Koyambedu market witnesses 40 % decrease in trade activity 

Traders said even if some sellers in the market accept old notes from customers, wholesale suppliers do not accept the currencies and instead demand new ones.
Koyambedu market witnesses decrease in trade. (File photo | EPS)
Koyambedu market witnesses decrease in trade. (File photo | EPS)

CHENNAI: As customers continue to struggle to get new currencies and change, business at the Koyambedu market complex, one of the largest markets for perishable goods in Asia, has witnessed a drop of about 40 per cent.

Merchants began to feel the pinch from the next day of announcement of demonetisation of Rs 500 and Rs 1,000 currencies.

As several sellers refused to accept old notes fearing difficulty in exchanging them, many buyers had to return without their baskets full.

Business started its downward movement gradually over the days despite  a slump in the prices of vegetables, fruits and flowers in the Koyambedu market complex. “Business in our market complex has now dropped by 40 per cent because of demonetisation of currency. It has inflicted a huge loss on merchants here,” traders said.

They said even if some sellers in the market accept old notes from customers, wholesale suppliers do not accept the currencies and instead demand new ones.

The Koyambedu market complex deals with an average of 3,000 tonnes of perishable goods per day. Supplies too have been witnessing a slump as suppliers could not get returns in new currencies or by way of Rs 100 currencies.

Merchants in Koyambedu market complex have sought  a separate counter on the premises to ensure hassle-free exchange of old notes.

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