Despite rupee fall engineering exports fall to 1.38% in July from 9.52% in April
Updated: Aug 24, 2013 03:47:59pm
New Delhi, Aug 24 (KNN) The country’s engineering exports have sharply fallen down from a high of 9.52 per cent in April to 1.38 per cent in July, according to the Engineering Export Promotion Council India (EEPC India).
“A sharp depreciation in rupee against dollar and other major currencies has failed to arrest the negative trend in engineering exports, though the pace of decline has come down from a high of 9.52 per cent in April to 1.38 per cent in July,” EEPC India said in a press release.
The council has demanded for a technology upgradation fund for facilitating and encouraging exports of value-added products in order to help the small and medium scale manufacturers to invest in modernising their plant and machinery.
The exports of engineering products have not been able to completely reverse the trend, contrary to overall merchandise exports which increased by 11.64 per cent in July after months of drop.
In terms of segment, exports of iron ore and steel products made thereof, non-ferrous metals and products as also automobile components continued to bleed all showing considerable drop in shipments.
EEPC India Chairman, Aman Chadha said out of 11 regions, shipments to seven regions declined in the April-July period for which the overall trend has been negative 5.77 per cent with total consignments of USD 18.03 billion for the four months against USD 19.14 billion in the comparable period in the previous fiscal.
There has been a worldwide decline in industrial and engineering production.
Regions like the European Union, North America, Africa and ASEAN have all shown decline reflecting the worldwide slowdown in the industrial and engineering production, said EEPC.
EU which accounts for 18.62 per cent of India’s total engineering exports registered a drop of 8.73 per cent during April-July period and Africa with 14.16 per cent share a decline of 7.71 per cent.
“The worrying picture continues to be Africa, which had done rather well consistently last year and has fallen sharply in both the months this year. CIS, North East Asia, EU and USA, remain areas of concern,” EEPC India said.
Chadha said pushing exports was the only lasting solution for bridging and financing the current account deficit around which so much attention is focussed by the global analysts and commentators. (KNN/SD)
“A sharp depreciation in rupee against dollar and other major currencies has failed to arrest the negative trend in engineering exports, though the pace of decline has come down from a high of 9.52 per cent in April to 1.38 per cent in July,” EEPC India said in a press release.
The council has demanded for a technology upgradation fund for facilitating and encouraging exports of value-added products in order to help the small and medium scale manufacturers to invest in modernising their plant and machinery.
The exports of engineering products have not been able to completely reverse the trend, contrary to overall merchandise exports which increased by 11.64 per cent in July after months of drop.
In terms of segment, exports of iron ore and steel products made thereof, non-ferrous metals and products as also automobile components continued to bleed all showing considerable drop in shipments.
EEPC India Chairman, Aman Chadha said out of 11 regions, shipments to seven regions declined in the April-July period for which the overall trend has been negative 5.77 per cent with total consignments of USD 18.03 billion for the four months against USD 19.14 billion in the comparable period in the previous fiscal.
There has been a worldwide decline in industrial and engineering production.
Regions like the European Union, North America, Africa and ASEAN have all shown decline reflecting the worldwide slowdown in the industrial and engineering production, said EEPC.
EU which accounts for 18.62 per cent of India’s total engineering exports registered a drop of 8.73 per cent during April-July period and Africa with 14.16 per cent share a decline of 7.71 per cent.
“The worrying picture continues to be Africa, which had done rather well consistently last year and has fallen sharply in both the months this year. CIS, North East Asia, EU and USA, remain areas of concern,” EEPC India said.
Chadha said pushing exports was the only lasting solution for bridging and financing the current account deficit around which so much attention is focussed by the global analysts and commentators. (KNN/SD)
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