The recent 11% appreciation (approx.) in the Rupee value vis-à-vis the US Dollar, has failed to hold back the exports from the Indian Micro, Small & Medium Enterprises (MSMEs), that contribute approximately 34% of the National exports.
According to the CII's 19th Business Outlook Survey (3rd in the 2007 series), for MSMEs, majority i.e. 71 % respondents expect a negative impact on their bottomlines, while 29 % of respondents expect status quo , as regard the impact of the surging value of the Rupee vis-à-vis the US Dollar and the volatility being witnessed in the foreign exchange markets.
Inspite of this, the Indian MSME exporter is extremely positive about his export prospects for the next six months, as 71% respondents expect an increase in growth of exports for their company in $ terms, 27 % respondents expect their export growth for their company would decline while 2 percent respondents have not responded.
On further analyzing the 71% of the respondents (mentioned above), 26 % of the respondents expect the export growth rate to be between 0-10%, 20 percent respondents expect the export growth rate to be between 10-20% and 25 percent of respondents expect export growth rate to be more than 20 %, in $ terms, for their company.
The CII's 19th Business Outlook Survey (3rd in the 2007 series) on "Export Trade Prospects" for Micro, Small & Medium Enterprises was undertaken to analyse the export scenario for the MSMEs.
The purpose of this survey was to analyse their export performance and the factors that are limiting exports, besides addressing the issues such as the Rupee appreciation, Dismantling of Quantitative Restrictions (QRs), use of Intellectual Property Rights (IPRs) and Duty Entitlement Pass Book ( DEPB) for this sector.
The principal findings of the survey are based on responses from a broad spectrum of industry groups and activities of the Micro, Small and Medium industry members of CII all over the country.
According to the third (3rd) in the series of the CII Business Outlook Survey for MSMEs, 51 percent of respondents registered an increase in volume of their exports over the past six months, for the 29 percent of the respondents there was no change in volume of their exports while only 20 % respondents registered a decline in volume of their exports.
In next six months, 59 percent of surveyed respondents expect an increase in volume of their exports, 23 percent of respondents expect that there will be no change in volume of their exports, while 18 percent respondents expect that their volume of exports would decline.
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
