New Delhi: The government is working on a set of measures to support Indian exporters who are facing disruptions in trade with West Asia, according to Commerce Secretary Rajesh Agrawal on Monday.
He said that the details of these steps are likely to be announced later this week.
“The ongoing tensions in the region could affect India’s exports. At the same time, imports from those markets may also see disruptions,” Agrawal stated.
He explained that logistical challenges are creating difficulties for traders. Movement of ships has been affected, while air cargo operations are also facing problems.
“There are logistical challenges, especially in the movement of ships, while air cargoes are also facing certain issues. If you look at Indian exports to the region, they will suffer, but their imports will also,” he said.
He added that both sides are in discussions to find solutions that can reduce the impact of the disruptions.
To deal with the situation, the government has formed an inter-ministerial group under the Directorate General of Foreign Trade.
The group is closely monitoring the situation and addressing the concerns raised by exporters.
Agrawal said the group meets every day at 10 a.m. to review the challenges faced by exporters sending goods to the affected region.
“The aim is to gather feedback and find quick solutions to reduce the difficulties faced by businesses,” he mentioned.
He also noted that while India’s exports may still grow during the current financial year, the disruptions could prevent the country from reaching its full export potential.
“Overall export numbers, there will be some impact on the potential exports. Maybe my number will be higher than last year, but I could have done much better,” he said.
Agrawal said the government will try to increase exports to other markets to make up for the losses caused by disruptions in West Asia.
“Whatever exports we lose from that part of the world, we will try and make up with more exports to other markets,” he said.
