FIEO suggests steps to boost exports by $100 bn in nxt few years

Exporters body FIEO today suggested several steps, including support for R&D, line of credit and interest subsidy benefits for increasing exports by USD 100 billion in the next few years.

Recommending a four-pronged strategy, the Federation of Indian Export Organisations (FIEO) said there is a need to focus on 124 champion products, product diversification and market retention for identified goods with a view to boost exports.

It also suggested efficient, integrated logistics; complete paperless online transactions; focus on handmade, organic products; interest subsidy benefits to services sector; smooth movement of professionals; and online refund of GST.

Talking about challenges in front of global trade, it said rapid rise in trade restrictive measures; volatility in currencies; political development in Iran, Russia and Middle East; duty advantage to competitors; and rigid approach of banks affecting availability of credit.

These issues could hamper the country's exports significantly, FIEO Director General Ajay Sahai said.

He also said that cost of credit with interest rates moving northward and liquidity challenges emanating from delayed refunds would also have negative implications.

Meanwhile, an official statement said that government has been proactive in GST refunds through the refund fortnight organised in March and June.

"More than Rs 40,000 crore have been refunded so far. Refund processes are being streamlined further and made fully automated," it added.