 "The Kenyan government's decision to scrap multi-million-dollar airport expansion and energy deals with the Adani group, following bribery allegations by the US, could test the resilience of India's fledgling project exports market.")
Indian exporters, through the Federation of Indian Export Organisations, have sought the government to allocate Rs 750 crore over three years to take advantage of a $25 billion export potential in the US, according to a report by PTI.
The demand has come at a time when there is an expected policy shift in the US by President-elect Donald Trump, who wants to impose higher tariffs on Chinese goods, which opens up a potential window of opportunity for Indian exporters.
FIEO President Ashwani Kumar recommended an advertising campaign with Rs 250 crore every year for three years targeting sectors such as electronics, textiles, toys, chemicals, and auto components. “We have already started contacting key trade associations to showcase India’s sourcing potential,” Kumar said.
The exporters also sought an extension for the Interest Equalisation Scheme (IES) that is scheduled to lapse on December 31, 2024. Kumar also said that the current limit of Rs 50 lakh per import-export code (IEC) holder for micro, small and medium enterprises (MSMEs) is not enough, and the subvention rates have to be restored to its original levels of 5 per cent and 3 per cent, considering the repo rate which is rising.
“High domestic interest rates make financing costlier for Indian exporters compared to competitors in export-driven economies like China, Japan, and South Korea,” Kumar said.
Also Read
 "PMI, PMI INDIA")
 "ecommerce, online")
 "Union Education Minister, Dharmendra Pradhan")
 "CEA K Subramanian")
 "GDP, India GDP")
Demands from gems and jewellery sector
The gems and jewellery sector also demanded support from the government amid declining exports. Vipul Shah, chairman of the Gem and Jewellery Export Promotion Council, pleaded that the jewellery parks be granted ‘infrastructure status’ so that there is easy access to credit.
The sector is developing major jewellery parks in Mumbai, Meerut, and Bengaluru. Shah recommended that these parks should also be included in the list of harmonised infrastructure projects. Furthermore, the council sought duty drawback benefits on platinum exports.
The US continues to be India’s largest trading partner, but exports to the US surged by 6.31 per cent during April-October 2024 to $ 47.24 billion. Yet, exporters are concerned with the Trump ‘America First’ agenda, which will see increased tariffs on commodities such as automobiles, textiles, and pharmaceuticals.
Shipping and R&D initiatives
Exporters also wanted more equity infusion to strengthen shipping lines at home and thereby cut $ 100 billion spent yearly on transport service charges. They further demanded tax benefits on research and development that could be used to upgrade competitiveness across the globe.
 "cci")
 "GDP")
 "Over the last year, the Reserve Bank of India (RBI) has been resolutely focused on aligning headline consumer price inflation (CPI) to its 4 per cent target. This was both understandable and desirable. CPI inflation averaged 6 per cent for four years")
 "Hiring")
 "ChartThe India story: Progress in manufacturing sector but key challenges remain")
