ID :
30819
Tue, 11/18/2008 - 16:32
Auther :
Shortlink :
http://m.oananews.org//node/30819
The shortlink copeid
Govt working on export package; to review USD 200 bn target
New Delhi, Nov 17 (PTI) With India's exports getting
dented in the troubled U.S. and European markets, the
government Monday said it is working on a fiscal package for
exporters and reviewing the target of USD 200 billion for this
fiscal.
"There is a slowdown in the economies in the western
world; so there is bound to be slowdown in exports. The Prime
Minister's Committee (set up to handle the global crisis)
will review this. We are looking at various measures that
can help sustain exports," Commerce and Industry Minister
Kamal Nath told reporters here at the India Economic Summit.
Concerned at the spill-over from the turmoil in India's
two biggest markets -- the U.S. and Europe -- the Commerce
Minister said, "I am reviewing it to see whether our target
will be met or not. Till now, we are on track; but the next
five months will determine whether targets (will be met)."
While the Commerce Ministry is pitching for a total
tax waiver for exporters, both at the Central and state
levels, a decision on this will be taken by the committee
chaired by Prime Minister Manmohan Singh. "We are working on
the package ... there are many areas that need to be
addressed," Nath said.
He said there was a case for refunding taxes and levies
to exporters so that they can compete in the world
market, marked by price under-cutting by exporters from
other countries which back them.
"We are going to see how the level-playing field can be
provided to our exporters, which means totally waiving
duties and taxes," Nath said.
Exporters seem desperate for inexpensive credit in a
liquidity-starved financial market.
"We want post-shipment credit to be extended from 90 days
to 270 days. Besides, pre-shipment and post-shipment credit in
foreign currency may be made available at LIBOR plus 100 basis
points," Federation of Export Organisations (F.I.E.O.)
President Ganesh K. Gupta said.
The impact of the global financial turmoil was clearly
visible in October, when India's exports declined by 15 per
cent. The govt has set a target of USD 200 billion for the
current fiscal in the backdrop of USD 162 billion in 2007-08.
During April-September, the country registered a
growth rate of 30.9 per cent to USD 94.9 billion.
However, several agencies like global consultancy firm
Dun and Bradstreet have expressed doubts whether the growth
momentum could be sustained. PTI RR
dented in the troubled U.S. and European markets, the
government Monday said it is working on a fiscal package for
exporters and reviewing the target of USD 200 billion for this
fiscal.
"There is a slowdown in the economies in the western
world; so there is bound to be slowdown in exports. The Prime
Minister's Committee (set up to handle the global crisis)
will review this. We are looking at various measures that
can help sustain exports," Commerce and Industry Minister
Kamal Nath told reporters here at the India Economic Summit.
Concerned at the spill-over from the turmoil in India's
two biggest markets -- the U.S. and Europe -- the Commerce
Minister said, "I am reviewing it to see whether our target
will be met or not. Till now, we are on track; but the next
five months will determine whether targets (will be met)."
While the Commerce Ministry is pitching for a total
tax waiver for exporters, both at the Central and state
levels, a decision on this will be taken by the committee
chaired by Prime Minister Manmohan Singh. "We are working on
the package ... there are many areas that need to be
addressed," Nath said.
He said there was a case for refunding taxes and levies
to exporters so that they can compete in the world
market, marked by price under-cutting by exporters from
other countries which back them.
"We are going to see how the level-playing field can be
provided to our exporters, which means totally waiving
duties and taxes," Nath said.
Exporters seem desperate for inexpensive credit in a
liquidity-starved financial market.
"We want post-shipment credit to be extended from 90 days
to 270 days. Besides, pre-shipment and post-shipment credit in
foreign currency may be made available at LIBOR plus 100 basis
points," Federation of Export Organisations (F.I.E.O.)
President Ganesh K. Gupta said.
The impact of the global financial turmoil was clearly
visible in October, when India's exports declined by 15 per
cent. The govt has set a target of USD 200 billion for the
current fiscal in the backdrop of USD 162 billion in 2007-08.
During April-September, the country registered a
growth rate of 30.9 per cent to USD 94.9 billion.
However, several agencies like global consultancy firm
Dun and Bradstreet have expressed doubts whether the growth
momentum could be sustained. PTI RR
