Dr Sakthivel : While goods exports have shown minor decline during the month, services continued with its growth momentum and maintained the rising trend, helping to narrow the trade deficit
FinTech BizNews Service
Mumbai, December 16, 2023: Reacting to exports during the November 2023, which has shown a minor decline of 2.83% to USD 33.9 billion as against USD 34.89 billion a year ago can mainly be attributed to rising uncertainties, slow global economic recovery and demand, said Federation of Indian Export Organisations (FIEO) President, Dr A Sakthivel. The softening of the commodities prices from the elevated level in 2022 also contributed to the decline. Almost all countries exports are exhibiting a declining trend, many witnessing a double digit dip.
Dr Sakthivel added that Russia-Ukraine War along with tensions in West Asia has also further increased the sense of scepticism and nervousness among the businesses and markets across the world. While goods exports have shown minor decline during the month, services continued with its growth momentum and maintained the rising trend, helping to narrow the trade deficit.
15 out of the 30 major product contributors to export growth in November 2023 include Iron Ore, Gems & Jewellery, Drugs & Pharmaceuticals, Fruits & Vegetables, Meat, Dairy & Poultry Products, Mica, Coal & Other Ores, Minerals Including Processed Minerals and Cotton Yarn/ Fabs. /Made-Ups, Handloom Products Etc.
FIEO President also said that the increase in imports is a cause of concern, which should be investigated seriously through analytical profiling of the same. However, an increase in gold and silver imports would give a much needed push to jewellery exports in next few months.
FIEO President reiterated that the need of the hour is to provide much needed momentum to exports sector through easy & low cost of credit, marketing support besides Interest Equalization to the all sectors of export. ECLGS extension till March 31, 2024 along with conclusion of key FTAs with UK, Oman and EU must see the light of the day soon. Further adding to that a strategy soon should be chalked out for promotion of all the labour-intensive sectors of exports in consultation with the key stakeholders of the trade. Dr Sakthivel sounding optimistic, added that the financial year-wise exports will cross last year's figures.
