Since last year, affected by the new crown pneumonia epidemic, Indian manufacturing companies have struggled to survive. The second wave of the epidemic this year has made the operations of many companies even worse.
On May 31, the New Delhi City Government agreed to restart manufacturing activities. A shoe factory has been here for 13 years. In the past year or so, due to the new crown pneumonia epidemic, the factory has almost no business, but it has to bear the rent, water and electricity, and staff salary every month, and lose a lot of money.
Dalal, the head of the shoe factory, said: "This is the first time I have encountered a situation where there is no work to do and no money to pay workers. Although workers cannot be paid full wages, they can at least fill their stomachs. ."
It is reported that the operation of the factory is currently in a semi-stop state. Because the market is weak, the supply of raw materials is insufficient, and many workers return to their hometowns, skilled workers cannot be recruited. All this makes the goal of resuming production difficult.
"Now there are only about 30% of the workers in the factory and 20-25 people work. Our factory used to have 70 to 75 workers working. Raw materials are no longer available, and the trading market is closed. What can we do? "
Although the Indian government has introduced various policies to help small, medium and micro enterprises tide over difficulties in terms of loans and taxes, Dalal said that he has not received any help from the government so far. In fact, the status of this shoe factory run by Dalal is not a minority in India.
The latest survey by the Federation of Indian Chambers of Commerce and Industry shows that the overall manufacturing industry in India is very depressed. The business confidence index has fallen from the previous 74.2 to 51.5. The survey report shows that the decline of people's desire for consumption, insufficient supply of raw materials, and labor shortage have greatly affected the pace of recovery of the manufacturing industry. Affected by the second wave of the new crown pneumonia epidemic, more than 10 million people were unemployed in India from April to May alone. The survey shows that people in the Indian industry generally pin their hopes for economic recovery on the realization of the new crown pneumonia vaccination in India by the end of the year.