Shortage of small change hits trade in TN, queues continue

The shortage of small change has hit the state-run liquor outlets, vegetable markets and small vendors in Tamil Nadu even as a large number of people continued to throng banks and ATMs which ran dry within a few hours.
Most of the cash-vending machines remained non-functional and the few that were functioning ran out of cash.
The state-run Tamil Nadu State Marketing Corporation (TASMAC) liquor outlets, which generate an annual revenue of Rs 25,000 crore, have witnessed a sharp fall in sales due to the Centre's demonetisation move.
"There is definitely a significant drop in sales. On an average, per day, the 6,200 outlets do a total business of Rs 60 crore in Tamil Nadu. Since November 8, the business has fallen steeply. The decline in sales would have crossed over Rs 100 crore till yesterday," an official told PTI.

Due to the lack of small change, people have become wary of spending on liquor, he said.
The vegetable market at Koyambedu, which does business of over Rs 4 crore daily, is witnessing poor sales with only a few people turning up to buy vegetables.

"Nearly 50 per cent of business has been affected," Koyambedu Vegetable Market Owners' Association vice-president S Chandran said.
Raganathan Street, a popular shopping destination in Chennai, also wore a deserted look due to lack of patronage.
Even after a week since the government announced the scrapping of the Rs 500 and Rs 1,000 currency notes, there has been no end to people thronging banks and ATMs.

"The shortage of small-denomination currency notes such as Rs 100 and Rs 50 has crippled financial transactions," said a customer waiting in the queue before a public sector bank.
Some customers were seen with the indelible ink mark on their right hand index finger after exchanging the defunct notes at banks.
Meanwhile, at Coimbatore, a group of women, affiliated to the All India Democratic Women's Association (AIDWA), today performed the "last rites" of a non-functioning ATM.
Since the machine was not dispensing cash, it was presumed to be dead and the women performed its last rites by paying floral tributes, AIDWA sources said.