Small and medium enterprises in trouble as companies cut production

Aurangabad, May 27:

Markets are closed due to break the chain campaign. As a result, mainly the automobile industry has reduced its production capacity, which has affected about three thousand small and medium enterprises in the district.

Markets are closed due to lockdown in many states of the country. On the other hand, exports of many companies like Bajaj Auto have fallen by 30 to 40 per cent due to lack of raw materials and transportation. For the past two weeks, Bajaj Auto has decided to continue for only five days a week. The company has a holiday on Sunday and a shutdown on Saturday. Vendors depending on the company have also been asked to wait a few days. Rickshaw production at Bajaj Auto has recently stopped. At present, only motorcycle engines are manufactured and being exported. The company also shut down on May 15 and 22 due to a sharp drop in export capacity. It is almost certain to take another shutdown on May 29, said Vijay Pawar, union president. Hanchanal said that large automobile industries like Bajaj Auto have also reduced their production capacity, which has created a problem for two and a half to three thousand small and medium enterprises in the district. Most of these industries run only 4-5 days a week.

Situation to remain the same

The government has not yet issued any guidelines regarding lifting of lockdown. As the condition of corona improves in most of the nearby states, the markets there will gradually open from June 1. Restrictions will also be reduced in our state. Even if the markets start, the turnover will start after 10-15 days. Hence the situation will remain the same for the next month, said Hanchanal.