3L small merchants severely hit

Thiruvananthapuram: At least three lakh small-scale retail merchants in the state are facing serious threat to their businesses, including imminent closure of their establishments, according to an analysis by Kerala Vyapari Vyavasayi Ekopana Samithi (KVVES). The Samithi also demanded immediate intervention of the state and central governments and announce adequate financial packages.
Meanwhile, Union minister of state for external affairs V Muraleedharan has promised maximum support with the involvement of all Union ministries concerned to find solutions to problems faced by the commerce and industries sectors in the state affected by the lockdown.
Citing national figures, which estimated a loss of Rs 6.3 lakh crore due to lockdown over 42 days in the trade and commerce sector and possible exit of 20% retail merchants from business in the country, the KVVES pointed out that around 3 lakh retail merchants in Kerala too will be left with no other option but to close down their establishments.
“The situation in the sector is already grim due to Covid-19 pandemic and the state would witness suicides by the debt-ridden merchants soon if the central and state governments still remain reluctant in making fruitful interventions,” said a release issued by the KVVES here on Thursday. The retail sector in the country has suffered irreparable damage due to Covid-19, the release said.
The KVVES also criticized the central and state governments for issuing ‘contradictory circulars’ on a daily basis ‘without any coordination’, thus causing difficulty for both traders and public, and affecting trade. “The moratorium on loans already announced is a gimmick. The government should announce a temporary waiver of six monthly instalments on loans and a moratorium on loans for another six months,” the Samithi demanded.
The organization also said that it has submitted a memorandum to the chief minister, state finance minister and the cooperation minister to disburse interest-free loans to retail merchants through Kerala Bank, cooperative banks and other financial institutions under the government’s control.
Addressing a video conference attended by industrialists and traders, Muraleedharan called for a mutual understanding and cooperation between the governments and noted industrialists to revive the economy affected by the pandemic. “Though Centre has its limitations in solving several issues in Kerala, it can give support in many areas. The issues which have solutions will be brought to the attention of the Union ministries concerned,” the minister said.