As industries resume operations, city’s retailers feel economic ripple of floods

While Ludhiana’s industrial backbone remained largely intact during the recent floods that ravaged the state, the city’s retail sector is grappling with the aftermath.

Floodwaters spared the city’s major industrial zones, but a three-day shutdown due to the rains from August 28 to 30 brought operations to a standstill, and the ripple effects continue to impact local businesses.

Factories resumed work swiftly after the shutdown, but retailers—especially in low-lying areas like Field Ganj, Karimpura, Tajpur, Shivpuri etc have borne the brunt. With consumer sentiment dampened and footfall drastically reduced, only essential rain-related items are being demanded by customers.

“The factory stayed shut for days—not because of damage, but because our workers couldn’t reach it. We’re already struggling with the pressure from US tariffs, and now this rain just adds to the weight,” said Santosh Gupta, a garment manufacturer.

Garment shops, in particular, have suffered losses due to water seepage and damage to inventory.

“We had to throw away half our stock. Water entered the shop and ruined everything,” said Ramesh Kumar, a shopkeeper in Field Ganj.

“Even now, people aren’t coming out to shop. They’re only buying umbrellas and raincoats,” added another retailer, Sunil Verma, whose store also faced water damage.

The broader picture across Punjab is grim. In a letter to Prime Minister Narendra Modi, World MSME Forum and national president of the All Industries and Trade Forum, Badish Jindal, urged the Central Government to announce Rs 1 lakh crore relief package for the flood-hit state. He described the situation as the worst flood disaster since 1988, citing catastrophic losses in agriculture and industry.

According to the letter, Jindal said that over 32 lakh acres of paddy have been destroyed, amounting to Rs 49,700 crore in losses and lakhs of cattle had perished, crippling milk production.

“Industrial units across the state have lost machinery, raw materials and finished goods. Rice sellers and warehouses have seen lakhs of tonnes of grain being washed away,” he said.

Jindal emphasised Punjab’s economic contribution, noting that the state pays over Rs 22 lakh crore in GST and Rs 30 lakh crore in income and other taxes annually. He called for an extension in the tax filing deadlines till January, waiver of dues and interest-free loans for five years and moratorium on PF and ESI contributions for four months.

The forum also demanded compensation for workers and collateral-free credit for affected industries.

“Punjab has always stood by India. Now it is time for India to stand by Punjab,” Jindal wrote, urging swift and decisive action.

As Ludhiana’s factories hum back to life, its retailers wait for customers to return—and for relief measures to trickle down to the street level.