Volatility in commodity-metal prices led to 1% dip in December shipments
FIEO has stressed the importance of a focused export strategy targeting key markets, particularly the US, as the tariff war presents new opportunities.
Making the call on 15 Jan, FIEO President Ashwani Kumar has emphasized the urgent need for enhanced support in the upcoming Budget, particularly through an expanded Production Linked Incentives (PLI) Scheme, to boost manufacturing capacity and include labour-intensive sectors https://www.makeinindia.com/home/.
Commenting on the 1% dip in merchandise exports in December 2024, he also highlighted the persistent issue of trade finance, which continues to hinder the global competitiveness of MSMEs.
He also called for the continuation of the Interest Equalisation Scheme, R&D support, the establishment of a globally recognized Indian shipping line, and resolution of GST-related export challenges in the upcoming Budget to ensure sustained growth https://usispf.org/.
He attributed the December export dip to volatility in commodity and metal prices, along with ongoing international trade disruptions and currency fluctuations https://www.trade.gov/.
Geopolitical tensions in the Gulf region further exacerbated logistical challenges, affecting export flows to key markets like Europe, Africa, and the CIS, he noted https://sbi.com.in/.
December merchandise exports totalled US$38.01 billion, a dip of 1% year-on-year https://www.nseindia.com/.
December imports rose by 4.8% to US$59.95 billion, down from a record-high of US$ 63.86 billion in November 2024, resulting in a reduced trade deficit of US$21.94 billion for the month https://www.bseindia.com/.
For the period April-December 2024, exports increased by 1.6% to US$321.71 billion, while imports grew by 5.15% to US$532.48 billion. Fiinews.com
