This story is from October 25, 2011

Dhamaka to be more expensive

Diwali this year may turn out to be an expensive affair. Traders in Raipur say there has been a 30-40 per cent increase in the price of firecrackers this year.
Dhamaka to be more expensive
AHMEDABAD: Diwali this year may turn out to be an expensive affair. Traders in Raipur say there has been a 30-40 per cent increase in the price of firecrackers this year.
"The prices for firecrackers have gone up by 30-35 per cent compared to last year. This increase has affected the sales by around 25 per cent," said Devang Choksi, owner of Annapurna Fireworks.
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The hike is a combination of several factors that have influenced the production at cracker factories in Tamil Nadu. The primary reason for inflation is the enforcement of Child Labour laws in the region. In firecracker industry, the chief source of labour is children. Increase in costs of raw materials used for production and higher wages, along with rise in the price of diesel, have added to the cost of fire crackers.
Bhavin of Ambica Traders said, "This time, demand for firecrackers is more, but the supply, compared to the previous years, is considerably less."
More fire accidents and untimely rains in Tamil Nadu have also dampened the spirits of traders, but they are still optimistic that sale of crackers would be good. "The government will soon declare Diwali bonus package which gives us considerable amount of business. Also, most people buy crackers in the last days leading to Diwali, so we are hopeful," said a trader.
Despite soaring prices, people were seen purchasing crackers in bulk. Sonal Panchal, who bought crackers worth Rs 5,000, said that although the prices of crackers have increased, it hasn't stopped her from buying crackers. "It is Diwali, so I don't mind spending. The quantity that I got this year is less than what I got for the same price last year, but my family loves firing crackers, so provisions have to be made in the budget."
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