Farmer protests may increase logistic costs by up to 10%: CII

The CII on Monday said the ongoing farmers’ protests may lead to about 8-10% increase in logistics costs due to detours with consignments taking 50% longer to reach destinations in States like Punjab, Haryana, Rajasthan and Delhi-NCR.

“The agitation by farmers in many parts of India has led to disruption in supply chains and logistics. This will have a bearing on the economy over the coming days and may impinge the ongoing recovery from the economic contraction due to COVID-19, ”the industry body said.

“Around two-third consignments in transit are taking 50% extra time to reach destinations in the above states. In addition, the transport vehicles are forced to travel up to 50% longer to reach Delhi from the warehouses in Haryana, Uttarakhand and Punjab. This may push logistics costs by up to 8 to 10%, ”it said, adding that many companies in the industrial belt surrounding Delhi are facing labor shortages as people struggle to reach production facilities from neighboring towns.

Nikhil Sawhney, Chairman, CII Northern Region, said, “The agitation requires an immediate amicable solution as it is impacting not only the economic growth but also putting a huge dent to the supply chain which is affecting the large and small industries alike.”

The effect is more acute for industries in the hilly regions of Himachal Pradesh, Uttarakhand and Jammu and Kashmir which are dependent on goods transported by road. There is also uncertainty around the transportation of farm products to the major markets of Delhi-NCR. It could lead to significant losses to the farm sector in these states.

You have reached your limit for free articles this month.

Subscription Benefits Include

Today’s Paper

Find mobile-friendly version of articles from the day’s newspaper in one easy-to-read list.

Unlimited access

Enjoy reading as many articles as you wish without any limitations.

Personalised recommendations

A select list of articles that match your interests and tastes.

Faster pages

Move smoothly between articles as our pages load instantly.

Dashboard

A one-stop-shop for seeing the latest updates, and managing your preferences.

Briefing

We brief you on the latest and most important developments, three times a day.

Support Quality Journalism.

* Our Digital Subscription plans do not currently include the e-paper, crossword and print.

.

Disclaimer: This post has not been edited by our staff and is published from a syndicated feed. The Original Source of this post can be found at Source link

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest

Amitabh Bachchan, Kartik Aaryan, Kareena Kapoor urge fans to stay home as Cyclone Tauktae inches closer to Mumbai coast

As Cyclone Tauktae inches closer to the Mumbai coast, many celebrities took to their social media handles and urged...

Pak Opposition leader Shehbaz Sharif placed on no-fly list

The Pakistan government led by Prime Minister Imran Khan on Monday added the name of Opposition leader Shehbaz Sharif, who has been charged...

COVID-19 surge: Bihar, U.P., Delhi top list of deaths among doctors...

‘While last year we lost nearly 730 doctors across India, this year in a short period of time we have lost 244 doctors,’ says...

Apollo Hospitals begins administering Sputnik V vaccine in Hyderabad

Marketing partner for Sputnik V in India, Dr. Reddy's had on May 14 announced the rollout of the vaccine in the country Apollo Hospitals...

Lawyers help each other to stay afloat during the pandemic

Well established senior counsel donate generously for welfare of less privileged juniors Among lawyers there exists a stark contrast between the paltry remuneration of...

More Articles