Image Source: TRIBUNE

The coronavirus pandemic amid an economic slowdown has hit revenue at Indian retailers selling non essential items like clothes and jewellery by 75% so far and is likely to cause widespread job losses, an industry body said on Monday.

About 40% of the six million employees working in India’s modern, rather than traditional, retail sector could likely lose their jobs in the next four months if the government does not intervene, Kumar Rajgopalan, chief executive, Retailers Association of India (RAI), said.

“Unless the government provides some relief, revenues will slide by 90% in the next six months,” Rajgopalan said, suggesting moratoriums on the payment of loans, and on the payments of the goods and services tax (GST) and other government duties.

The RAI represents 500,000 stores in India, including brands like V-Mart, Shopper’s Stop, Future Group and Avenue Supermarts, which operates the grocery chain D-Mart.

On Sunday, Future Retail, which owns hypermarket Big Bazaar, said the pandemic, has resulted in a “degrowth of revenue”.

40% of six million staff could be hit

•About 40% of the six million employees working in India’s retail sector could lose jobs in the next four months if the government does not intervene, Kumar Rajgopalan, chief executive, Retailers Association of India (RAI), said
•Unless the government provides some relief, revenues will slide by 90% in the next six months, he said, suggesting moratoriums on the payment of loans, GST and other government duties
•The RAI represents 500,000 retail stores in India