Ahead of the next Foreign Trade Policy (FTP), Commerce and Industry Minister Anand Sharma today held consultations with exporters to firm up steps to boost exports which have been impacted by global slowdown.
“We have had three rounds with CII, with FICCI and now with FIEO over this (FTP). All the exports council’s recommendations are with us. We will look at them seriously and take the best possible way forward,” Sharma told reporters after the meeting.
He said the highest advisory body on trade-related matters — Board of Trade — will meet on March 22.
“And after that we will seriously settle in to finalising the FTP. I will wait to look at the final numbers of March. Soon thereafter, the policy will be announced,” he said.
During the meeting, Apparel Export Promotion Council (AEPC) and Federation of Indian Export Organisations (FIEO) officials raised concerns over issues of high interest rates on export credit, high yarn prices and rising transactions costs, amid slowdown in the global economic environment.
Exports have declined by 4 per cent to $265.95 billion during April-February 2013. Imports during the 11-month period grew by a mere 0.25 per cent to $448 billion, leaving a trade deficit of $182.1 billion.
Suggesting steps to boost the country’s overseas shipments, AEPC Chairman A. Sakthivel proposed for encouraging garment exporters to venture into manufacturing of garment of fabrics.
“Incentives in the FTP would help garment exports to double in three years. Currently, the exports are around $11 billion,” Sakthivel said.
FIEO President Rafeeq Ahmed asked the minister to take steps in reducing the transaction cost and interest rates for dollar credit.
“2013-14 is likely to be healthy. We expect that exports may touch $400 billion. This fiscal, it would touch $300 billion,” Ahmed said.