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EASTERN Cape companies have lost millions in production this week as thousands of workers participated in Cosatu's strike against rising costs of living.

Some manufacturing companies closed down for the protest, while others soldiered on with a significantly reduced workforce on Wednesday.

The impact was particularly hard on the motor industry with Volkswagen SA in Uitenhage, General Motors in Port Elizabeth and East London's biggest employer, Mercedes-Benz SA, canceling production on the day.

The textile industry was also affected badly by the strike, with between 70 and 100 percent of workers absent from work. Most of them had no transport to get to work.

Economists agreed that the loss for business in the province amounted to millions or rands. However, they disagreed on the effect of the strike.

Independent economist Andrew Wilson said the federation's voice could have been more effective if it held "decent" negotiations with authorities about the rising costs.

"Workers will now lose a day's pay over this and that will impact negatively on them. Government has no control over the escalating food and fuel prices."

But Justice Zothwa, the provincial president of the National Federated Chamber of Commerce and Industry, disagrees.

"There are issues that government can help with, like price fixing by big business, which is a major cause for high food prices. This affects small and medium enterprises too. We support the strike because it sends a strong message that people need help," said Zothwa.

Cosatu provincial secretary Xola Phakati:"Workers can no longer tolerate the high cost of living. In most cases workers are paid so little that they spend all their earning on food only. How can we live like this?"

Eastern Cape government spokesperson Phaphama Mfenyana said government was still to determine the impact of the strike in government departments. Strikes and marches were also held in Gauteng, Limpopo and North West provinces.

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