Precaution: Electronics and auto companies engaged in dealing with the impact of Omicron, started increasing stock from many companies

Automobile and electronics companies that suffered losses during the first two waves of Corona are preparing to deal with possible problems with the influx of the new variant of Corona, Omicron. Many companies have started increasing the stock of raw and finished goods. Apart from this, additional orders are also being placed for 1-2 months requirement to deal with supply constraints.

Indian companies order components from other countries
Many small and big components for electronics goods and auto companies in India are imported from countries like China, Taiwan, Hong Kong and South Korea. Many companies also import finished goods from these countries.

Companies fear that as the virus infection increases like last time, these countries may suddenly close ports, airports and factories. This can lead to problems in the production of the industry and in managing the inventory. Even before the shortage of components, the production of major automobile companies of the country has decreased by 15-20%.

Inventory of selected parts is also being increased
A spokesperson of Tata Motors, the country’s largest automobile company, told Dainik Bhaskar, “We are actively engaging suppliers by taking lessons from past experiences. Apart from this, the inventory of selected parts is also being increased. As far as the country’s largest car company Maruti Suzuki is concerned, it is currently in a wait and watch situation.

don’t wanna take any chances
Godrej Appliances will reduce the inventory level to two months instead of one month. Shipping charges will increase further due to Omicron. Apart from this, there is a possibility of supply interruption. So we don’t want to take any chances. , Kamal Nandi, Vice President, Godrej and Boyce

FICCI asks Center to take conscious steps
FICCI, the representative body of Indian industry, has asked the government not to take any thoughtless step in the panic of the Omicron variant. According to FICCI, any hasty move will create an atmosphere of panic. The country’s economic activity suffered a lot due to the lockdown between the first two waves of the Kovid-19 epidemic.