India Starts The Second Round Of City Orders. 10 Million People Will Be Cut In Textile Industry

At present, the epidemic situation in India is becoming more and more serious. As of April 15th, there were 11439 confirmed cases in India. In March 24th, only 536 cases were confirmed in India. That is to say, the number has increased by nearly 20 times in 20 days. In the face of rising confirmed cases, the world's second largest populous country decided to launch the second round of "city closure" order, and announced that it would continue to extend the nationwide quarantine measures until May 3rd to curb the rapid spread of the new crown virus. However, the voice of the state pointed out that the extension of the blockade is likely to trigger economic turmoil and social upheaval in India.

Start the second round of city order! India textile industry laid off 10 million people?

In retrospect, in March 24th, in order to contain the spread of the new crown virus, India took unprecedented measures to require all citizens to stay at home for 21 days. Shops, factories, office buildings and religious sites were all closed, and air, railway, passenger transport and urban traffic were also suspended. Today, the city order, which expired in April 14th, has been extended again, which makes many enterprises in India complain repeatedly, while India's huge labor force will not depend on it and drift around.

According to the CMAI, more than 80% of India's clothing industry is small and micro enterprises, of which CMAI has about 3700 members, employing over 700 thousand people. Most enterprises can't afford to take 3 to 6 months of epidemic situation in India. According to its statement, if India does not receive assistance in terms of wage subsidies or in the resumption plan, it will lead to a significant reduction in the entire textile industry in India and the total number of layoffs or up to 10 million.

As the textile industry is the most important economic pillar of India, once it falls down, it will trigger a storm of economic turmoil. According to Barclays Bank's forecast, the total blockade measures will make India lose 120 billion US dollars, that is, 4% of GDP. Recently, the India central bank also admitted that due to the impact of the epidemic, it is difficult for India's economy to achieve a 5% growth rate in 2020. This means that the India economy, which has already set a record of "six consecutive years of falling", will be plunged into an unprecedented and extremely difficult economic predicament.