Spike in rent at Island Grounds affects sale of Deepavali firecrackers
At Rs 6 lakh rent for 5 days plus 18% GST, stall owners at Island Grounds lament the high cost of crackers and also, plummeting sales
CHENNAI: With Deepavali festival around the corner, sale of firecrackers across Tamil Nadu and in Chennai has not been encouraging, thanks to the increasing cost of crackers. According to some rough estimates, even in Sivakasi, the wholesale sale of crackers plummeted by 20% compared to last year. This is all set to have a ripple effect in retail markets across the State, including Chennai.
There are more than 2,500 retail shops in Virudhunagar selling firecrackers, and the sale began after Ayudha Pooja. However, the customer footfall has been notably lower than many previous Deepavali seasons, leaving many counters in these shops empty.
Traders attributed the decline in sales to the increased preference for online shopping and also the fact that the festival was coming towards the end of the month. Dealers have requested the State government to regulate the online sale of firecrackers to boost sales on ground.
At Island Grounds in Chennai, sellers express their distress over the State Government handing over the stalls this year to Triplicane Urban Cooperative Society (TUCS) unlike the yesteryears when the Chennai Fireworks Dealers Welfare Association used to set the stalls.
“This year, we’ve been given stalls for Rs 6 lakh rent with 18% GST for 5 days. Last year, we paid Rs 4 lakh only,” rued K Kumar, a seller at Island Grounds. “This hike in rent will escalate the price of crackers we sell to customers.”
Out of 50, four stalls are set up by TUCS. Though the stalls were open on Sunday evening, there were sales of only Rs 40,000 on the first day. “We’re hoping sales would pick up after 6 pm, as more customers would come after office-timings. We’re also offering up to 80% off for all products,” said Dinesh K, in-charge of one of the stalls in the venue.
Pranav B, a consumer, said, “Deepavali comes once in a year and kids are excited about fancy crackers. Though the rate is higher when compared to the previous times, the importance of celebrating the festival is a crucial factor in spending money.”
Meanwhile, Poovulagin Nanbargal had launched an online campaign urging the public to go for a pollution-free Deepavali by avoiding crackers. “In the era of climate change, pollution due to crackers is affecting senior citizens, anyone with respiratory ailments, and in many ways, even kids and youngsters too. Burring firecrackers enhances the greenhouse effect,” said an online campaign of the NGO.