Bahadurgarh footwear industry claims 25% sales decline due to short winter season, high GST

ENA State 2023-03-13 14:26:40 Bahadurgarh, Mar 13 (KNN) The Bahadurgarh footwear industry has suffered a loss of Rs 2,500 crore due to short winter season and rise in the goods and services tax (GST), according to a report in the Tribune India. The biggest hub of footwear in North India witnessed around 25 per cent decline in the sales this winter as compared to the corresponding period last year, claims the Footwear Park Association, Bahadurgarh. <a href="https://bit.ly/3B9mZSj"><img alt="FOLLOW US on GOOGLE NEWS" src="https://knnindia.co.in//uploads/gallery/GoogleNews.jpg" style="border-style:solid; border-width:1px; height:95px; margin:1px; width:299px" /></a> As per reports, major blow to the footwear industry also came due to less number of weddings this season. The annual turnover of the Bahadurgarh Footwear industry is estimated to be around Rs 20,000 crore and over 50 per cent comes in the winter season from October to February. Over 2,000 large, medium and small-scale units associated with the footwear industry directly or indirectly were operational in Modern Industrial Estate (MIE), the HSIIDC Footwear Park and surrounding areas in Bahadurgarh town located on the border of Haryana and Delhi, while over two lakh people were employed in these factories, reported Tribute quoting a source. Narendra Chhikara, senior vice-president of the Footwear Park Association pointed out that over 25 lakh pairs of shoes, sandals and slippers are manufactured in the industry every day, but the recently concluded winter season has caused a huge loss of Rs 2,500 crore to the industry following 25 per cent fall in the sales. For winter season, the footwear production usually starts production in July and continues for the next three months to fulfil the demand from October to February, but a short spell of cold this time, coupled with a few weddings in November, hit the footwear industry hard, leading to a drastic decline in the sales, he said. The increase in the GST last year from 5 to 12 per cent on the footwear having price less than Rs 1,000 per pair led to considerable rise in the rates. High prices also took a toll on the sales, so we demand the government to roll back the hike in the GST, he added. Huge stock of shoes have remained unsold this winter season, forcing manufacturers to sell these at throwaway prices in order to get whatever they can from these. (KNN Bureau) 32607 https://knnindia.co.in/news/newsdetails/state/bahadurgarh-footwear-industry-claims-25-sales-decline-due-to-short-winter-season-high-gst 2023-03-13 14:26:40 knnindia.co.in Bahadurgarh footwear industry claims 25% sales decline due to short winter season, high GST