India on track to achieve $350 bn export target: FIEO
The overall exports in the month of September is close to USD 28 billion, which is the minimum exports we are looking for each month so as to reach milestone of $350 billion, said exporters' body FIEO.
Reacting to official export figures released Monday, FIEO President Ganesh Kumar said that though the September data shows a marginal negative growth primarily due to high base effect last year, the aggregate value of exports in this September is much more than in the month of April, June & July of 2018 in which we recorded as high as 17 per cent growth.
The high growth witnessed in plastic and linoleum products, organic & inorganic chemicals, petroleum products and growth in drugs & pharma, cotton yarns/fabrics/made-ups and handloom products are positive signs for future exports, opined Gupta.
India's merchandise exports declined by 2.15 per cent in September on a year-on-year basis, even as the country's merchandise trade deficit registered its lowest in last 5 months despite the currently high global crude oil prices.
The reduction in trade deficit would ease out concerns of current account deficit and may sombre the Rupee fluctuation to some extent, said the FIEO Chief.
Gupta reiterated his demand for augmenting the flow of credit to export sector as sharp decline in credit, when exports are growing at the double-digit, does not augur well for the future.
He appreciated the initiative taken by the Finance and Commerce Minister for addressing the issue and hope banks will positively respond to it.
Gupta exuded confidence that despite increasing protectionism and high volatility in currencies, Indian exporters have managed well to get new orders and remain bullish on exports in short to medium term basis.