Exporters want stimulus to continue

With an expected rise in the key lending rates the government should continue with the stimulus measures to support exporters, an industry body said today.

The Federation of Indian Export Organisations (FIEO) said it expects the government to continue with the stimulus packages, announced to soften the impact of the global economic downturn, in interest of exporters.

Noting that the stimulus packages have had a positive impact on the key sectors, the federation said exports are likely to reach $165-170 billion this fiscal.

"The FIEO hopes the government will continue with the stimulus packages, particularly subvention of the interest rates, for exports as interest rates are set to move upward," FIEO President A Sakthivel said in the release.

The domestic export sector grew 18.2 per cent in November at $13,199 million, as against $11,163 million in the year-ago period.

"This is a clear indication of the adaptability of exporters and, of course, the positive impact of the stimulus extended by the government," the exporters body said.