Coronavirus may make Holi colours costlier by 50% this year
- This Holi, prices of colours might rise by about 50% amid a stock shortage.
- China is the largest exporter of Holi colours and toys to India; which is currently under lockdown amid the
AdvertisementCoronavirus shutdown in China is likely to hit the pockets of Indian buyers, this Holi. The prices of colours and toys for the festival are expected to rise by almost 50%, due to the stock shortage.
China halted most of the manufacturing units after the virus spread rapidly, which killed around 3,000 people in the country. And as many as 90% of Indians use Chinese colours and water toys. However, as the pandemic spread, Chinese imports are down this year and it affected the stock and festival demand might force shop owners to increase prices. Even if they replace Chinese items with Indian-manufactured colours and toys, they are priced higher than cheaper Chinese imports.
China is the largest exporter of Holi colours and toys to India and accounts for almost 85% of the exports in the market. In recent years, fancy Chinese toys and cheap colours took away a big chunk of the market in India and became the most significant source of Holi merchandise.
A survey conducted by the Associated Chambers of Commerce and Industry of India in 2016 said, “Invasion of innovative and fancy Chinese Holi toys and colours despite the union government’s efforts to promote ‘Make in India,’ is making the survival difficult for small manufacturers, most of whom have been engaged in this business for decades and are now facing losses to the tune of a whopping 75 per cent as only about quarter of their products find favour with customers.”
The Business Today noted that in Mumbai alone about 20-25 importers import about 5 lakh pieces of fancy water guns each costing about ₹300-500 each.
SEE ALSO: Narendra Modi cancels his Holi party amid Coronavirus scare in Delhi
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