As trade pick up, exporters worried about competitiveness challenge: Survey

As global trade picks up pace after the ravages of the pandemic, an industry lobby's survey has found that an overwhelming number of exporters are worried about competitiveness.

Eighty-three per cent of the respondents felt the issue of competitiveness with respect to the export market is one of the most important business challenges at present, the Bombay Chamber of Commerce and Industry said on Tuesday, pointing to a recent survey of 121 members from 11 sectors.

Over a third of those polled said cheaper imports are acting as a hindrance to business, as per the report.

The report also revealed that over half of the respondents feel that the business will be impacted for a quarter as a result of the second wave.

The survey, conducted in partnership with TATA Power and ICICI Bank, pointed to energy prices, demand conditions, changes in government policies, and problems faced on refunds from government bodies as the biggest challenges in the next 6-12 months.

Banks' risk assessments of borrowers seem to have tightened, the survey report said, pointing to findings which had 46 per cent of the borrowers saying access to credit has become more difficult.

"Supportive regulatory measures by the government and providing a healthy business environment are critical for fuelling our economic growth, the chamber's president Anjali Bansal said.