Dominoe effect

For us focused on big companies, it is sometimes difficult to see how happenings, even the China slowdown has a fallout in far corners of the country.

Loha Mandi or Mandi Gobindgarh near Ludhiana, till a few months ago was bustling small town, with trucks and people milling the streets. The drone of machines, the smell of metal was omnipresent. But today, the town has fallen silent. This hub of the Indian steel industry is today literally out of business, the factories have downed their shutters. Some 400 steel mills have closed down over the past two years and migrant workers, which formed the majority of population of Loha Mandi, have all but migrated to other towns, in search of other jobs.

This is probably the scene in almost all small towns across India. Many of these towns serve as hubs for various industries and now because of the overall slowdown, most of these towns wear a deserted look. There is no fresh investment coming in. Unemployment is on the rise and skilled workers are once again looking Gulf wards to earn a living as living at home in no longer a viable option.

Thus when we analyze any company or industry, sitting in the cool confines of our rooms, it is impossible to fathom the slowdown has trickled down to all corners of India, affecting so many lives, changing it irrevocably forever.