The relaxation in two-month long lockdown in Shanghai has relieved hosiery manufacturers in Ludhiana as they source over 80 per cent of their raw materials for winterwear production from Shanghai. Winter wear production in Ludhiana had halted to zero due to the lockdowns in Shanghai, says Sudarshan Jain, CEO, Apparel Manufacturers Association.
The lockdown also led to 25 per cent rise in winter wear costs in Ludhiana as manufacturers in the city are heavily dependent on Shanghai for raw material. The lockdown delayed raw material orders till July, hitting supply of the final product and increasing its prices. Shanghai imposed a city-wide lockdown on 25 million residents on April 1 to curb the COVID-19 spread. Authorities imposed harsh measures that caused widespread public anger over issues such as crowded quarantine centres, difficulties in accessing food and loss of income.
However, the two-month-long lockdown will be lifted from June 1, with private cars including taxis being allowed to ply back on to the roads and people being able to move freely in and out of low-risk housing compounds.