Chennai: Parry’s, the whole sale market for seasonal business and T Nagar, the retail hub of Chennai are full of decorations and festoons, gearing up for Christmas, NewYear and Pongal festive season.
While textile showrooms are flashing boards that offers discount sales up to 50 per cent, those in to the stationary business are worried due to dip in corporate orders.
Traders into calendar and diary business report a loss of around 30 per cent this Christmas-New Year season due to GST. The wholesale stationery market is yet to recover from the impact of demonetisation and 18 per cent GST, said Broadway traders into wholesale business.
Further to counter the recession market, Christmas discount sales were also announced earlier this month and traders are waiting for the market to improve, the industry sources said.
“Corporate orders for calendars and diaries have reduced again this year. Usually five types of calendar products move brisk during this season. But this year the monthly calendar sale is low till now and these are calendars preferred by corporate companies,” said a wholesale trader on Bunder street.
Every year, stationery items become dearer by 5 to 10 per cent and the recent addition of GST had made things worse for the stationary business, he added.
“The sale of nuts and dry fruit gifts took a dip during Diwali and GST was blamed for the poor sales, but now we are hoping for a better business from Christmas. Enquiries are coming, but we will know the market situation only a week before Christmas,” said K. Govardhana Giri of Sri Vishwam. “Sale of cashew has picked up and business enquiries for dry fruits are coming in,” he said.
Though wholesale business traders are worried the retailers are positive. “We are getting customers for cheap products. “I decided not to stock calendars and diaries of bigger sizes promoted by branded companies. The retail sales is picking up and we are hoping for better sales by next week,” said Mohammad Kharim, a retailer in Parry’s.
