More sops likely in foreign trade policy

RUN-UP TO EXIM POLICY

Indian exporters may get more sops in this year's annual supplement to the foreign trade policy 2004-09 in order to offset the impact of the rising rupee.

The supplement is scheduled to be released in the first half of April this year.

Exporters were disappointed with Budget 2008-09 as it does not propose any specific measures to help them tide over the situation.

"We are in the process of preparing the annual supplement to the foreign trade policy. We are examining what relief can be given to exporters, specially in the high employment intensive sectors. These measures will be compatible with the WTO norms and, at the same time, neutralise some of the levies which are being charged," Nath said on the sidelines of the annual general meeting of the International Chamber of Commerce.

The minister admitted that exports will fall short of the targetted $160 billion, which he had set last year. "With the present trend of growth, exports during the current year are expected to reach a level of $152-155 billion," his speech said.

"We will be a little but short of the target. But with the circumstances, which have prevailed in the last one year with the strengthening of the rupee, I still believe increase in exports this year will be in excess of 20 per cent over last year. This is a substantial increase," Nath added.

In the April-January period of 2007-08, exports stood at $124.19 billion, an increase of 21.62 per cent from $102.12 billion during the year-ago period.