Corona virus or COVID-19 from China has imposed a massive threat worldwide. The death toll in Asia & Europe is increasing rapidly each day and doctors and scientists are completely clueless regarding the solution of it. Precautions can be taken, but the remedy to this epidemic disease is still not confirmed. In this situation, to protect people worldwide, there have been restrictions imposed on the supply from China affecting various industries across the world and
impacting economic conditions of the countries.
How the Indian industries are suffering due to this outbreak of CONVID-19?
India has its major supplies from China, be it in terms of electronic items, textiles, chemical and much more. Due to this, the production is falling in India resulting in a major loss for the companies, in total, for the country. Due to less production and high demand, the overall prices of impacted products will increase by about 10 percent, which is grave.
India’s electronic supplies are mainly from China. The parts of television and smartphones are about more than 75 percent from China like mobile displays, open circuit boards, memory, and many other crucial parts. Also, the compressors for air conditioners and motors for refrigerator come from there. So, the lack of supply for months will affect its production on a large scale.Since summer is approaching and air conditioners and refrigerators will be in demand, their cost will rise rapidly due to less amount of production.
The other industries apart from the industry involving electronic parts are too having a worse time. The import of materials required for a garment industry can reduce its production. The lack of supply of chemicals is affecting the pharma industry.
How Indian Industry leaders are mitigating the impact? Read more
What are the main sectors that are getting affected the most?
Three major important sectors suffered a tremendous loss for this outbreak of Coronavirus: automobiles, aviation, travel and the stock market.
- The import of materials for the automobile industry is affecting its production and the leading companies are suffering.
- People are afraid to travel both overseas and domestic due to its spread in other countries. Ports are blocked and the delivery of Chinese products is impossible for products to enter the market.
- Due to a major loss in all sectors, the stock market is in a critical situation.
Coronavirus is not only taking lives but also worsening the economic condition of the country. Next quarter & year will be impacted definitely in terms of growth.
What supply chain & logistics solutions Industry leaders are using? See here