Corona Virus Becoming a Pandemic

The novel coronavirus has become a big threat for the whole world be it economy, be it trade or be it supply chains. it is showing its effect all across the globe. Read on as we uncover the deadly impact of  coronavirus

Beginning its journey in China, the train carrying this bogeyman, has spread its tracks in Thailand, Japan, South Korea, USA; reaching over 80 countries and territories and this virus has turned to be a pandemic. The 2019 novel corona virus disease has infected over 95000 people and over 3200 people have died worldwide.

The World Health Organization (WHO) has declared the outbreak as a global health emergency. With China now a major player on the economic front, India and other countries would have to find ways to minimize the impact of disruption of the supply chains.

The corona virus outbreak ubiquitously has impacted the World Economy. As IMF warned, already disrupting the Chinese economy; its further spread could derail a “highly fragile” projected recovery in the global economy in 2020. IMF managing director, Kristalina Georgieva said the outbreak was a stark reminder of how unforeseen could threaten a fragile recovery, and urged G20 policy makers to work to reduce other uncertainties linked to trade, climate change and inequality.

Underscoring its impact on Airline Industry, it could lose upto $113 billion in revenue this year as the epidemic spreads really worldwide. A statement from the group IATA (International Air Transport Association) says, “Financially, that would be on a scale equivalent to what the industry experienced in its global financial crisis.”

Considering its impact in the Domestic economy, the shutdown in China due to its birthday bash has turned disruptor for Pharmaceutical Industry, as traders and importers dealing in bulk drugs or Active Pharmaceutical Ingredients (APIs) have already increased its prices sharply. For instance, paracetamol which used to trade around Rs 250-300 per kg on an average in past six months is now trading at Rs 400-500 per kg.

 Causing Respiratory tract diseases, being communicable through close contacts via respiratory droplets generated by sneezing and coughing; carrying health hazards students appearing for class 10 and 12 Board examinations were allowed to carry masks and hand sanitizer in the exam centre but not permitted to wear jackets.

The financial markets have been under much pressure, volatility and uncertainty since COVID-19. At the end of February 2020, the global equity markets were in a freefall. Many still doubt the severity of this quickly spreading disease, but as these bottom buyers are finding out, the big picture still views this uncontained epidemic as not seen through.

The effect of imports to China has directly affected the export economy of countries around the world. This has an immediate effect within oil, LNG, agricultural goods and metals. In oil, we have seen demand from China, the largest net importer of crude oil; take away nearly ten percent of global demand in January. In 2019, China was bringing in a total of 10.12mm b/d, so far this year we have seen this number fall to ~7mm b/d in January and February. The International Energy Association’s Fatih Birol has been quoted as saying the revision for 2020 oil demand will numerate to the lowest in a decade. Facing a mammoth sell off; sensex and Nifty steeped to their lowest.

Strategic Objectives are being framed to curb this pandemic. WHO’s strategic objectives for this response are like, Interrupt human-to-human transmission including reducing secondary infections among close contacts and health care workers, preventing transmission amplification events, and preventing further international spread; Identify, isolate and care for patients early, including providing optimized care for infected patients; Identify and reduce transmission from the animal source; Address crucial unknowns regarding clinical severity, extent of transmission and infection, treatment options, and accelerate the development of diagnostics, therapeutics and vaccines; Communicate critical risk and event information to all communities and counter misinformation; Minimize social and economic impact through multisectoral partnerships.

This can be achieved through a combination of public health measures, such as rapid identification, diagnosis and management of the cases, identification and follow up of the contacts, infection prevention and control in health care settings, implementation of health measures for travelers, awareness-raising in the population and risk communication.

Making fun of Corona is like a black sense of humor.