Ludhiana: Immediate discontinuation of Rs. 500 and Rs. 1000 currency, few days back has affected the city residents. Importantly, hosiery has got affected in large as hundreds of manufacturing units has suffered the loss in crores. Ludhiana is the only major manufacturer of hosiery goods in the country and exports goods not only to different states but also to other countries.
Manufacturers in the city are able to sell their winter stock till December 15 every year, after which they prepare for the production of summer wear for the next two to three months. However, scrapping of higher denomination currency notes has received a knee jerk reaction by the hosiery industry.
“Woolen industry is already facing crisis due to turmoil in Kashmir, where a significant part of our goods are sold. Now, after the government scrapped `500 and 1,000 currency notes, we would suffer the most as transactions take place mostly in cash,” said Vinod Thapar, chairman of Knitwear Club.
Thapar added that most of the retailers from Haryana, HP, and J&K visit Ludhiana on weekends during November and December for buying winter wear to be sold in different markets. The total sale of hosiery industry from November to December is generally pegged at `75 – 100 crore.
At least 12,000 hosiery units in Ludhiana generating revenue of nearly `15,000 crore per year, cater not only to the neighbouring countries but also to European nations. Top brands from across the world provide job to units based in the city which includes provision of thread and logos, while the finished product is manufactured by the local industry.
Harnek Singh city resident said, “I am requesting the centre government to allow more time to spend the banned currency so that people would easily make transactions with their regular spending.
According to the large scale manufacturers, they suffer from loss of lakhs on regular basis as regular transactions of the manufacturers are the business.

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