More sops likely for exporters by Aug-end

Commerce minister Kamal Nath today said the government is thinking of another package of incentives for exporters hit by the appreciating rupee.

"We are thinking of a new package for exporters... The appreciating rupee has impacted exports and we are seized of the matter," he said.

Nath said Prime Minister Manmohan Singh was keeping himself apprised of the situation and the government was looking at measures to deal with it.

According to officials, the commerce ministry has constituted a team to understand the impact of rupee appreciation against the dollar at the ground level, and some more incentives could be announced for exporters by August-end.

The government has already announced a Rs 1,400-crore package for exporters in July but it seeks to benefit only  employment-intensive sectors such as textiles, leather and small companies.

Now, the demand for inclusion is coming from the sectors which have not been extended the benefits of the package.

The rupee has appreciated from Rs 45 to a dollar in October-November last year to slightly over Rs 40 in July. The strengthening rupee has hurt growth in exports, which came down to 14% in June from 23% in April.

Sops unveiled for exporters