Indian exporters feel addressing acute shortage of containers, controlling high shipping freights and ensuring timely refund of pending dues are crucial to take overall exports to $400 billion by the end of this fiscal. Exports during April-July 2021 jumped by 73.86 per cent to $130.56 billion compared to $75.10 billion in the same period last year.
The other factors that could help in increasing shipments include ensuring that negotiations for various free-trade agreements (FTAs) lead to greater market access for Indian goods; attracting export-oriented foreign direct investment, credit to exporters at international rates; and investing in dedicated research and development (R&D) and design centres for focused products in each state.Indian exporters feel addressing acute shortage of containers, controlling high shipping freights and ensuring timely refund of pending dues are crucial to take overall exports to $400 billion by the end of this fiscal. Exports during April-July 2021 jumped by 73.86 per cent to $130.56 billion compared to $75.10 billion in the same period last year.#
Federation of Indian Export Organisations (FIEO) director general Ajay Sahai told a news agency that container shortage issue is the most serious one and it will affect manufacturing, as goods will pile up in factories.
Leading leather exporter and Farida Group Chairman Rafeeq Ahmed said exporters are facing tremendous problems related to container shortage, and this issue needs to be resolved immediately.
High shipping freights are also affecting domestic exporters and both these matters need attention of the government as in this fiscal, Ludhiana Hand Tools Association president S C Ralhan said.
Former FIEO president S K Saraf suggested exporters to opt for aggressive marketing by looking at new market options, investing in technology to improve quality and productivity and doubling existing capacities.
From the government side, Saraf suggested amending land laws so that exporters can buy land and get all clearances in a month's time; allowing bank finance at international price; and paying off pending dues within a month by all government departments.
FIEO president A Sakthivel also recommended the central government should augment cash flow to exporters and offer freight subsidy to adjust abnormal hike of shipping rates. He urged the government to release pending claims of exporters under different schemes like the Merchandise Exports from India Scheme.
Mohit Singla, founder chairman of Trade Promotion Council of India (TPCI), said that to achieve the $400-billion target, there is a need for marketing support for focused products; national authority for meeting compliance and standards, and streamlining of payment mechanisms with banks for exporters.
Fibre2Fashion News Desk (DS)
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