Balmer Lawrie's travel, logistics businesses hit by lockdown

Kolkata, Apr 19 () The prolonged lockdown has badlyhit the travel, tourism and logistics verticals of diversifiedPSU Balmer Lawrie and Co Ltd and the company is bracing itselffor a drop in profit this fiscal, an official said.

Travel, tourism and logistics are the strategicbusiness units (SBUs), which contribute about 40 per cent ofoverall annual revenue of the city-headquartered company and60 per cent of its profit, he said.

"Among the six verticals of the company, travel,tourism and logistics businesses are the worst-hit," BalmerLawrie CMD Prabal Basu told .

All travel and tourism related bookings have beencancelled since March 14, and people are scared of thecoronavirus pandemic, he said.

"Confidence is low and nobody wants to come out," hesaid.

In case of logistics, there is a global problem, andimports from China, US and Europe countries came to astandstill as these nations are in crisis due to thecoronavirus outbreak, he said.

"The logistics services has been badly affected," Basusaid, adding that its lubricant manufacturing factories arealso closed due to the lockdown.

Only the industrial packaging division of the companyis now working but in a small scale with restrictions onmanpower, and all norms relating to health safety and socialdistancing are followed, he said.

Basu said the economy is going through a "challengingtime" and will "take at least one year to stabilise". DCBDC BDC