'Time to make supply chain functional'

Rajneesh Lakhanpal

Tribune News Service

Ludhiana, May 8

Ghansham Singh Lotey, Managing Director, GSL Textile India Pvt Limited, has been running the company since 1981. GSL is engaged in manufacturing of textile machinery, which is used in garments, textile and spinning industry. Lotey has been holding the office of president of Ludhiana Industrial Focal Point Association for the past ten years.

Industry is going to witness the tough time, hitherto unimagined. Financial crunch is likely to hit the entire industry. Payment related disputes are likely to increase post Covid-19 pandemic. — Ghansham Singh Lotey, MD, GSL Textile India Pvt Limited

Inspired from his father, a freedom fighter Ajit Singh Lotey, who was popularly known as Ajit Singh Swatantar , he is quite active in the field of social service too. After the demise of his father, he set up Ajit Singh Lotey Foundation for the welfare of the needy and downtrodden in the memory of his father. The foundation has also come forward for the cremation of Covid-19 victims.

What is the impact of lockdown on industry?

We support the lockdown in the country and curfew in the state as it is beneficial for all of us. But due to the restrictions, the industry, including the knitting sector has been badly hit. The production has stopped all of a sudden. The government says that it will allow operation with 50 per cent staff/labourers/persons engaged in the production, but what about the remaining 50 per cent workers. Where will they go and how salaries would be paid to them? Moreover, it is very difficult to select the 50 per cent. More so, the industry is not getting the raw materials as the supply chain has not been made fully functional. The dealers and distributors say that they have not been allowed to open their shops/godowns. Even if the operations are made functional, the problem of selling the products/goods exis.

What will be the impact of petrol and diesel price hike?

Unfortunately, the central as well as state governments were not transmitting the benefit of reduction in crude oil prices at the global level. Instead of giving relief to industry and general public, they keep on raising taxes. The government must have an approach of a larger welfare state.

What would be the challenges after the lockdown ends?

Industry is going to witness the tough time, hitherto unimagined. Financial crunch is likely to hit the entire industry. Payment related disputes are likely to increase post Covid-19, when the industry would be made functional. We are likely to see spurt in the unnecessary litigation.

What do you expect from the govt?

Since the industry was witnessing a very tough time, the government should help the industry to survive in the present and post Covid-19. Interests should be waived on the loans granted to industries. Interest-free loans should be given to industries as done by several governments in their countries. The state government should also not charge electricity charges and rather focus on a strategy in consultation with the industry for making the chain functional from manufacturers to buyers. To save its own funds, the government is shifting the responsibility of labourers in entirety to the industry..