Business and economic sentiments are inching towards normalcy globally.
FIEO Chief, Sharad Kumar Saraf sees Indian exports getting better and better in the next few months as the global supply chain has started showing signs of resilience.
Commenting on the improving export sentiment, he said exporters have started receiving a lot of enquiries and orders from across the globe helping many sectors to further show improved export performance.
Anti-China sentiments across the globe have also been one of the reasons for the improved performance in the Indian exports, he pointed out.
Besides, the exporters must be complimented for their excellent performance in spite of these challenging times, he added.
Saraf reiterated that the arrest in the decline of exports started during July with a lower negative double-digit decline of 10.21% from a very high negative double-digit decline of 60.28% during April 2020 that was caused mainly due to lockdown measures followed across the globe because of the Covid-19 pandemic.
He stressed that business activities and economic sentiments are inching towards normalcy globally.
The September exports have grown by 5.27% to US$27.40 billion first time during the financial year 2020-21 showing signs of revival as the gradual lifting of lockdown has further improved the business sentiments.
The FIEO President said that the exports that showed either a very high or impressive growth or were in the positive territory are showing signs of further revival.
These are Agri products, plantation and other cereals along with iron ore, carpet, ceramic products & glassware, drugs & pharmaceuticals, handicrafts excluding handmade carpet, meat, dairy & poultry products, jute manufacturing including floor covering, cotton yarn/fabs/made-ups, handloom products etc., RMG of all textiles, plastic & linoleum, petroleum products, engineering goods, organic & inorganic chemicals and electronic goods.
However, reduction in imports during September 2020 by 19.60% to US$30.31 billion compared to the same period during the previous fiscal led to a trade deficit of just US$2.91 billion with a substantial decline of 75.06% during the month.
Reduction in import of precious metals including Gold and Silver along with leather & leather products used as raw material for gems & jewellery and leather & leather product exports has also seen a negative growth during the month which does not augur well for these major labour-intensive sectors of exports, he noted.
Saraf expects India’s exports to be in the range of US$290-$300 billion during the current fiscal. This would be an impressive performance from the overall exporting community and for the sector as a whole who are facing such tough global conditions.
The FIEO Chief reiterated that the urgent and immediate need of the hour is to address some of the key issues which will further help in reviving the exports during these difficult and torrid times.
The issues include the release of the MEIS benefits, resolving risky exporters issues, early introduction of RoDTEP across all sectors, capping of Rs.2 crore MEIS per IEC, the introduction of the NIRVIK Scheme and expediting introduction of the E-Wallet Scheme. #exports #manufacturing #incentives #funding #supplies #imports /fiinews.com
