India Development News & Foreign Investment Opportunities

Manufacturers urged to build capacity to enlarge exports

Exporters told to flag issues

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Exporters told to flag issues

 

APEDA.

Minister of State for Commerce and Industry, Som Parkash, has called on manufacturers must build capacity and make the most of the opportunity that is now available to the country to enlarge its exports to both the US and China.

He also urged the exporters to take this window of opportunity that has opened up due to tariff escalation between the US and China.

Speaking at the interactive session on 31 July 2019, Commerce & Industry Minister, Piyush Goyal, pointed out that India’s exports will have to contribute at least US$1 trillion to help build the country a US$5 trillion economy.

Goyal urged manufacturers and exporters to come forward with data and details which directly and indirectly add to the cost of the products that are being exported like cess paid on coal, electricity and royalty paid on mines.

All this adds up to the cost of the export product per unit basis, he noted.

The Ministry is working on making India’s export products competitive and simplifying rules and regulations for easy availability of export credit, he assured.

The Minister urged the EXIM community to flag issues regarding availability of land, labour, common effluent treatment plants, cluster development and logistics support required in ports, airports and customs to the Ministry so that it is able to iron out the issues impeding India’s exports and facilitate the exporters to take maximum benefit from the tariff escalation between the US and China.

The Department of Commerce took the initiative to identify and share with Indian exporters and other stakeholders, specific lines where the US would lose competitiveness in China. The Department pointed highlighted India’s export potential on those lines and encouraged exporters to seize this opportunity.

Several B2B meetings with Chinese buyers were facilitated through the Indian Embassy in Beijing in addition to inviting Chinese grape buyers to visit Indian grape farms and related units, under the aegis of Agriculture and Processed Food Products Export Development Authority (APEDA).

A section of the industry has opined that some of the conditions like requirements of local experience, are limiting their participation in the Chinese procurement process.

They also noted the Government’s engagement with relevant Chinese Government entities to ensure that Indian companies get market access for their products.

The Government has been taking continuous and sustained steps to bridge the trade deficit by lowering trade barriers for Indian exports to China.

During the 11th session of India-China Joint Group on Economic Relations (JEG) held in New Delhi on 26 March 2018, the two countries agreed to increase bilateral trade in a more balanced and sustainable manner.

In this regard, various meetings have been held at the official level with Chinese counterparts as a part of ongoing efforts, to obtain market access for various Indian agricultural, dairy, and pharmaceutical products which have potential in the Chinese market.

Various protocols have been signed to facilitate export of Indian rice, rapeseed meal, tobacco and fishmeal, ish oil, chilli meal, from India to China.

The Government has also taken various measures to extend support to exporters by facilitating Buyers-Sellers meets between potential Chinese importers and Indian exporters to increase exports of sugar, oil meals, Indian rice and grapes.

In addition, Indian exporters are encouraged to participate in major trade fairs in China, to showcase Indian products.

Government has been implementing various schemes and programmes to help the domestic industries compete effectively with imports.

To promote the domestic manufacturing, schemes like Make in India, Digital India, Software Technology Parks, Electronics Hardware Technology Park Scheme, Export Oriented Unit Scheme and Special Economic Zone Scheme provide support for promoting domestic manufacturing in the country.

The interactive session was organized by the Department of Commerce and Federation of Indian Export Organisations (FIEO). fiinews.com

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