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Lights out this Deepavali; a sign of things to come?

FINANCIAL TIMES

By Aamna Mahmoob
Although the main street markets were usually crowded places during festival time, the recent price hikes in essential goods have had an adverse effect on the purchasing power of festival shoppers. It is also having a big impact on the textile industry which is highly dependable on festive sales.
S. Sasidharn a businessman along Kamaleshwary Main Street for more than 15 years who had been through many ‘ups and downs’ says that this year has been the worst for the business.
He said “compared to last year this year Deepavali business is low and we have to reduce the prices of every thing to the margin and we expect small amount of profit.” N. Savetree, a house wife whose husband is the sole bred winner in the family in the meantime says that she cannot spend as she used to for Deepavali. She said that she was forced to buy groceries with a tight purse. “Compared to last year it is very hard. We have to check the price and purchase goods. The cost of living is very high, it is very hard for us to buy things”, she said.
Another customer P. Krishnan said that although he celebrated Deepavali last year in a lavish way, this year due to the price hikes in all essential goods he was unable to enjoy the festival in the same way. Krishnan noted that what the people earn was not enough to survive.
While Sri Lanka is a known as hub for textile and clothing in many parts of the world, the country still imports clothes and fabric from other Asian countries. Most businessmen at the main street market depend on these imports for their income. S. Sasidhran points out that; traders who import goods from other countries have been badly affected by the rise of the US dollar. He said that the weakening of the Rupee has hit them hard as they need to spend more each day to keep their shops stocked.
Another shop owner (who spoke on the condition of anonymity) also feels that the increasing cost of living is the main problem in their business. “Earlier a casual office sari cost around Rs.500 but now it has increased by nearly 300 rupees and the total cost is close to 800 rupees. So people who bought nearly three saris now buy only one sari but this doesn’t mean that they are poor, the reason is the cost of living which is increasing rapidly.”

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