Sivakasi, Virudhunagar
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The firecracker industry
2016-19, 2020
Ananth MK, November 13, 2020: The Times of India
From: Ananth MK, November 13, 2020: The Times of India
Will Sivakasi’s firecracker units survive the coronavirus?
The future looks grim for the 1,070 units of the nearly century-old fireworks industry that employs lakhs of workers in and around Sivakasi — the pyrotechnics capital of India. Hit by the pollution row over the past four years, and Covid-19, sales have plummeted.
“By this time, the factories would be completely cleaned out with all their stocks dispatched. But due to the ban by various states and other uncertainties, some are left with up to 20% of their annual stock,” said A S Rajendra Raja, vice president of Indian Fireworks Manufacturers’ Association.
The association says it targeted only 70% of its usual production this year, yet fears an overall loss of at least 45%. A complete ban on crackers in Rajasthan (12% of sales), Delhi (10%), West Bengal (10%) and Odisha (3%), and permission to light only green crackers in Karnataka, have hurt the business. Some wholesalers have asked manufacturers to cancel orders that have been dispatched while others want refunds for unsold stock.
“The loss cannot be recovered,” Raja said, adding that if the crisis persists they will be forced to switch to other industries. P Ganesan, president of the Tamil Nadu Fireworks and Amorces Manufacturers’ Association and a major manufacturer, said they will again try to convince the Centre and the apex court to permit fireworks for Diwali. “We will then decide on sustaining or leaving the industry.”
To survive, the industry is trying to establish a CSIRNational Environmental Engineering Research Institute laboratory in Sivakasi for making more types of green fireworks. The manufacturers also hope the government will recognise green fireworks to quell doubts among buyers and activists. As green fireworks are still a new thing, there is a lot of scepticism about them even in the industry.
Fireworks production in the region has steadily declined over the years, from an estimated value of Rs 6,000 crore in 2016 to about Rs 3,500 crore in 2019. Some industrialists switched trades when stringent workplace safety norms were implemented, as the changes required were expensive. Some others diversified when Chinese fireworks dented demand for those made in India.
“Some established educational institutions and a handful started showrooms and furniture outlets while continuing in the traditional fireworks business,” said Sivarajah Ramanathan, founder and CEO of Nativelead, an organisation promoting new-age entrepreneurship in non-metro regions.
Sivakasi town secretary of CPM, K Murugan, said workers of firecracker units are suffering as demand has fallen. “Workers are at the receiving end and are clueless about the future of their jobs.” He said lakhs of people cannot be provided alternative jobs at once and the government needs to step in.
