Delhi's traders face 20% loss as pollution, curbs deter consumers: Cait

Cait Secretary General Khandelwal urges govt to involve trade associations in policy-making, adopt electric trucks for logistics, and offer financial support to businesses

Air pollution in Delhi is severely impacting the city’s trade sector, with an estimated business loss of nearly 20 per cent, according to Praveen Khandelwal, Chandni Chowk MP and secretary general of the Confederation of All India Traders (Cait). He noted that pollution-control measures have further reduced consumer activity.

 

“Air pollution and the restrictions imposed to control it are causing substantial trade losses for Delhi’s trading community,” Khandelwal said.

 

Reduced footfall amid heightened restrictions

Markets like Chandni Chowk, Karol Bagh, and Lajpat Nagar have reported sharp declines in customer visits. Pollution-control measures, including the odd-even scheme and vehicular restrictions, have further reduced access to commercial areas.

   

“Rising pollution levels deter consumers from venturing out, especially in crowded markets, leading to a significant decline in footfall,” Khandelwal added.

 

Disruptions in supply chain

Delhi’s role as a critical hub for distributive trade has been disrupted by pollution-related restrictions on diesel vehicles, which severely impact the movement of goods.

  “Restrictions on diesel vehicles, including trucks, disrupt supply chains, delaying the transportation of goods to markets and increasing logistical costs,” Khandelwal explained.

 

Thousands of trucks transporting goods in and out of Delhi face delays, driving up costs and hampering supply chains. Seasonal businesses reliant on festivals and weddings are particularly affected as pollution curbs often coincide with peak sales periods, he noted.

 

Impact on SMEs and seasonal businesses

Small and medium enterprises (SMEs) in markets like South Extension, Sadar Bazar, Kamla Nagar, and Pitampura have reported sharp revenue declines due to reduced customer visits and supply chain issues. Seasonal businesses that depend on festivals and weddings are also severely impacted, Khandelwal said.

 

Health and operational challenges

Pollution is also affecting workforce efficiency. “Health problems caused by pollution lead to reduced workforce efficiency and absenteeism,” Khandelwal said, noting that many migrant workers are leaving Delhi due to poor living conditions, exacerbating labour shortages.

 

Businesses are also incurring additional costs for air purifiers and masks to ensure the safety of employees and customers.

 

Recommendations for trade relief

To mitigate these challenges, Khandelwal proposed these measures:

• Involving trade associations in policy-making to develop balanced measures.
• Adopting eco-friendly logistics solutions, such as electric trucks, to maintain supply chain continuity.
• Providing financial support through tax reliefs or subsidies to offset business losses.

 

“Delhi’s trade sector, especially small traders, remains one of the hardest-hit by the dual burden of air pollution and regulatory restrictions,” Khandelwal concluded, emphasising the need for collaborative efforts between the government and business communities to address this issue.

 

Delhi air pollution crisis

Over the past few days, Delhi has experienced severe air pollution, with the air quality index (AQI) reaching hazardous levels. On Monday, the AQI peaked at 491, categorised as “severe plus,” posing significant health risks, particularly for vulnerable populations.

 

The primary contributors include emissions from vehicles and industries, construction dust, and the burning of crop residues in neighbouring states such as Punjab and Haryana. Unfavourable meteorological conditions like low wind speeds and cooler temperatures have further exacerbated pollution levels.

 

In response, stage IV of the Graded Response Action Plan (Grap) has been implemented in the national capital. Additionally, Delhi’s environment minister has proposed the use of artificial rain to mitigate pollution levels.

 

Construction activities have been halted, schools have shifted to online mode, and restrictions have been placed on certain vehicles.