Economic Survey highlights India's diversifying merchandise trade: FIEO

Increasing exports to markets such as Brazil, South Africa and Saudi Arabia are boosting the growth of the country's outbound shipments, FIEO said on Tuesday.

Federation of Indian Export Organisations (FIEO) President A Sakthivel said the Economic Survey has rightly highlighted India's growing and diversifying merchandise trade.

"The new diversified markets, including those of Brazil, South Africa and Saudi Arabia, have led to the increase in exports by up to 2 times," he said.

The ongoing trade negotiations with the UK, EU, Canada, and Israel will also add further impetus to our exports, he added.

"Reducing the cost of logistics in the country, which now to the tune of 14-15 per cent, comparable to the global benchmark, will help in making our exports more competitive worldwide," Sakthivel said.

Yogesh Gupta, Regional Chairman, FIEO (Eastern Region), said the exporter fraternity is expecting fiscal support and affordable credit, from the upcoming budget.

"A need of the hour is to support exports by reducing lending rates and to restore interest equalisation rates in view of the rising cost of credit will be of great help," Gupta said.

Additional financial support to units generating additional employment in the export sector will also be an incentive for exporters.

"Special schemes for goods exported by MSME will act as a catalyst in increasing the MSME contribution to exports. Also, initiatives for ease of doing business would be a big facilitator, India should consider having its own shipping lines," he said.