: Retailers expect 64 per cent decline in business in July 1st half #FinanceIndia #StockMarketNEWS Retailers expect 64 per cent decline in business in July 1st half New Delhi, July 23 (KNN) The

@StockMarketNEWS Sun 26 Jul, 2020

Posted in: #FinanceIndia #StockMarketNEWS

Retailers expect 64 per cent decline in business in July 1st half #FinanceIndia #StockMarketNEWS
Retailers expect 64 per cent decline in business in July 1st half New Delhi, July 23 (KNN) The Indian retail industry continues to face hurdles at the state and local levels making recovery all the more distant as the retailers estimating 64 per cent degrowth in their business during the first half of July, said a survey by Retailers Association of India (RAI).

The 4th edition of the business survey conducted by RAI reflects no sign of recovery with retailers estimating.

“It has been a grim start to the second quarter of FY21 with retailers facing huge operational setbacks due to ad-hoc local lockdowns creating confusion and leading to supply chain and staffing issues. Supply chain and operations need to smoothen up to ensure that the upcoming festive season brings back the much-needed impetus to sales recovery,” said Kumar Rajagopalan, CEO, Retailers Association of India.

A few categories such as food & grocery and consumer durables have started showing some signs of improvement with overall degrowth now at 45 per cent and 30 per cent, respectively compared to the same period last year.

Within the consumer durables category, large-sized retailers (over Rs 300 crore sales) indicated de-growth of 21 per cent, whereas within food and grocery, small and medium-sized retailers (less than Rs 300 crore sales) reported de-growth of 35 per cent, the survey said.

In terms of categories, apparel and clothing declined 74 per cent, footwear was down 74 per cent, jewellery, watches and personal accessories were down 78 per cent, while furniture and furnishing witnessed a drop of 63 per cent. Similarly, the RAI survey said sports goods sales dropped 68 per cent, beauty, wellness and personal care decreased by 71 per cent, and quick service restaurants declined by 73 per cent.

Region-wise findings indicated that all regions are equally beaten for sales growth with east at 62 per cent decline, while west dropped 69 per cent, north declined 68 per cent and south also saw a dip of 58 per cent in the first half of July 2020 as compared to the same period last year.

The Indian retail industry has been at the forefront of implementing rigorous safety measures to ensure complete safety of its employees and consumers. However, the local lockdowns and ad-hoc restrictions being imposed in UP, Maharashtra, AP and Karnataka are making a distressing impact on the retail businesses and on consumer sentiment.