Traders’ body the Apparel and Handloom Exporters’ Association representing around 400 micro, small and medium enterprises in the state on Sunday said the ongoing lockdown has caused a cascading effect on the deliveries of goods committed till September.
According to a PTI report: The Association’s honorary secretary Nishanth Jain said the workforce was largely affected due to the 12-day lockdown imposed in Chennai and neighbouring districts.
He requested the state government not to further extend the lockdown which ends on June 30 as traders were unable to serve their clients.
The apparel and handloom export companies employ about 1.50 lakh workers with 90 percent of them comprising women.
Due to the ongoing lockdown they do not have any other source of livelihood, he said in a statement shared with PTI.
He noted the industry was already facing huge losses due to order cancellations by companies following the lockdown from March till May.
The goods that were made by the companies have to be exported between June and September and if the companies did not make proper deliveries to the overseas clients on time, the companies may tend to cancel the orders, he said.
Expressing concern that the overseas clients may shift to companies operating in China, Bangladesh, Vietnam, Sri Lanka, he said, “once the clients move out to other nations, it will be extremely difficult to bring them back…”
The ongoing 12-day lockdown would have a ‘cascading effect’ on the deliveries of goods that were already committed for July, August and September, he said.
With the state capital recording high number of COVID-19 cases among districts, the government had announced lockdown since June 19 in Chennai, Madurai, parts of Chengalpet, Kancheepuram and Tiruvallur districts till June 30 without relaxations that were available previously.