Gamut of challenges ahead of exporters

Addressing acute shortage of containers, controlling high shipping freights and ensuring timely refund of pending dues are crucial to take India's overall exports to $400 billion by the end of this fiscal, according to exporters. The other factors that could help in increasing shipments include ensuring that negotiations for various free-trade agreements (FTAs) lead to greater market access for Indian goods; attracting export-oriented foreign direct investment, credit to exporters at international rates; and investing in dedicated R&D and design centres for focused products in each State.

Leading leather exporter and Farida Group Chairman Rafeeq Ahmed said exporters are facing huge problems with regard to container shortage, and this issue needs to be resolved immediately. Federation of Indian Export Organisations (FIEO) Director General Ajay Sahai said, "Container shortage issue is the most serious one and it will affect manufacturing, as goods will pile up in factories". Sharing a similar view, Ludhiana Hand Tools Association President S C Ralhan said that along with shortage, high shipping freights are impacting domestic exporters and both these matters need attention of the government as "we are targeting $400 billion exports" in the current financial year.

Exports during April-July 2021 jumped 73.86 per cent to $130.56 billion, against $75.10 billion in the year-ago period. FIEO former president S K Saraf suggested exporters to do aggressive marketing by looking at new market options; investing in technology to improve quality and productivity, and doubling of existing capacities. From the government side, Saraf suggested amending land laws so that exporters can buy land and get all clearances in a month's time; allowing bank finance at international price; and paying off pending dues within a month by all government departments.