Anti-cracker campaign impact: Industry sees 25% decline in sale, says ASSOCHAM

There are about 800 licensed firecracker making units in Sivakasi with a total size of about Rs 2,500 crore

Sivakasi Factory
Workers make crackers at a factory in Sivakasi
Gireesh Babu Chennai
Last Updated : Oct 28 2016 | 6:34 PM IST
The fire cracker industry is witnessing a drop in business this year, despite the restrictions on Chinese firecrackers in the country, owing to the anti-cracker campaigns run by schools, resident welfare associations (RWAs) and others, according to an ASSOCHAM analysis. 

The traders have seen a sharp decline in sale of about 20% year-on-year and have also almost halved the amount of crackers they used to get in wake of poor sales, it said.

A survey conducted among 250 firecracker traders across 10 cities including Ahmedabad, Bangalore, Bhopal, Chennai, Dehradun, Delhi, Hyderabad, Jaipur, Lucknow, and Mumbai said that apart from Chinese firecrackers, growing environmental awareness, rising cost of living, growing tendency amid people to save their hard-earned money rather than spoiling it on burning crackers, paucity of time, traffic congestions during festive period, and others issues have together dented this business over the years.

"About hundreds of units in Sivakasi have shut their shop owing to intense campaigns and growing sales of China-made crackers over the years. It is estimated that about 30,000 people have lost their livelihood," said DS Rawat, secretary general of ASSOCHAM.

There are about 800 licensed firecracker making units in Sivakasi with a total size of about Rs 2,500 crore which has been facing heat from China's influence that has grown by leaps and bounds in the past few years, he added.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Oct 28 2016 | 5:52 PM IST

Next Story