Growth in times of inflation
Rising inflation, which has touched a 40-month high of 7.4%, has cast its shadow on country’s trade policy as well.
By TNN |
NEW DELHI: Rising inflation, which has touched a 40-month high of 7.4%, has cast its shadow on country���s trade policy as well. Though the trade policy focuses on boosting exports, the annual supplement to the foreign trade policy ��� with an eye on the rising inflation ��� has banned cement exports. This could be followed by a ban on exports of primary steel.
Commerce minister Kamal Nath made it clear while announcing the policy that the government has to ensure that inflation control measures does not hamper exports. Domestic availability of goods would get precedence over anything else, he added.
���To curb inflation, the government has banned export of non-basmati rice, edible oil and pulses. We are also withdrawing incentives under promotional scheme on export of cement and primary steel items,��� he said. The decision to ban steel export could be considered at a meeting of the Cabinet Committee on Prices next week. The annual supplement to the foreign trade policy also withdrew all other export benefits that were available to steel products.
Only last month, the government had withdrawn Duty Entitlement Passbook Scheme (DEPB) benefits on items such as cement, steel, manganese and ferro-chrome to improve the supply situation in the domestic market. Further all sops on export of steel have been withdrawn.
Commerce minister Kamal Nath made it clear while announcing the policy that the government has to ensure that inflation control measures does not hamper exports. Domestic availability of goods would get precedence over anything else, he added.
���To curb inflation, the government has banned export of non-basmati rice, edible oil and pulses. We are also withdrawing incentives under promotional scheme on export of cement and primary steel items,��� he said. The decision to ban steel export could be considered at a meeting of the Cabinet Committee on Prices next week. The annual supplement to the foreign trade policy also withdrew all other export benefits that were available to steel products.
Only last month, the government had withdrawn Duty Entitlement Passbook Scheme (DEPB) benefits on items such as cement, steel, manganese and ferro-chrome to improve the supply situation in the domestic market. Further all sops on export of steel have been withdrawn.
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