Exports growth back on double-digit growth trajectory with the start of the festive season
Reacting to the October, 2018 Exports figures, President FIEO said that October data shows that the exports are again back on double-digit growth trajectory during the on-going festive season. The exports during the month is close to USD 27 billion, which re-affirms our assessment of reaching the new milestone of USD 350 billion in the current fiscal, the highest ever exports figures during recent years braving all the odds, said Mr Ganesh Kumar Gupta.
High growth was witnessed in Plastic & Linoleum, Petroleum, Organic & Inorganic Chemicals, Drugs & Pharmaceuticals, Engineering and Electronic goods and various labour-intensive sectors including Gems & Jewellery, Leather & Leather products, Ceramic Products & Glassware, commodities and in some Agri products, which are positive signs for future exports opined, Mr Gupta.
22 out of 30 major product groups, as against 16 out of 30 in the previous month, were in positive territory during October, 2018, which itself shows the resilience and hard work being put by the exporting community.
Imports growth in October 2018 was also on a higher side with a growth of over 17 percent, which may push the current account deficit and inflation. However, the declining trend of crude oil prices, may provide some respite on both front too.
Mr Ganesh Kumar Gupta once again 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 sector. He appreciated the initiative taken by the Finance and Commerce Minister for addressing the issue and hope banks will positively respond to it immediately.
President FIEO 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.