‘Trade policy to factor in global slowdown,rupee fluctuation’

Setting a seemingly ambitious target for exports this year,commerce,industry and textiles minister Anand Sharma made a case for sops to the exporters

Written by ENS Economic Bureau | New Delhi | Published: June 2, 2012 12:57 am

Setting a seemingly ambitious target for exports this year,commerce,industry and textiles minister Anand Sharma today made a case for sops to the exporters to help them out in the wake of the tough global situation. This fiscal,the government is targeting a 20 per cent increase in exports over the $303.7 billion achieved last year,with Sharma admitting that it might be challenge to achieve the $500 billion target set for 2013-14.

In view of the worsening global economic situation,the minister said he has pitched for differential rate of credit for exporters and industry. He also said the government would focus on labour-intensive sectors like textiles while finalising its view on the annual supplement to foreign trade policy (FTP) to be released on June 5. The government would account for factors such as volatility in global prices,slowdown in global demand,rupee fluctuation and widening trade deficit while rolling out the FTP,he added.

With the exports growing by just 3.2 per cent year-on-year in April,the government is looking at providing support to exporters. “I personally have the considered opinion that the differential rate of credit,that (this) demand has a very strong and justified case. We hope a fine balance will be there so that investment climate and productivity improves,” Sharma said after a meeting of the Board of Trade here. The meeting was attended by ICICI Bank MD Chanda Kochhar,ITC chairman YC Deveshwar and the presidents of industry chambers CII,Ficci and Assocham. The BoT deliberated upon the challenges facing exports given the uncertain global economic condition.

Meanwhile,the CII has called for an Economic Revival Package consisting of fiscal and monetary measures to rev up growth. “We are deeply concerned over the decelerating performance of the Indian economy with GDP numbers plunging to 6.5 per cent in 2011-12 which is even below the 6.7 per cent level during the global financial crisis of 2008-09,” CII president Adi Godrej said.

For all the latest News Archive News, download Indian Express App

    Live Cricket Scores & Results