HYDERABAD: Traders and shop owners in Old City say they have wiped out their life-long savings trying to restructure their businesses that were hit hard by demonetisation. Dharmendra Agarwal, a textile trader who owns a huge garments shop near Gulzar Houz, says his business suffered an average loss of 40 per cent following the note ban. “A month after it was implemented, we were busy making up for losses. It took good four months to return to normalcy.” And then came the Goods and Services Tax.
“The impact of GST and demonetisation combined was so severe that textile and garments businesses are unlikely to flourish for till next year.” Several shopkeepers in Pathergatti say that even year after the note ban, their profit margin is about 50 per cent lesser than before. “The maximum sales a day now is around `700. I am still bearing the brunt of demonetisation,” says Wajid Ahmad Khan, who sells plastic items on a roadside stall.
Pan shop vendor Imma Majid claims to be among those worst-hit. “After notebandi `2,000 notes have become my nightmare,” he says. “Even for a purchase of `200, people stick out `2,000 bills. It’s unfair that government decides to make an experiment one fine day and poor people like us have to suffer for it even after a year.”
Those running small scale industries like weaving and carpentry have moved on to alternative employment, a trend witnessed even in other parts of the country. “It hurts to even recount how my employer’s business went into losses, to such an extant that he had to shut shop,” says Abbas, who used to be a weaver.
Now, Abbas works as a manual labourer in Chandrayangutta.
The cash situation in the Old City hasn’t changed much either. The number of functional ATMs in the area remains abysmal. “There is only one ATM in the five km stretch ahead of Charminar. Even that is out of service on several occasions” says Athar Hussain, a customer in the market.