Impact of farmers protest on transportation

There is so much noise around the Farmer’s protest. Where many people are supporting farmers others are not exactly in the favor of the protest. However, when there is a protest of this size happening in a country’s capital, the transport industry is sure to suffer. Let’s take a look at what is happening with the truckers and the transportation industry.

How is it affecting transportation?

Truck drivers are facing many issues due to the Farmer’s protest. As farmers are blocking the roads and there are traffic jams too. Other than this, there is always a risk of things getting out of hand and turning into violence during these protests. However, the transportation industry is still doing its best and delivering goods while taking huge risks.

The condition is getting worse with each day. As you can see, according to a statement by the CII, if the farmer’s protest continues then the logistics cost may increase up to 8 to 10% on average due to an increase in the detours while carrying consignments. Transports are having to travel almost 50% more distance to reach destinations like Rajasthan, Haryana, Delhi-NCR, and Punjab.

ASSOCHAM President Dr. Niranjan Hiranandani made a statement saying, “The size of the combined economies of Himachal Pradesh, Haryana, Jammu Kashmir, and Punjab are 18 Lakhs crore rupees. And, as we can see the national highways, railways, toll plazas, the economic activities have come to a halt.”

During the same interview, he also stated that “the combined economy of these states are bearing losses to a total sum of 3,500 crores.”

Other than all of this, protestors are threatening to halt the supply of essential goods that will result in a complete shutdown of transportation across these states. And, we will see a huge loss for the transportation industry both money-wise as well as loose in the market.

How is it going to change the market?

After checking from different sources, we gathered that the market is still in balance with supply and demands for consumable items being constant. However, if the protest doesn’t stop soon, truck drivers will not be able to deliver goods on time which will result in the loss.

Another effect is going to be the price change in consumable goods like vegetables and fruits. Since truck drivers have to ask for more money due to traveling a longer distance,  mandi sellers have to sell fruits and vegetables at a higher price. This is going to completely disrupt the market.

Conclusion

In the end, all we want to say, that the farmer’s protest has definitely affected the transportation industry. And, if the situation continues to become worse, it will affect both the mandi and the transportation industry as well. Unless the government does something to make sure that the protest stops or at least other industries don’t get affected, nothing will change. The situation will keep getting worse and we will definitely see changes in supply & demand as well as price rise for consumable products.

Sources:

https://www.indiatoday.in/india/story/farmers-protest-impacted-transport-supply-traders-delhi-mandis-express-concern-1753848-2020-12-28

https://www.indiatvnews.com/news/india/bharat-bandh-impact-business-transport-services-farmers-protest-farm-laws-670155

https://www.thehindu.com/business/Industry/farmer-protests-may-increase-logistic-costs-by-up-to-10-cii/article33330543.ece