Bizmen up in arms against Centre over decline in exports

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City exporters are up in arms against the central government for not paying heed to the decline in export of goods from India. According to businessmen, the Union government is not taking right steps to check the problems they are facing. In December too, exports from India had fallen by 1.80%, according to the latest export-import statistics. Speaking to TOI on the issue, Harish Dua, president of Knitwear and Apparel Exporters Organisation, “In December, the exports from India have taken a fall of close to 2%. The fall may not be too steep but it is indicative of turbulent times to come and there is a huge possibility that in the coming months the decline will be more sharp as there are many factors which are hitting the exporters. One of the biggest hamper in the progress of exports is the withdrawal of several incentive schemes by the central government coupled with reduction of percentage of drawbacks available to the exporters.”

“In addition to this, the huge delay in processing of GST refunds has really broken our backbone as capital of the exporters gets stuck for months in the form of GST refunds and each exporter has refunds ranging from lakhs to crores pending. Until the government smoothens the process of refund and also reintroduces the old incentives’ schemes, there cannot be any improvement in the present scenario,” he added.

According to Narinder Chugh, executive council member of Apparel Export Promotion Council, “The fall in exports from India and decline in our profit margins on daily basis has become a common phenomenon. If the exports fall any further, it will definitely lead to a worse situation for us and we will have to consider drifting away from exports business.” “It’s high time that the central government takes notice of our problems and solves them on priority to ensure smooth functioning of our businesses. One of the most important step which needs to be taken urgently is the reduction of rate of interest on bank loans for exporters and also introduction of new subsidies for exporters, particularly for garment sector,” Chugh added.

Read More at: https://timesofindia.indiatimes.com/city/ludhiana/bizmen-up-in-arms-against-centre-over-decline-in-exports/articleshow/73502163.cms

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