'Industrial and export future is very bright in Nashik'

The Nashik District Industries & Exporters' Association (NDIEA) is actively engaged in promotion of exports in Nashik district.

In an interview with Business Standard, Ramesh Pawar, president, NDIEA, spoke about the problems that exporters in the district are facing and NDIEA's initiatives to promote export in the region.

What is the current export scenario in Nashik district?

The exports have seen a steep rise in the district in the last three-four years. Today, around 12,000 containers carrying grapes, onions, pomegranates and industrial items are dispatched (exported) every year from Nashik district.

Even though Nashik and Pune are equidistant from Mumbai the export growth in the former is much lower as compared with that in the latter. What could be the reason?

Pune is well-developed educationally and industrially, resulting in export growth. Secondly, it has excellent infrastructure and air connectivity. Besides, proximity to Bangalore and Hyderabad is another added advantage. Hence, Pune has achieved a lot of success in the software sector.

But, Nashik will catch up soon. Earlier, licences were required for manufacturing of industrial items. Hence, businesses came up in the areas of government choice. As a result, only some cities have seen industrial development. But, the situation has completely changed now and Nashik's infrastructure is very good. Its industrial and export future is very bright if we consider the plus points, i.e. proximity to Mumbai, good climate and availability of adequate water and electricity.

What are the problems being faced by exporters in the Nashik region?

Particularly, transport of containers is the major problem. The Container Freight Station (CFS) has been set up in the Ambad MIDC area here. But, it very difficult to get containers. Exporters have to get them from Mumbai and send them back again once the purpose is accomplished. Hence, containers provided by CFS are very expensive.

Secondly, transportation from Kalombali onwards is not allowed for some specific period due to worse road conditions.

Thirdly, the services of the Container Corporation of India (Concor) are not available in Nashik. It should immediately launch the service from Manmad, Lasalgaon and Nashik so that containers could be directly transported to the Jawaharlal Nehru Port Trust (JNPT).

What is NDIEA doing to promote exports from Nashik?

We always organise various programmes that are necessary for promotion of exports. We recently conducted a series of workshops on exports here under aegis of the Federation of Indian Exports Association (FIEO). I am happy to say that most of the participants have become exporters today. Some problems of exporters have been solved following such programmes.

What facilities Nashik urgently requires for the export growth?

The Container Freight Station (CFS) here is hamstrung by some problems. The work on electrification of refrigerator containers that are required for transportation of perishables like grapes, has still not been completed. Besides, the service of the Container Corporation of India should be started from here at the earliest.

During my visits to Europe, I came to know that our exporters have tremendous scope there. But, we have to change our old mindset with regard to SMEs, which depend on big local industries. The capacity of our ancillary industries needs to be increased. We can get a lot of orders from abroad, but adequate finance is required to dispatch containers. Finance is also not easily available from banks in the initial stages. In fact, our industrialists and businessmen fall short on the ground of finance. Moreover, banks also don't provide finance easily to new industrialists, businessmen, traders and exporters.

What export growth you see in Nashik in the next few years?

I already said that proximity to Mumbai and Pune, good climate and availability of adequate water and electricity are the plus points of Nashik district. Nashik's industrial and export growth have increased a lot in the last three-four years. Nashik's export growth will be definitely tremendous in the next few years.

What are your activities in the current year?

We are organising a programme on 'wine export and wine industry' on October 14, 2006 at Hotel Sai Palace at Nashik. A delegation from the World Trade Centre (Mumbai), led by its president Kamal Morarka will attend the programme.

NDIEA and the Nashik District Poultry Manufactures' Association (NDPMA) are jointly organising a wine festival in the next few days here. Besides, we are organising an Italian wine festival in February, 2007 in Mumbai.