Corona: taking much more than lives

Corona virus is the biggest problem in the world right now. The virus will have havoc impact on the global economy and India will also face it. Corona virus is a respiratory illness caused by a new virus. Symptoms range from a mild cough to pneumonia. Some people recover easily, others may get very sick very quickly. There is evidence that it spreads from person to person. Good hygiene can prevent infection. people with corona virus may experience fever,flu-like symptoms such as coughing, sore throat and fatigue, shortness of breath. Now lets talk about the economy impact that India have already started to face.India and china trade is reached to almost $ 93 billion. Indian economy has became overdependent on its northern neighbor for import of vital material used to produce medicine, autos and electronics.The most hard hit sector will be the Pharmaceutical sector.
India's pharma sector is currently imports 80% Active Pharmaceutical Ingredient (API 's) and essential raw material for the manufacture of medicine from China.The supply constraints ( production and logistical delays) due to the spread of virus have nearly doubled the cost API such as paracetamol, used  to manufacture an over the counter medicine called Crocin. Apart from price hike India's pharmaceutical companies are dealing with a low inventory. Only three month of stock of the API is left in India. Making the matter worst spread to other countries such as Japan, South Korea and Iran,is now threatening to disrupt alternate sources of supply chain. Beyond finished products, more than 70%of the components needed for the TVs, smartphones and key components of durable consumer goods like washing machines and refrigerator and ACs originate from China. These electronic products comprises nearly half of the gross merchandise value (GMV) of Amazon and Flipkart and nearly 47% of online sale in India. Gross merchandise value is the total value of merchandise sold over a given period of time through a customer-to-customer exchange site. Since the outbreak of the virus in January chinese vendors have already raised the price of some components by more than 2% and prices of TV pannels by more than 15% which eventually raised the cost of existing models and delayed the launch of the new models. The trade impact of the coronavirus epidemic for India is estimated to be about 348 million dollars and the country figures among the top 15 economies most affected as slowdown of manufacturing in China disrupts world trade, according to a UN report.
          

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