Over $100 bn additional exports expected in current financial year: President, FIEO
Hailing the aggregate export of $703 billion recorded in the first 11 months of the current financial year, Dr A. Sakthivel, President, FIEO said that the expectation is for 2022-23 to end up with exports of $770-780 billion, which will be over $100 billion as compared to the aggregate export of $672 billion recorded in 2021-22, a high growth of 15-16%. He added that India is not only one of the fastest growing economies, but one of the top-performing nations in exports as well, as per a release.
These figures assume greater significance when seen in the backdrop of global headwinds accentuated by geopolitical uncertainties, rising inflation, contraction in demand and high interest rates. Many countries have shown sharp decline in their exports recently.
The President, FIEO said India should aim at $900-950 billion exports in 2023-24 despite modest increase in world trade.
The better market access provided through FTAs/CECA, additional production coming out of industries under PLI, realignment of the value chain bypassing China, China+1 policy of global companies, and increasing exports through e-commerce will help our exports in 2023-24. Services will continue to be the driver of exports. IT & ITES, travel and hospitality, health & medical tourism, audit & accounting sector, financial services and education services, besides films & animation, will push services exports. The competitiveness in exports and reduction in logistics cost will go hand-in-hand as we are seeing all-round development in infrastructure and increasing digitisation of the process, said the FIEO Chief.
Some of the employment-intensive sectors like textiles, plastics & linoleum and engineering have been impacted due to contraction in demand with rising inflation and increasing recession in some markets. However, a recovery is expected in the next few months, he added, as per the release.
Source: Exim News Service: New Delhi, March 16