Small jewellers in Zaveri bazaar still struggle to cope

Mumbai: After initial losses incurred by jewellery and handloom traders at Zaveri bazaar post demonetisation, the business is now functioning smoothly for established traders. However, smaller traders have claimed that demand for cashless payment by customers is still creating problems. With suppliers demanding cash payments, small businesses are facing a cash crunch while purchasing inventory. Small traders are still not prepared to handle cashless transactions which have increased post demonetisation, and want the old cash system to continue.

When The Asian Age visited Zaveri bazaar, big jewellery showrooms were brimming with customers however, smaller jewellery shops had relatively less customers. Kamal Chandani, who owns a jewellery shop in Ganeshwadi, Zaveri bazaar, for the past three years, said, “We are suffering losses since last year, not because of less purchases but because of the cash crunch we are facing, while getting stock from suppliers. For consumers, it may have become easier with digital transactions, but at times, for immediate supply, we need cash in bulk which is not there with us.”

Another small tradersaid, “The ones who have their shops since 10 to 20 years don’t have monetary problems. But as we have started only a few years ago, we don’t have that kind of capital. Many of us are not able to handle digital transactions and some of the suppliers too, ask for cash payments. Due to delay in payments, we even get the stock late.”

By contrast, Mahendra Shukla, a handloom trader in Zaveri bazaar for the past ten years, said, “Business is in fact more transparent now as all payments are through NEFT (National Electronic Funds Transfer) now. It saves time in depositing bulk money in the bank personally.”