Conflict casts its shadow onMoradabad handicraft industry
MEERUT, March 7 -- As war rages in West Asia, handicraft exporters in Moradabad fear order cancellations, shipping disruptions and possible factory shutdowns if the conflict involving the United States, Israel and Iran continues.
Exporters say uncertainty is already looming over orders secured at international trade events, including the Frankfurt trade fair and business engagements in Turkey. According to Satpal, secretary of the Handicraft Exporters Association, the situation could deteriorate rapidly if the conflict involving the United States, Israel, and Iran persists.
"Exporters have begun to feel the looming uncertainty. Orders received at the Frankfurt trade fair and in Turkey may come to a halt.
If the war between the United States, Israel and Iran does not end soon, factories could start shutting down in the coming days," Satpal said.
Industry leaders say it is still too early to quantify the financial impact, but the first signs of disruption are already visible. Suresh Kumar Gupta, chairman of the Indian Industries Association (IIA), said the conflict has heightened anxiety across the export community.
"The war has just begun. It will take four to six days to assess the scale of losses exporters might suffer. The conflict has increased anxiety among exporters. If shipping companies suspend cargo operations, the handicraft trade will be severely affected," Gupta said.
The handicraft sector, which relies heavily on global markets, is particularly sensitive to geopolitical instability. Vikas Agarwal, vice-president of the Moradabad SEZ Exporters Association, noted that even minor disturbances in foreign markets often lead to a sharp decline in export orders.
"The handicraft export business is highly sensitive. When there is peace in foreign markets, exporters receive more orders.
Even minor disturbances significantly impact exports. Within four to six days, it will become clearer what direction exports will take," Agarwal said.
Artisans and exporters are already grappling with multiple challenges such as rising raw material costs, increasing competition, and logistical hurdles. Industry representatives warn that the ongoing war could further intensify these pressures.
"Artisans and exporters are already facing several challenges, including rising raw material costs, tough competition, and logistical issues.
Now the war will worsen the situation and put additional pressure on the handicrafts industry. This could lead to a decline in exports and threaten the jobs of hundreds of artisans," said Naved Ur Rahman, president of the Moradabad Handicrafts Exporters Association.
Workers and small traders linked to the industry have also begun feeling the impact. With transportation of goods disrupted and payments delayed, many traders, contractors, and factory labourers fear a downturn in their livelihoods.
Tahir Salami, president of the Handicraft Welfare Association, said exporters had pinned hopes on fresh business opportunities after participating in a handicraft exhibition held in Delhi in February.
"However, the ongoing conflict has cast doubts over potential orders from international buyers. Our work will be severely impacted if the war rages on for a longer period of time. Our market is centred in the US, Europe, and the Gulf countries.
Now that the US itself is part of the war along with Iran and other Gulf countries, our work will be impacted. The war began just when we were expecting results from the February handicraft exhibition in Delhi. We were hopeful about new opportunities, but now it is uncertain whether buyers who attended the exhibition will still want to do business with us," Salami said.
Contractors have also reported immediate disruptions in business operations. Kazi Alauddin, a handicrafts contractor, said the conflict has halted both orders and payment flows.
"Since the war started, we have been suffering losses. We are neither receiving orders nor payments. Some goods are stuck at ports and earlier payments have not come through. Several factories are shut, and some labourers have been put on leave. If the war continues, work will completely stop," he said.
He added that Moradabad's handicrafts are exported to multiple international markets including France, Singapore, Dubai, and Iran, all of which could be affected by the ongoing conflict.
Echoing similar concerns, businessman Nazeem Akhtar said shipments to Gulf markets have already been put on hold.
"Our work is centred in Gulf countries, and the war is also taking place in that region. The orders that were being sent have been halted. We hope the situation will improve once the war subsides. For now, there are no new work orders," he said....
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