The consistently high decline in the country’s exports running at 30 per cent for a couple of months till July has been arrested to a considerable extent in August, 2009 the Union Commerce and Industry Minister, Mr Anand Sharma, said on Thursday.
Talking to reporters here, Mr Sharma said merchandise exports nose-dived by 19.7 per cent in August, 2009, which compared with an average 30 per cent decline in the six months through July.
The August trade data would be released on October 1. He said the pronounced pick-up in industrial production as revealed in the latest data with fast-moving consumer goods and pharmaceuticals would have a good effect on exports.
The Minister, however, refused to be drawn into the timeline by which overseas sales would return to positive zone, enabling India’s exports to pick up traction.
“Exports continue to be in the red and we continue to be hit though the pace of fall has been arrested. There is no timeline as to when we will get back on track”, the Minister said adding that the authorities were closely “monitoring the situation” and extending requisite support measures to sustain export activities.
To a specific query about clamping a quantitative ceiling on basmati rice exports in the face of dwindling crop prospects in the current year in the wake of the drought, Mr Sharma reiterated the Union Agriculture Minister, Mr Sharad Pawar’s comment that the government has no such proposal to cap rice exports.
He also refuted any move to remove import duty on rice, adding that “as of now, that stage has not come. We have enough stock of wheat and rice”. Currently, import duty on rice is 70 per cent.
On the plantation industry, Mr Sharma said that “we do plan to come out with an appropriate and strong relief package for coffee plantations”.
The Minister also touched on India’s growing commercial engagement with the world and its commitment to conclude the Doha Round without compromising on its fundamental concern on the livelihood security of farmers.
Source : Business Line