Thursday

15


November , 2018
Firecracker industry showing signs of revival
16:43 pm

Aniket Panja


Historically, fireworks and pyrotechnic shows existed as a form of royal entertainment in India. At present, the firecracker industry is booming in India and it experiences a significant spike during Diwali. The Indian firecracker industry is currently the second largest in the world and is only behind China. It is worth around RS. 6000 crore and with an annual growth rate of about 10%, it is providing employment opportunities to over five lakh families, directly or indirectly. Apart from Diwali, the wedding season also witnesses a rise in demand for firecrackers and they are also being increasingly used in the entertainment industry.

The industry, in many places, is regional in nature. Nungi, situated in South 24 Parganas district, West Bengal is a regional hub of firecracker production. However, many associated with this industry also work in the shoe-making industry during the lean season. Sivakasi, a town in Virudhunagar district, Tamil Nadu, is the centre of the Indian firecracker manufacturing industry. The firecracker industry in Sivakasi employs over 2,50,000 people with an estimated turnover of around Rs. 20 billion. According to industry estimates, the town manufactures around 85% of the firecrackers in the country. The hot and dry climate of the town is conducive for the industry.  

In West Bengal, most of the firecracker production is concentrated in and around Nungi. Additionally, Champahati, Chingripota, Barasat and Harole are the other important manufacturing zones. The industry is mostly cottage-scaled in the state and is also seasonal. According to Rabi Das, a firecracker vendor from Nungi, “We sell 95% of our total products during the Diwali season, but small batches
are sold throughout the year.” West Bengal has strict regulations regarding crackers that can cause sound pollution. However, many firecracker manufacturers still produce these crackers as the production cost is lower and the profit margins are high. 

According to manufacturers and vendors, the demand for firecrackers had dipped substantially after demonetisation and the implementation of the Goods and Services Tax (GST). However, the market is showing signs of revival. The demand of legal crackers is high and that market is also bigger in West Bengal. But banned items also have their own niche. According to Gopal Das, a firecracker manufacturer from Nungi, “If a retailer buys fireworks worth Rs. 25,000, he will invest Rs. 15,000–16,000 on normal crackers and the rest on banned ones.” He also stated that Bengal is one of the few states where foreign (Chinese) crackers are not allowed. According to a market insider who refused to be named, “The yearly turnover of Bengal’s fireworks industry is no less than Rs. 100-150 crore, with at least 30% accounted for by illegal crackers.”

The flip side

The firecracker industry is highly hazardous. According to recent estimates, pollution levels go up by around 30% on and immediately after Diwali. Firecrackers contain traces of metals that are toxic for the human body. For every hour of firework display, the level of strontium (a chemically reactive and polluting metal) in air increases by 120 times. Additionally, the industry is highly unregulated. According to governmental estimates, around 80 million children are employed in the firework industry globally and the majority of them are employed in India. Many of them are exposed to life threatening respiratory diseases.

 

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