Date : Jan-05-2009 12:11
A survey said that in the next six months the country''s exports are likely to dip further with the customers of US and UK are looking for Indian goods for prices at par with Chinese players.
After conducting a survey of 367 exporters, FICCI said, "Indian exporters are on the run by aggressive Chinese pricing behaviour. They are facing ''meet the China price'' demand from across the market and there is fear that this would intensify in the months ahead". .
About 51 per cent of the exporters feared that the outlook was weak and in the next six months, the shipments would fall. Along with this, nearly 62 per cent of the export firms reported that they expect the prices to fell further.
In the first half of 2008-09, the country''s exports that has posted a growth of 30.9 per cent contracted by 12.1 per cent in October, which is for the first time in the last five years. In line with this, the negative trend continued in November, when exports dropped to $11.5 bn from $12.7 bn a year ago.
Moody''s, the Global rating agency has also said the next six months of the year are likely to see sharper slowdown in the country''s export. Adding to this, the chamber also added that banks are maintaining their conservative stance regarding financing the exporters despite easing of the monetary policy by RBI.
Apart from this, the steep fall in demand along with the reduced economic activity is forcing many companies to evaluate their workforce levels, it said.
In order to help the Indian exporters, the chamber asked the government to take additional measures including the enhancement of interest subsidy by 2 per cent along with the refunds from excise department to be made in seven days instead of the current 90 days and further reduction in prices of petroleum products.
A survey said that in the next six months the country''s exports are likely to dip further with the customers of US and UK are looking for Indian goods for prices at par with Chinese players.
After conducting a survey of 367 exporters, FICCI said, "Indian exporters are on the run by aggressive Chinese pricing behaviour. They are facing ''meet the China price'' demand from across the market and there is fear that this would intensify in the months ahead". .
About 51 per cent of the exporters feared that the outlook was weak and in the next six months, the shipments would fall. Along with this, nearly 62 per cent of the export firms reported that they expect the prices to fell further.
In the first half of 2008-09, the country''s exports that has posted a growth of 30.9 per cent contracted by 12.1 per cent in October, which is for the first time in the last five years. In line with this, the negative trend continued in November, when exports dropped to $11.5 bn from $12.7 bn a year ago.
Moody''s, the Global rating agency has also said the next six months of the year are likely to see sharper slowdown in the country''s export. Adding to this, the chamber also added that banks are maintaining their conservative stance regarding financing the exporters despite easing of the monetary policy by RBI.
Apart from this, the steep fall in demand along with the reduced economic activity is forcing many companies to evaluate their workforce levels, it said.
In order to help the Indian exporters, the chamber asked the government to take additional measures including the enhancement of interest subsidy by 2 per cent along with the refunds from excise department to be made in seven days instead of the current 90 days and further reduction in prices of petroleum products.
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