Debottleneck infra at ports, says Saraf
The Federation of Indian Export Organizations (FIEO) has reiterated calls on the Government to address some of the key issues faced by its members including adequate availability of containers, softening of freight charges and the release of the required Merchandise Export Incentive Scheme (MEIS) benefits.
Making the call, FIEO President Sharad Kumar Saraf also called on the Government to resolve risky exporters issues, immediate introduction of RoDTEP across all sectors, the introduction of NIRVIK Scheme and the long-pending demand for the creation of a fund for the marketing of Brand India products and various.
He also called for de-bottlenecking other infrastructure at customs points and port clearances, which will further help in reviving the exports for the rest of the year.
Overall, the exporters have reported increasing orders and enquiries from international customers.
Going by the improving trends in global trade, FIEO expects to end financial 2020-21 with overall merchandise export of about US$290 billion, he estimated.
The November exports grew by -8.74% to US$23.52 billion due to supply side disruptions and declining petroleum exports as crude oil prices crashed.
Farmers’ agitation in some of the hinterland states, in addition to restricted container movement and declining petroleum exports due to its crashing prices, had impacted export growth.
Nevertheless, the widely anticipated arrival of the Covid-19 Pandemic vaccine, along with the gradual lifting of lockdown across the country and the globe, has also helped in boosting the business sentiments for the sector as a whole and raised the expectation of positive figures in the upcoming months.
The litmus test, however, would be the Christmas and New year sale. If that goes well, the inventory will be liquidated, adding to further demand, Saraf hoped.
He said the following products and services showed either a very high or impressive growth or were in positive territory showing signs of further revival.
These were cereals along with oil meals, iron-ore, rice, ceramic products and glassware, handicrafts excluding hand-made carpet, cereal preparations and miscellaneous processed items, carpet, jute mfg. including floor covering, spices, drugs and pharmaceuticals, tobacco, cotton yarn, fabrics and made-ups, handloom products etc., fruits and vegetables, tea, gems and jewellery, mica, coal and other ores, minerals including process, meat, dairy and poultry products and electronic goods.
Products that recorded a reduction in exports were petroleum products, leather & leather manufacturers, cashew, plastic & linoleum, marine products, oilseeds, man-made yarn, fabrics, made-ups etc., engineering goods, organic and inorganic chemicals, coffee and RMG of all textiles. These are major constituents in India’s export basket and related to labour-intensive sector of exports have also been of key concern during the month.
However, November imports were reduced by 13.32% to US$33.39 billion compared to the same period during the previous fiscal. This led to a trade deficit of just US$9.87 billion, a decline of 22.57% during the month. #exports #manufacturing #trade #economy /fiinews.com
