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Deepavali business in Sivakasi firecracker units down due to high prices

- October 6, 2022

Even as Sivakasi in Virudhunagar district of Tamil Nadu accounts for 90 percent of firecracker business in the country, the local firecracker units are sore that business has dipped this season.

Chennai, Oct 6 (BPNS)

Even as Sivakasi in Virudhunagar district of Tamil Nadu accounts for 90 percent of firecracker business in the country, the local firecracker units are sore that business has dipped this season. The firecracker industry laments the high rates leading to the plummeting of business.

R. Selvaraj, President of small firecracker distributors of Sivakasi while speaking to BPNS said, “ I  have a small wholesale and retail shops and used to do business to the tune of Rs 60 to 75 lakh per year but not anymore. This year my business has plummeted to such a level wherein I could do business to the tune of only Rs 15 lakhs this year which is very small compared to the earlier business.”

He said that a 40 to 50 percent hike in the prices has been witnessed during the season. In certain cases, it has catapulted to more than three times the earlier rates. During last season, the cost of a specific cracker model has been Rs 2500 which is now being charged at Rs 8500 and this has naturally affected the business. This according to him is mainly due to the green crackers replacing the traditional barium nitrate-laden crackers that have a shelf life of ten years. The green crackers generally don’t have much shelf life and within months they become unusable as they draw moisture in large quantities from the atmosphere bringing their durability and longevity coming down leading to the total lot being destroyed without any use.

Sukumaran Natarajan, a businessman of firecrackers while speaking to BPNS said, “ Earlier firecrackers that were not used during a season were carried over to the next year and there were no issues. After the ban on Barium Nitrate laden crackers, we shifted to green crackers and these crackers absorb more moisture leading to the expiry of these crackers in a period of two to three months.

It may be noted that barium nitrate-laden crackers had a longevity period of ten years and had good sound bringing in high demand from across the country for such crackers.

Sivakasi Fireworks Manufacturers Association (SIFMA) president, Asaithambi while speaking to BPNS said, “ The decision on banning barium nitrate laden crackers have to be revoked. This has led to the shutting down of 80 percent of units in Sivakasi and Virudhunagar and we are at a loss on the future.”

It may be noted that there are around 1070 firecracker units in Virudhunagar district and employing six lakh workers. Another issue that is plaguing the firecracker industry is the banning of chain crackers including ‘1000 Walas’ which was a major hit among children and adults alike.

R. Rammohan, who runs a wholesale distribution shop at Sivakasi while speaking to BPNS said, “ The industry is at a loss and many industries have been shut down, many have lost jobs and our industry is on the verge of total closure. The Sivakasi firecracker industry was meeting the demands of most of the firecracker lovers in this country but we can’t move ahead now and it is better to shut down now.”

The Virduhunagar district collector Meghnath Reddy was not available for comments but a senior officer with the district administration told IANS that they are studying the losses suffered by the industry in the firecrackers capital of the country.

With Deepavali being the most important time when the brisk business being done to the tune of crores, the green cracker replacing barium nitrate-laden firecrackers has taken a setback for the industry.