2020 began with the same zeal & resolutions like every other year.For many it was going to be the same mundane year which would just add an unit to their age but for some it was going to be a year of opportunities. An opportunity to get a good job, an opportunity to start one’s own business, an opportunity to enjoy a very good harvest but everything was delayed if not ruined by an unprecedented & highly contagious RNA virus originated in the wet markets of Wuhan named as Corona Virus Disease i.e COVID-19. The virus stepped it’s foot in India just after two months of the new year celebrations. The disease choked out farmers of their harvest, graduates of their Jobs and entrepreneurs of their dreams like it chokes out human body out of life. Corona a type of Severe Acute Respiratory Syndrome i.e SARS virus blocked trachea of world economy ,also robbing Prime Minister Modi of his 5 trillion dollar economy’s dream. Adding to this event Super Cyclone AMPHAN with devastating wind speeds of over 260 kmph had started to shape it’s eye in the Bay of Bengal sea and it spread havoc on the eastern coastline on India amidst the Corona crisis. The grief was as if not enough that another news of the most severe LOCUST attack in three decades rattled Indian farmers.These three overlapping events have cemented year 2020 to go down in books as a year of disasters for India.
Now we will briefly discuss the economic repercussions of these events.

a) Corona virus and it’s impact–

- A significant 53 per cent of Indian businesses indicate the marked impact of the COVID-19 pandemic on business operations even at early stages.
- The pandemic has significantly impacted the cash flow at organizations with almost 80 percent reporting a decrease in cash flow.
- The pandemic has had a major impact on the supply chains as more than 60 per cent respondents indicate that their supply chains were affected. The companies also highlighted that they are closely monitoring the situation and expect the impact of the pandemic on the supply chain to worsen further.
- During the lock down, an estimated 14 crore (140 million) people lost employment. More than 45% of households across the nation have reported an income drop as compared to the previous year.
- The Indian economy to lost over ₹32,000 crore (US$4.5 billion) every day during the first 21-days of complete lock down.
- India’s economy is predicted to shrink by 5% .
- 15.6 million people in south Asia are going to be pushed below poverty line.
- The price of a barrel of West Texas Intermediate (WTI), the benchmark for US oil, fell as low as minus $37.63 a barrel.
- Economists all over the world are predicting worse economic conditions than great depression of 1930.
b) Cyclone Amphan & it’s impact-


- West Bengal is one of the largest contributors to India’s national mango output of around 22 million ton (mt) that is near 40% of global yield. Incidentally all the mango producing zones in West Bengal like districts of Malda, Murshidabad have been hit by cyclone and around 2.5 lakh people are dependent on this perishable fruit.
- Kolkata, home to almost 15 million people, bore the brunt of Cyclone Amphan, which tore roofs off buildings, smashed windows, pulled down trees and pylons and overturned cars.
- An estimated damage of 13.2 billion has been predicted by various international sources.
c)Locust attack-

- A swarm the size of Delhi may consume the same amount of food in one day as every inhabitant in Rajasthan or Madhya Pradesh in one day.
- A swarm of desert locust containing around 40 million locusts can consume (or destroy) food that would suffice the hunger need of 35,000 people, assuming that one person consumes around 2.3 kg of food every day.
- It can cause severe crop damage which will get amplified due to this corona crisis.Damages can sore up as high as 10 crore or even more than that.
THANK YOU.
Source- India Today, mausam.imd.gov.in, McKinsey & Company.





