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Home / Knowledge / News / Textiles / 'Announce package for exporters immediately' - FICCI to govt

'Announce package for exporters immediately' - FICCI to govt

01
Dec '08

“12% fall in exports is indeed a very steep one and our goods exports constitute around 18% of our GDP. This is bound to have significant impact on our growth for the next quarter. Unless the Government comes out with a complete package for the exporters immediately we may see further fall in our exports in the current year”, said Dr Amit Mitra, Secretary General, FICCI.

Expressing deep concern over 12% fall in India's exports in October 2008, FICCI said that the Government needs to quickly come out with an exporters' package to help Indian exporters to tide over the current credit crisis and weak global demand in the international market.

While welcoming the Government's recently announced measures for exporters like extending the period of entitlement for pre-shipment and post-shipment rupee export credit, FICCI however felt that this remains inadequate and there are number of other measures like restoration of interest subvention scheme till March 2009, increased duty drawback rates etc, that exporters are looking at to help them tide over these crises.

Government should immediately announce a comprehensive exporters' package instead of implementing measures in a piecemeal manner.

FICCI further said that it is expected that most of the labour intensive sectors like textiles, leather, footwear, handicrafts, gems & jewellery would have witnessed negative growth in the month of October. “With the recessionary conditions in advanced economies and growth in the emerging economies weakening exporters are loosing out orders and diversification of exports would not yield much result.

In such a precarious situation it is important that the Government stimulates the demand in domestic economy also so that the exporters could focus on domestic front in the coming months”, said Dr Mitra.

FICCI

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