New Delhi, Jan 18 (KNN) Falling exports is a very bad sign and the government should intervene to improve the situation, FIEO President S C Rahlan told KNN adding that probably this is the worst period for the exporters in the last 50 years.

India’s merchandise exports fell for the 13th consecutive month in December by 14.75 per cent from a year earlier to USD 22.29 billion, whereas the imports stood at USD 33.96 billion.

Raising serious concerns over this, Federation of Indian Export Organization (FIEO) chief said, “This is not at all the good signal and the government must take steps to boost exports.”

Rahlan said that the situation will not improve even in 2016. “The global markets like Europe and America have completely stopped buying. Indian exporters are going through the worst phase in the last 50 years due to falling demands,” he said.

Elaboration further, he said that the buying power has reduced tremendously and the countries are not at all willing to buy products and stock them.

In the absence of new orders, the exporters will be forced to cut jobs, Rahlan said adding that there is a need to give fillip to the MSME sector through measures like free participation in the international exhibitions.

Meanwhile, the Secretary General of Manesar Industries Welfare Association (MIWA), Manmohan Gaind, has a different perception on this. He told KNN that the exports are falling mainly due to the global slowdown and the situation will improve in 2016.

He was quite happy with the response the textile industry got in Germany during the trade fair. He said, “Just like the good times doesn’t stay forever, in the same way the bad times also comes to an end.”

The government should focus on improving Ease of Doing Business for the exporters rather through steps like single window clearance, les paper works on customers, improved infrastructure, simplified labour laws.

Both Rahlan and Gaind however agreed that the devaluation in Chinese currency doesn’t have much impact on the falling exports. (KNN Bureau)