New Delhi: Exporters body for carpet sector CEPC has sought a special incentive package from the government as the labour intensive sector is facing huge problem due to the lockdown and coronavirus pandemic.
Carpet Export Promotion Council (CEPC) Chairman Siddh Nath Singh said all the carpet units are completely closed in India, including the major areas like Agra, Mirzapur, Varanasi and Bhadohi, and there is no movement of transport.
“We may loose Rs 2,000 crore in our exports due to this lockdown. Our consingments are ready in units but we can take that to ports for shipments. The sector is also facing issues related to cancellation of orders in the US and Europe,” he said.
The US and Europe accounts for about 90 per cent of carpet exports and both the regions are severely affected by this deadly virus, Singh said, adding due to the current crisis “our exports may reach only Rs 10,000 crore by end of this fiscal. Last year, we had exported worth Rs 12,500 crore”.
“We urge the government to announce a special package for handlooms, handicrafts and carpets as all these sectors are inter-mingled and are facing issues due to the lockdown. Together they employ lakhs of people. Buyers have also stopped payments,” Singh added.
On allowing units to operate with limited workforce to help the sector, he said labours and unit owners are “very scared” of the virus and they will not come to factories in such a scenario.
Banks should be given clear instructions to deal with the sector softly as problems of NPAs may arise after the return of normalcy, he added.
