Sakthivel hopes energy prices will come down further
The decline in India’s December 2022 merchandise exports is a reflection of the toughening global trade conditions on account of high inventories, economies entering recession, high volatility in currencies and geopolitical tensions.
Noting this, FEIO President Dr A Sakthivel pointed out that the drop in commodity prices and restriction on some exports, with a view to stem the price increase in the domestic market, have also affected the growth numbers.
Flight of capital from the market has also impacted the growth process, he added.
The FIEO President is of the view that the coming months would be quite challenging unless both global economic growth and geopolitical situation improves drastically.
However, the decrease in imports is a good sign, which will put less burden on trade deficit front.
“We hope that the energy prices will come down further to provide more relief,” opined Dr Sakthivel.
India’s overall exports (Merchandise and Services combined) in April-December 2022 is estimated to be +16.11% over the same period last year (April-December 2021).
As India’s domestic demand has remained steady amidst the global slump, overall imports in April-December 2022 is estimated to +25.55% over the same period last year.
India’s overall export (Merchandise and Services combined) was US$ 61.82 billion in December 2022, a decline of 5.26% over the same period last year.
Overall, December 2022 import is estimated to be US$73.80 billion, off by (-) 1.95% over the same period last year. fiinews.com
