Ramaiah To Take Stock Of Export Growth Today

Commerce minister B B Ramaiah has called a meeting of Export Promotion Councils (EPCs) and Commodity Boards from across the country to discuss the ministrys recently formulated medium-term export strategy here today.

The presentation, prepared by the commerce ministry, will focus on certain products like iron ore, gems and jewellery, granite and certain identified regions and will, in some cases, be presented with an audio-visual and musical display of the detailed strategy.

The intention is also to finally set an export target for the current year 1997-98 after discussions with all the councils, sources explained, adding, the strategy would be different from other such exercises since it would be more promotional than merely analytical. The strategy has been prepared after consultations with the various Indian embassies and would incorporate specific steps to be taken instead of identifying the focus areas and products.

 

Papers have been prepared on several items by the commodity divisions iron ore, leather, sports goods etc, and all boards spices, tea, coffee, have also been invited to make their suggestions and set targets. The exercise is being undertaken in view of the extremely poor performance of exports last year. Export growth decreased dramatically to register at below 5 per cent in 1996-97 as against a growth of over 21 per cent last year. The finance minister, the sources said, has also been urging this kind of exercise.

For instance in the agriculture and marine sector, products have been divided into three categories of materials raw, semi processed and ready to eat. The plan is to concentrate heavily on the third category which includes pickles, jams and preserves, among others and then on the second category of semi processed items including fruits and vegetables. Areas/products of strength are to be identified with different countries and then promoted to visiting delegations.

An area of focus Latin America, has been identified and a very elaborate presentation with 41 slides has been prepared on this region. Sources pointed out that while the total imports of this region are around US $300 billion, Indias exports were US $376 million in 1995-96. While the total trade of South Korea with these countries is $11.5 billion, Indias total trade stands at a mere $94 billion. In fact, Indias share as a percentage of the total imports of these countries is .23 for Argentina, .25 for Brazil and Chile, .13 for Colombia, .10 for Mexico and .27 for Panama. The ministry is identifying key exporters in certain products chemicals, pharmaceuticals, engineering, gems and jewellery to these Latin American countries and would provide full support to them.