Impact of Israel-Iran Conflict on Rajasthan's Mehendi Industry

Original: Israel-Iran war disrupts Rajasthan's Mehendi trade

The Economic Times•Apr 6, 20263 min

In a Nutshell

The ongoing Israel-Iran conflict is severely disrupting the mehendi industry in Sojat, Pali district, Rajasthan, with exports significantly affected and production halting. Traders report that around ₹250 crore worth of goods are stuck at ports, leading to a drastic decline in operations and labor challenges.

Key Points

01The Israel-Iran conflict has severely impacted Rajasthan's mehendi industry.
02Exports worth approximately ₹250 crore are stuck at ports due to the conflict.
03Production in Sojat has dropped by nearly 80%, affecting over 150 factories.
04Laborers are facing reduced working hours and returning to their hometowns.
05Sojat's mehendi is crucial for international markets, especially in the Middle East.

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Full Summary

The ongoing conflict involving the United States, Israel, and Iran is having a profound impact on the mehendi (henna) industry in Sojat, a subdivision in Pali district, Rajasthan. This region is known for its unique soil and climate that contribute to high-quality mehendi production. Traders report that exports have been hit hard, with goods worth approximately ₹250 crore stuck at ports and production slowing to a near halt. The industry, which typically has an annual turnover of ₹4,000-5,000 crore, has seen production drop by nearly 80%. Many factories, which previously operated around the clock, are now functioning only half that time, causing laborers from Uttar Pradesh and Bihar to return home due to reduced work opportunities. The conflict began with US-Israeli military strikes on Iran, leading to retaliatory actions from Tehran that have disrupted trade routes and caused significant economic instability. Traders remain hopeful for a resolution to resume business operations and restore normalcy in exports, particularly to high-demand markets in the Middle East and beyond.

Key Figures

₹250 crore

Value of goods stuck at ports

80%

Decline in production

₹4,000-5,000 crore

Annual turnover of the mehendi industry

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Why It Matters

The disruption in the mehendi industry affects local economies and labor markets, with many workers facing job losses and reduced income.

Who is affected

Laborers, traders, and the local economy in Sojat, Rajasthan.

What to know

Traders and workers should seek alternative markets and adapt to the current situation while hoping for a resolution to the conflict.

FAQ

The conflict has led to significant export disruptions, with goods worth ₹250 crore stuck at ports and production halting by nearly 80%.

Workers are facing reduced hours, with many factories operating only 12 hours a day, leading to laborers returning to their hometowns due to lack of work.

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