Retailers’ demand for Chinese goods dips 45% on boycott call
Demand for goods made in China has declined 45 per cent this Diwali, with retailers refraining from keeping more stocks after the boycott call on social media platforms went viral, traders’ body CAIT said on Tuesday.
“Boycott Chinese goods on Diwali festival campaign on social media has greatly impacted sale of Chinese goods this Diwali festive season as there is about 45 percent decline in demand by retailers from wholesalers this year,” Confederation of All India Traders (CAIT) said.
CAIT National President B C Bhartia and Secretary General Praveen Khandelwal said that the campaign “has led to a decline of about 45 per cent in demand of Chinese goods in comparison to last year”.
“The penetration of the campaign can be understood with the fact that beyond markets it has travelled to houses and has become a talking point among women and children who are considered as main shoppers during any festive season and this has led to decline in demand of Chinese goods,” CAIT said.
Chinese products like crackers, electric bulbs, kitchen appliances, toys, gift items, electric fittings, electronic products, consumables, home decoration items, among others will have to bear the brunt of the decline in demand.
The campaign has also given a new life to traditional potters, who have developed large number of artistic and innovative earthen products hoping to get good share in market as a replacement of Chinese bulbs and decorative products, it said.
CAIT said that although the boycott campaign will largely affect Indian traders and importers since Chinese goods have already been imported by them 2-3 months earlier, if social media campaign continues, China has to suffer huge trade losses in the forthcoming Christmas and New Year shopping festivals. It said the need of the hour is to develop viable competitive products to discourage sale of Chinese goods in India, with government planning a long term strategy by providing all out support to the domestic small manufacturing sector to produce quality goods at cheaper prices, it said.
Pharmexcil seeks manufacturing cluster to counter Chinese imports
Pharmexcil, pharma exports promoting body under the Commerce Ministry, on Tuesday said it has requested the Centre to allot clusters to manufacture active pharma ingredients (API) and intermediates chemicals that are currently imported from China.
India is currently importing about $3 billion worth of APIs and intermediates chemicals from China, and the idea is to cut down the dependence on Chinese imports, according to Madan Mohan Reddy, Chairman of Pharmaceuticals Export Promotion Council of India (Pharmexcil).
Most of the companies depend on Chinese imports. Pharmexcil and Bulk Drug Manufacturers Association of India are in discussion with the Centre on "why can't we see the top 100 products that are currently imported are manufactured in India," Reddy told reporters here. "The Centre is also thinking to support industry to put some clusters. Technology wise, it is not difficult to manufacture also. These clusters will help us to substitute the imports to some extent," the chairman said.