Review hefty increase in imports, says Dr Sakthivel
The Indian export sector’s highest-ever quarterly growth of 85% to US$95 billion over FY’ 2020-21 and by 18% over FY’ 2019-20, reflects the sector’s resilience and strength of the Indian economy, said FIEO President Dr A Sakthivel.
He also reposed faith in the overall exporting community, who in these difficult and challenging times have continuously been able to perform with vigour and dynamism.
For the fourth time in a row, June 2021 exports grew by 47% to US$32 billion. “This augurs well for the overall foreign trade sector of the country,” he applauded.
Separately, Commerce and Industry Minister Piyush Goyal said, “Exports during April-June period are the highest ever merchandise exports in a quarter in the history of India.” Goyal assured that his ministry will work with all the stakeholders concerned to achieve the target of US$400 billion exports in this fiscal year.
Dr Sakthivel reiterated that the top sectors, which performed impressively during the first quarter of the FY’ 2021-22 starting with 3-digit growth, were Iron-ore, Rice, Cotton Yarn/Fabs/Made-ups, Handloom Products, Engineering Goods, Plastics & Linoleum, Organic & Inorganic Chemicals, Electronic Goods, Petroleum Products, Marine Products and Drugs & Pharmaceuticals.
He pointed out that the labour-intensive sectors were the main contributors to these 10 impressively growing sectors during the quarter.
FIEO Chief complimented the government for the continuous support to the sector during such challenging times.
However, he called for a review of increase in both quarterly and monthly imports by about 108% and 96.33% compared to the same period during the previous fiscal.
FIEO President noted that the government has announced a slew of measures during recent times to support exports with the extension of Interest Equalisation Scheme by three months to 30 September 2021 and the 2 July 2021 announcement to revised guidelines and includes MSMEs in retail and wholesale sector. This, he said, will help 2.5 crore traders to get benefit of priority sector lending under RBI guidelines.
Further, the need of the hour is to soon notify the RoDTEP rates to remove uncertainty from the minds of the trade and industry, besides addressing some of the key issues including priority status to exports sector, he said.
He also called for release of the necessary funds for MEIS and clarity on SEIS benefits, resolving risky exporters’ issues and continuance of seamless refund of IGST and more importantly continuing with IGST option for exports. #exports #manufacturing #MSMEs #imports #investment /fiinews.com
