Export decline arrested; outlook positive

India's exports,which saw the steepest fall of 39.2% in May,stands arrested.

India’s exports,which saw the steepest fall of 39.2 per cent in May at the height of the global financial crisis,stands arrested at 6.6 per cent in October,and the government said it would provide more support to select segments in December.

“We have succeeded through policy interventions and incentives to arrest the steep decline. The government,which is carefully monitoring the developments will intervene,if required…” Commerce and Industry Minister Anand Sharma told reporters before leaving for Geneva today for the WTO Ministerial Meeting.

After dropping by 39.2 per cent in May this fiscal,exports fell at a much slower pace for the last five months,suggesting recovery in demand in major markets.

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“Hopefully the worst is behind us,” Sharma said,adding that his ministry will be completing the sectoral analysis in the next few weeks and the segments,which still require more help would be given.

However,he did not elaborate whether it would be another ‘fiscal stimulus’ for the chosen segments.

Exports of gems and jewellery,petroleum products,drugs and pharmaceuticals,chemicals,iron ores,cotton yarn and fabrics,leather and marine products have shown positive growth. However,engineering and electronics exports remain areas of concern.