This article is more than 1 month old.

Demand should return in June if second COVID wave peaks by May-end: M&M's Hemant Sikka

Mini

As India's COVID-19 cases spike as the country battles the second wave of the pandemic, almost all states have some fresh restrictions in place. Hemant Sikka, President - Farm Equipment Sector at Mahindra and Mahindra (M&M) discussed the demand picture in this environment as well as the outlook ahead of the monsoon season.

As India's COVID-19 cases spike as the country battles the second wave of the pandemic, almost all states have some fresh restrictions in place.
Hemant Sikka, President - Farm Equipment Sector at Mahindra and Mahindra (M&M) discussed the demand picture in this environment as well as the outlook ahead of the monsoon season.
He believes that demand will come back in June if cases peak at the end of May. “If we are able to see cases go down by end of May, the demand should come back in the month of June,” he stated.
On the financing side of the supply chain, things are looking good and are holding up very well, he shared.
“However, we are seeing the disruption of the supply chain not because of labour but because of oxygen availability. Our suppliers are impacted, some of the operations we have moved away from oxygen to other gases, however, there are certain operations that we cannot move. So to that extent, the supply chain is disrupted,” he further mentioned.
Ramp-up of the production will be quick once the oxygen supply is restored since there is no complete shutdown of the plant, he said.
The COVID second wave is much deeper this time and that is putting a strain on people. “Agricultural parameters continue to be strong. All this is going to put a lot of cash into the hands of the farmer, however, people tend to hold cash for any eventuality. So that parameter will play out. However, the COVID wave is playing out and that is a matter of concern for us,” he mentioned.
For the full interview, watch the video.

Market Movers

CompanyPriceChange%Loss
ONGC120.25 -4.85
Coal India146.40 -5.75
JSW Steel670.60 -25.75
NTPC113.55 -3.85
UPL808.00 -27.05
CompanyPriceChange%Loss
ONGC120.35 -4.65
NTPC113.55 -3.70
M&M784.85 -20.60
Power Grid Corp233.00 -6.70
Nestle17,678.30 -375.20
CompanyPriceChange%Loss
ONGC120.25 -4.85 -3.88
Coal India146.40 -5.75 -3.78
JSW Steel670.60 -25.75 -3.70
NTPC113.55 -3.85 -3.28
UPL808.00 -27.05 -3.24
CompanyPriceChange%Loss
ONGC120.35 -4.65 -3.72
NTPC113.55 -3.70 -3.16
M&M784.85 -20.60 -2.56
Power Grid Corp233.00 -6.70 -2.80
Nestle17,678.30 -375.20 -2.08

Currency

CompanyPriceChng%Chng
Dollar-Rupee73.8600-0.2175-0.29
Euro-Rupee87.8770-0.4200-0.48
Pound-Rupee102.2970-0.9290-0.90
Rupee-100 Yen0.6699-0.0019-0.29