Madurai, April 6 The pharma and auto sectors will soon lead the resurgence of the Indian economy from the current slowdown in growth brought about by the global meltdown, according to Mr T.C. Venkat Subramanian, Chairman and Managing Director, Export-Import Bank (Exim Bank) of India.
As a result of meltdown, the demand for generic drugs is likely to increase in US and Europe, an area in which Indian pharma companies are strong and have a dominant presence. As far as the auto sector is concerned, the revival package has been announced in US and Indian companies should benefit, being primarily component manufacturers, he told Business Line.
Textiles have been impacted but, the silver lining is the depreciation in the rupee that should enable adjustment in prices. In another three-four months, say by June, orders should start flowing.
For gems and jewellery, the country may need to wait until orders pick up in the US, he further said. Since November last, the growth in exports has slowed down and the drop has been as much as 25 per cent in February.
The Exim Bank has been striving to stimulate the exports through credit. Mr Subramanian was in the city to participate in the 23rd Convocation of the Thiagarajar School of Management.
Source : Business Line