Almost all countries are under some degree of “lockdown,” with offices, restaurants and bars, shops, schools and gyms closed, and citizens required, or at least strongly encouraged, to stay home to avoid catching or spreading COVID-19. Needless to say, many industries have taken a hit since the last 3 months, some of them are more worst-hit than others.
The COVID -19 pandemic has put a stop to work globally. All major economies have felt the effect the coronavirus, not just in dealing with the disease, but also the monetary backlash. Some of the worst-hit industries include Information Technology (IT), agriculture, food and beverage, tours and travels and equity market.
Information Technology (IT)
The significant weaknesses of and over-dependency on the IT industry are visible now and no doubt, this sector is truly one of the worst-hit. Nearly all IT companies are facing losses due to the fall in the economy, as a lot of companies are forced to ask their employees to work from home (remotely) keeping in the account of the public health concerns. Due to this, there is a massive loss in opportunity for companies that work on international projects. Many smaller IT corporations did not have any disaster management plan or environments for work from home and these companies have laid off their workforce to deal with the losses. Those that are straggling through have cut salaries and given leave without pay to most of their employees in order to survive.
The spread of this deadly virus has caused a lot of tech conferences to get cancelled, which could have been a great partnership opportunity for many companies to expand their horizons. Virtual meetings will not have the same impact or networking opportunities that face-to-face conversations do.
Agriculture
For a country that is largely agrarian, this pandemic has created havoc. Distribution of the commodities to a vulnerable population, while maintaining prescribed guidelines and protocol, particularly of social distancing, must be effectively monitored. Despite all these measures and because of continuing restrictions on movements of people and vehicular traffic, concerns have been raised regarding negative implications of COVID19 pandemic on the farming economy.
This is the peak of the harvest season in India and crops like wheat, gram, lentil, mustard, etc. (including paddy in irrigated tracts) are at the harvest stage or almost reaching maturity. This is also the time when the farm harvests reach the market yards for assured procurement operations by designated government agencies. There is severe disruption to the supply of perishable fruits and vegetables, dairy products, fish. With no one to buy the harvest this year and no markets to sell to, the fear of farmer suicides is at its peak.
Food and Beverage
Social distancing, self-isolation and city-wide lockdowns have forced many establishments to close in India. As the situation evolves, the effects are causing a ripple throughout the wellness industry globally, with business owners and stakeholders calling for governments to provide support and guidance. Restaurants and cafes have found themselves on the front line of the crisis, with many already being forced to close as a result of social distancing. The government has effectively shut the hospitality industry without any support, and this announcement will lead to thousands of businesses closing their doors for good, and hundreds of thousands of job losses.
Travel and Tourism
The tourism industry is one of the worst-hit by the outbreak of COVID-19 lockdowns and probably was the first one to be hit since global travel came to a halt even before other industries were asked to suspend their work. The World Travel & Tourism Council has warned that 75 million jobs worldwide are at risks. The UN’s World Tourism Organization (UNWTO) has already killed more than 137,000 worldwide, would result in global international tourist arrivals declining by between 20% to 30% this year. It is estimated that it will take a quarter of a decade before the travel and tourism industry will go back to what it was and event then it won’t be the same.
It will be no piece of cake for the global economy to get back on its feet and even longer before these industries will start picking up. COVID-19 will have long-standing implications and not just on human health.
