Truckers' strike hits auto, FMCG, textiles, e-comm sectors

Press Trust of India  |  Mumbai 

The nationwide truckers' strike, which entered the eighth day today, has impacted industries such as e-commerce, FMCG and automobile, besides hitting the supply of cotton, grains and spices.

said the strike has affected its product deliveries in some cities.

"Owing to the ongoing difficulties caused by the strike, the delivery of products in a few cities has been impacted and we are working closely with these customers to get their orders to them quickly," its said.

Flipkart, however, declined to comment on the issue.

FMCG India's - operations, Sharukh Khan, said the company had put in place appropriate measures and ensured adequate inventories to meet the demand in anticipation of the strike.

"However, if the strike continues, the entire industry would be staring at supply disruptions," he warned.

Vinay Singh Kushwaha, vice-- supply chain, said the prolonged strike has adversely impacted both inbound and outbound stock movements.

"This has resulted in a complete slow-down of sales over the last few days. The situation is getting out of hand and need a quick resolution," he added.

Kushwaha said the strike has also resulted in factory stoppages in some locations leading to idle manpower and associated issues, and warned that if the situation does not improve, "we will have irreversible losses".

Industry body today said the strike has already caused direct and indirect estimated loss worth over Rs 50,000 crore to the economy, with micro, small and medium enterprises (MSMEs) being worst affected.

Automobile industry body SIAM today said companies have had to adjust production as the strike affected both parts supplies and distribution of vehicles.

"Our members are facing unprecedented crisis as it is affecting the movement of vehicles and components supply because of the strike," Society of Indian Automobile Manufacturers (SIAM) said in a statement today.

(Texprocil) said the transport strike has started adversely affecting textiles exports.

"There is sharp disruption in the movement of raw materials to the factories and finished goods to the ports for exports," he added.

Lahoti said there are strict shipment schedules given by the foreign buyers for exports and many of the textiles exporters will miss these schedules which may result in the loss of export orders.

(CAI) Atul Ganatra said ginning factories are on the verse of closing down because of the lack of raw material.

"The traders are not able to move the cotton sold and in turn all payments are stuck up due to non-movement of yarn," said Ganatra.

Anil Chavan, secretary, Market Committee, Mumbai, said the grains and spices market were affected due to the transport strike, with only 12 trucks and tempos of spices and 145 trucks and tempos of grains arriving at the mandi today till 4 pm, compared with 193 for spices and 308 for grains on July 20.

Similarly, in vegetables, 612 trucks and tempos arrived in the mandi today, compared with 636 on July 20.

However, Chavan said fruits and vegetables supply remained unaffected during the strike.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Fri, July 27 2018. 19:15 IST