Signs of revival in exports: FIEO president SC Ralhan

CHANDIGARH: The Federation of Indian Export Organisations has said that the decline in exports was arrested to some extent in both March and April, and that exports will hopefully move into positive territory from June onwards.

The data for 14 out of 30 products, for which data has been released for April, shows positive growth. Gems & jewellery, organic and inorganic chemicals, plastic goods and electronic goods have shown promising results, which augurs well for the future, FIEO president SC Ralhan said.

The decline in imports is encouraging for managing the trade deficit and may help in giving a fillip to domestic manufacturing, but the figures point to a topsy-turvy path, Ralhan said, underlining the need for all-out support to make manufacturing competitive to boost exports and address employment challenges.

Ralhan said that some of the recent initiatives like extension of MEIS benefit to all countries and thereby dispensing with landing certificate will add to the competitiveness while simultaneously reducing transaction cost. The revised threshold limit for status holders will enable many more companies to claim such status so as to get various non-fiscal benefits including expeditious clearance of import-export cargo, he said.

However, he urged the government to address the problem of simultaneous availment of EPCG (export promotion capital goods) and SHIS (status holder incentive scheme), which he said has landed many exporters into problem for no fault of their own, besides releasing of target plus benefits and incremental exports incentivisation benefit for 2013-14.