New Delhi, Oct. 22: Commerce minister Arun Jaitley today said that the decline in exports during August was merely a “transient” phenomenon and the real trend would emerge only in the coming months.
While admitting that the hardening of the rupee vis-a-vis the dollar was putting pressure on exports, he said there was no cause for worry at this stage.
The latest trade data shows that in rupee terms, the exports growth was only 4.1 per cent during April-August. During August, the growth rate fell to a negative 1.5 per cent compared over the same month of the previous year.
However, worried over the appreciating rupee, leading exporters met commerce secretary Dipak Chatterjea today and submitted a wish-list of sops for exports.
Chatterjea is reported to have assured the president of Federation of Indian exporters organisation (FIEO) and senior representatives of various export promotion councils and commodity boards the government would consider suitable measures to ensure export growth in the wake of the appreciating rupee.
The export organisations were of the view that the Reserve Bank of India should open a dollar account to lend dollars to Indian banks at Libor. The banks could then extend finance to Indian exporters at Libor + 0.75 basis points as per RBI rules.