Decline in exports reflect sluggish global demand: Saraf

Tribune News Service
Ludhiana, July 16 

Reacting to shrinking export growth during June 2019, Federation of Indian Export Organisations (FIEO) president Sharad Kumar Saraf said the current scenario was a reflection of sluggish global demand and rising tariff war. 

High exports base of June 2018 also contributed in de-growth. Softening of crude and steel prices also pulled down the exports, he said.

Saraf said the USA-China trade war and present developments in Iran has further aggravated the problem for the global economy. The uncertainty attached to it would also affect flow of investment and add to currency volatility, he said.

Only nine out of 30 major product groups were in positive territory during June 2019, including plantation and agri sector, iron ore, ceramic products and glassware, drugs and pharma, electronic goods and jute manufacturing. All major exports, including petroleum sector, witnessed a negative growth. 

He said domestic economic issues, including access to credit, cost of credit, especially for merchant exporters, interest equalisation support to all agri exports, benefits on sales to foreign tourists and quick refund of GST should be looked into.