Apparel industry the most adversely impacted sector: – SANJAY BAHL, GROUP CFO, RAYMOND

Brands like Raymond are taking steps for effective cost rationalisation by cutting down all noncritical expenses and marketing spends, managing the cash flows along with keeping the cost of working capital low

- Charu Lamba

The ongoing lockdown to curb the spread of Coronavirus has impacted the Indian retail industry in a big way. Brands like Raymond are taking steps for effective cost rationalisation by cutting down all noncritical expenses and marketing spends, managing the cash flows along with keeping the cost of working capital low.

Raymond is also deploying all tools to effectively manage the liquidity with an increased focus on payment realization from the market.

In an interaction with Indiaretailing Bureau, Sanjay Bahl, Group CFO, Raymond talked about the industry efforts that are going in minimising the loss due to Covid-19, the pandemic’s impact on consumer behaviour and a lot more.

How has Covid-19 impacted the apparel industry?

Apparel industry in India is amongst the most adversely impacted sectors. Taking into account the current shutdown, the revenues of apparel industry are stalled as it falls under the non-essential category. Thus, maintaining adequate cash flows during lockdown is a big challenge. Additionally, managing current inventory levels is a challenge as both domestic and international demand have eroded, and international buyers are postponing their orders.

What kind of support is the sector seeking from the government – both state and central?