition of lockdown #FinanceIndia #StockMarketNEWS Clothing body CMAI appeals to Maharashtra govt to avoid re-imposition of lockdown Mumbai,
@stockMarketNEWS Mon 19 Apr, 2021
Clothing body CMAI appeals to Maharashtra govt to avoid reimposition of lockdown #FinanceIndia #StockMarketNEWS
Clothing body CMAI appeals to Maharashtra govt to avoid re-imposition of lockdown Mumbai, Apr 13 (KNN) Fearing that another lockdown would completely kill the garment industry in the state, the Clothing Manufacturers Association of India (CMAI), has appealed to the Maharashtra government to avoid re-imposition of lockdown and look for other alternatives to contain COVID-19.
"It is with a growing sense of unease that we are once again reading reports of the increasing number of COVID-19 cases in Maharashtra, and Mumbai in particular. Undoubtedly, this is a matter of great concern, and we compliment the Maharashtra government for taking immediate and necessary steps to control the further spread of COVID-19. However, it is also disturbing to hear reports about the government contemplating reintroducing lockdowns as a means to control the virus," CMAI president Rajesh Masand said in a statement on Tuesday.
Whilst it is essential to achieve the objective of controlling the spread, Masand urged that it is equally critical not to allow the economic recovery to once again collapse by shutting down the factories, which are the lifeline of the state.
Masand further stated that the garment industry has been particularly severely hit by the pandemic last year – as retail, which is the lifeline of the garment industry, was one of the last sectors to be opened up. It has taken the industry close to a year to regain at least some semblance of pre- COVID business levels.
"Even now the industry, unlike many others, has just about touched 70 per cent of pre-COVID levels. To go into another lockdown will completely kill the garment industry of Maharashtra," the CMAI release said.
Masand also reiterated that there are 18,000 Garment Factories in Maharashtra, 10,000 of which are in Mumbai. The Garment Industry employs 1. 3 million people in Maharashtra, and of these, 6 lakh workers are employed in Mumbai itself.
The Garment Industry is spread all over India, and it will not take too long for Buyers to move to Factories outside Maharashtra if production is not available in Maharashtra. As it is, manufacturing in some of the other States is less expensive due to lower cost of Production. The current GST regime also enables Buyers of Maharashtra to buy from outside easily and cheaper, Masand added.
He said that it will also be impossible to get all the workers back once they have gone back to their hometowns – making the restarting of factories all the more difficult adding, Shutting down of factories will impact not only workers from outside the State but also the local workers.
Considering these factors, Masand urged the government to not look at re-imposing a lockdown as an option.