Feb post nominal export growth

Indian exporters are worried about the big decelerating trend in export growth, saying it would impact the economy as a whole.

The exports data for February, 2018 are not encouraging, said Ganesh Kumar Gupta, President of the Fedeeration of Indian Export Organizations (FIEO).

Engineering, apparels, gems and Jewellery, cotton textile and carpets are showing negative growth, he noted.

Leaving petroleum exports, the overall growth comes to 1% in February.

“We are worried about gems and Jewellery exports,” said Gupta, pointing to the sector facing huge liquidity issue as banks are tightening their norms, which does not augur well for its exports in next few months.

President FIEO said that domestic issues affecting exports should be looked into as despite global challenges and increasing protectionism, China clocked over 44% growth in February.

Gupta also expressed his concern with the rising trade deficit, as export growth is not keeping pace with import growth, which for the month of February, 2018, showed a growth of 11.02% against export growth of 4.48%, leading the trade deficit for the fiscal to even may surpassing US$150 billion mark.

Only 18 out of 30 major product groups were in positive territory during February, including Petroleum, Electronic goods, Organic & Inorganic Chemicals, Drugs & Pharmaceuticals, Plastics & Linoleum, Plantations and Marine exports. fii-news.com