FMCG, medicine supplies disrupted in Manipur amid unrest

Large packaged foods and fast-moving consumer goods (FMCG) companies said operations in Manipur have been stalled, with some even moving their employees out of the strife-hit state, executives of half a dozen firms said.

"Supplies of many daily essentials and packaged foods are being disrupted, as distributors and stockists are unable to supply to retailers," a spokesperson of the North East Distributors Federation for FMCG told ET. "Trade channels are disrupted, transportation is hampered as many roads and connecting highways are blocked. Business is suffering."

However, government officials have said prices of essential commodities are being kept under check, adding that there is no spike in the rates of medicines or fuel either.


While the state is a relatively smaller market within the Northeast, executives said distributors in nearby Guwahati have also been unable to service grocery demands. "We have evacuated our employees in Manipur. They don't want to go back because there is so much fear in the state. Supplies are disrupted and business is hit, but employee safety is the most crucial concern at this stage," said the chief executive of a large packaged foods company who didn't want to be named.

Executives said companies worst affected are those supplying daily needs products, packaged foods and medicines. The internet shutdown and restricted mobile connectivity have made it difficult for companies to stay connected with distributors.

Internet closures have been imposed intermittently in the state for about three months now. While the state government permitted conditional access starting July 25, connectivity has remained restricted, said representatives of three companies.

The state has been torn by ethnic clashes since early May.

"What is particularly disrupting is that we don't know when there will be a resolution. Information from the state is now limited," said another executive at a personal care company.

The Manipur Chemists and Druggists Association said in media statements in May that highway blockades were impacting transport of life-saving drugs in the state. An executive of the association told ET that the situation "has not seen much improvement." Another senior executive from a packaged foods company likened the situation to disruptions during the Covid-19 pandemic. "There is demand for essentials, foods and medicines," he said. "The problem is, we are unable to service retail trade, because of blockages." Given the lack of information, companies are finding it difficult to plan logistics, unlike during the pandemic.

"This is not the case now. We hope the situation will be under control and this is temporary," he said.