'Inflation' bomb hits Kolhapur

Known as the Dakshin Kashi since ancient times, Kolhapur is an important city in Maharashtra. And when we talk about this enchanting city, three things come to our minds, Kolhapuri pheta or turban, world famous kolhapuri chappal or footwear, and Kolhapuri jaggery which is famous throughout the country. Regulated market facilities and ample production of sugarcane in the surrounding areas of Kolhapur have not only given impetus to the establishment of sugar factories in the city, but has also made it as an important marketing place for jaggery.

Besides these, the city also holds religious value as popular Mahalakshmi and Jyotiba temples are l;ocated here. Moreover, the wrestling arena, one of its kind in the country, is also a proud possession of the city.

But, one thing where Kolhapur has been not been faring well, of late, is the information technology sector. The city's IT market has been witnessing a downfall from the last couple of months and the dealers hold soaring inflation as the prime reason for it. "The market is in a very bad shape. Continuous price rise, due to which the IT products have also become costly, has hit our business badly," says Prashant Vinod Lohia of Impulse technologies. Arun Managave from Aditya Peripherals also has similar views. He says, The IT business has gone down tremendously. It has been hit almost by 50% and inflation is the main reason for it." Besides rising prices, dealers say the ongoing holiday season has also brought down their business. "May-June are always dull months. Students have holidays and so the business gets slow," opined Managave.

Talking about the growth verticals of the market, SOHO segment gets in maximum business for it. "SOHO brings better business as compared to education and government sector," said Lohia. Laptops are the best selling IT product and Dell and HP have been topping the list when it comes to brands.

The market, that has an annual turnover of around Rs. 80 to 90 cr, has an IT association with the name, Computer Association of Kolhapur (CAK). However, according to dealers the association has been keeping a low profile for some time now. "We have an association called Computer Association of Kolhapur, but it is not that active," informed Lohia.

Market Name: Kolhapur

Market Location: Maharashtra

Surrounding Markets: Mumbai, Pune, Aurangabad

Computer Association: Computer Association of Kolhapur

Prominent Dealers: Aditya Peripherals, Atharva Technologies, Impulse Technologies, Veetrag Computers

Business Verticals: Soho and education

Number of Active Dealers: 15-20