Timely availability of credit is key to boost exports: Goyal

A stable policy framework and easy availability of credit are essential for Indian exports to make a mark in international markets, Minister of Commerce and Industry Piyush Goyal said on Friday.

"We have to develop a framework with a stable policy that is internationally acceptable, consistent and robust. And then look for solutions within that framework based on trust, integrity and due diligence," he said.

"Greater transparency has to be brought into the work being done by government organisations, export promotion councils and financial institutions," said Goyal while addressing a gathering in the national capital.

Timely and efficient availability of export credit is critical for any trade activity and is one of the key drivers to boost growth of export. "The time has come when we should move away from subsidies to easy availability of cheaper credit to exporters," he said.

The minister said export credit should triple in the next five years and allow India to be at par with other countries where interest rates are lower.

Shrinking share of export credit is a cause of concern for micro, small and medium enterprises, which suffer badly when lending institutions demand collaterals while extending credit, said Goyal.

The meeting was attended by representatives of various export organisations, industry bodies, banks and other stakeholders, according to a statement.