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Protests Take A Bite Out Of Retail, F&B Businesses Ahead Of Durga Puja

It’s a scene unfamiliar to New Market. The flow of customers at this giant shopping arcade from the colonial era has dwindled to a trickle. Shop owners are idling, and cars breeze along nearby Lindsay Street, otherwise a torment for commuters.

The red-brick, Gothic-style marketplace, formerly known as Sir Stuart Hogg Market in central Kolkata, dates back to 1874. It has long been a treasure trove for budget-friendly shoppers, even as swanky outlets have sprouted across the city.

From readymade to unstitched garments, flashy costume jewellery to silver classics, and gourmet food items to fish — it’s a paradise for compulsive and impulsive buyers alike. But with just a month to go for Durga Puja, West Bengal’s biggest festival, the narrow alleys lined with shops are sparsely populated.

“I don’t know the reason, but people are not coming to the market,” said a salesperson at a saree and lehenga store.

A black banner seeking ‘justice’ from the West Bengal Junior Doctors’ Front at the market’s entrance paints the picture of a city engulfed by protests.

Kolkata has been on the boil. Since the alleged rape and murder of a postgraduate trainee doctor at the state-owned RG Kar Medical College and Hospital, the city has risen to demand ‘justice’ for the victim with demonstrations, graffiti, street plays, and more. Opposition parties are playing catch-up.

At the receiving end are retail and food & beverages (F&B) businesses, especially with Durga Puja round the corner.

“This is peak time for puja sales. Daily sales should have hit Rs 50,000 by now. Instead, they are languishing at Rs 5,000, with stocks piling up,” rues the owner of a children’s garment shop at New Market.

Another fabric retailer said: “People who buy fabrics usually keep a buffer of one and a half to two months. The festive season looks like a washout.”

Across marketplaces, the scene is similar. At Gariahat, a popular destination in South Kolkata, major saree shops look desolate.

According to a national-level major retailer, the sentiment is definitely low due to the protests. “Also, there are disruptions to life because of which people are not moving around much. This is having an impact on footfall at stores.”

However, there is hope that things will normalise closer to the festival. A retail industry official said: “We will have to wait and watch. The overall sentiment in the country has been low. But demand could pick up closer to the festival.”

Another big retailer said sales were gradually picking up, but there was still some time for Puja. “Initial trends show that it could be normal.”

Footfall and business at upmarket malls in Kolkata have taken a hit so far.

Man Mohan Bagree, vice-president of South City Group, said business had been impacted since mid-August when protests hit the streets and was down by about 20-25 per cent from expected sales.

“The closure of the end-of-season sale was affected. The F&B business is badly hit — down by about 30 per cent from usual sales, as guests are avoiding stepping out due to daily protests in various pockets and the overall mood.”

South City Mall has 11 restaurants-cum-bars and a 1,400-seater food court.

At Quest, a luxury and premium mall, footfall was down marginally. “People are sad about what has happened, and business is muted. The effect has been felt since the last week of August. By the end of October, we will know the actual impact,” said Sanjeev Mehra, chief executive officer and executive director of Quest Properties.

Footfall at Acropolis Mall last Sunday was 30 per cent lower compared to the corresponding period last year. “In general, stores also saw mild responses, as we used to get many visitors from Bangladesh earlier,” said Subhadip Basu, general manager of Acropolis Mall.

Traffic snarls due to protests are adding to the woes of the F&B industry.

“Our business has been affected from the day protests started. It has taken a toll on all the malls. Year-on-year, our sales are down by about 30 per cent. Some of it is being offset by deliveries, but dine-in numbers have dropped because people are not in a mood to celebrate,” said Anjan Chatterjee, chairman and managing director of Speciality Restaurants.

Speciality has 34 units across the city.

Business is slow on Park Street as well, the gastro hub of Kolkata.

According to Anand Puri, a third-generation owner of Trincas, the lunch business is doing fine, but people are stepping out less in the evenings. “The brighter side is that people who come in have shorter wait times.”

Nitin Kothari, who owns Peter Cat, Mocambo, and Peter Hu?, said the impact of the protests and the overall mood was felt last week (Monday-Thursday). However, the weekend saw good business. “Time is the best healer,” he adds.

Corporate sponsors of Durga Puja are trying to assess the situation. From banks to companies in fast-moving consumer goods (FMCG) and consumer durables — all have a budget for the festival.

A major sponsor said requests had come in from puja committees. “We are still evaluating.”

Durga Puja is an industry. “Hundreds of thousands depend on the festival for their livelihoods,”said  Saswata Basu, general secretary of the Forum for Durgotsab. Basu is hopeful that corporate sponsorship will remain buoyant.

Big-budget pujas largely depend on corporate sponsorship. Stalls, banners, and pillars are the main money spinners for the puja committees.

Anjan Ukil, secretary of the Ballygunge Cultural Association (BCA), said, “Enquiries have come in. Advertisers usually close bookings for banners, gates, etc., by now. But they are delaying decisions on approvals.” BCA is a prominent puja committee in South Kolkata.

Avijit Majumder, general secretary of the Singhee Park Durga Puja Committee, said direct sponsors had made bookings, but advertising agencies were treading cautiously.

In North Kolkata, Gautam Neogi, general secretary of Bagbazar Sarbojanin Durgotsav, said, “Among the major sponsors, we have an agreement with Coca-Cola. Negotiations are on with others. We expect the pace to pick up after Ganesh Puja.”

Dhrubajyoti Bose Suvo, a key organiser of last year’s major attraction, Tala Prattoy puja, admitted the ongoing protests have had an impact.

However, he added: “Big companies have given purchase orders to puja committees or agencies. If the market is down, the impact will be felt on a large scale next year. Plans for this year have already been finalised, and committees will go ahead with them.”

West Bengal is home to 43,000 Durga Pujas, and the business around it is a major economic driver.

A research commissioned by the British Council at the behest of the West Bengal tourism department pegged the total economic worth of the creative industries around the festival at Rs 32,377 crore (figures estimated around the 2019 Durga Puja). Retail accounted for the major share.

However, the UNESCO intangible cultural heritage tag in 2021 has given both the mass art and business around it a fillip.

Last year, West Bengal Chief Minister Mamata Banerjee reportedly said the celebrations generated over Rs 80,000 crore in business and provided employment opportunities for close to 300,000 people.

There is a lot riding on the festival.

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