New Delhi: The Indian government is considering additional measures to assist exporters grappling with the economic fallout of the ongoing West Asia crisis, Union Commerce and Industry Minister Piyush Goyal announced. These potential new decisions follow the government’s earlier introduction of a relief package aimed at mitigating the impact of disruptions in international trade routes.
Information was available with The Chenab Times that the minister stated on Thursday that while some measures have already been implemented, further considerations are underway at various administrative and inter-ministerial levels to provide sustained support to the export sector. The crisis in West Asia, exacerbated by recent military actions, has led to increased shipping and air freight costs, along with higher insurance premiums, directly affecting the profitability and operational capacity of Indian exporters.
Earlier last month, the government unveiled the Rs 497 crore RELIEF (Resilience & Logistics Intervention for Export Facilitation) scheme. This initiative is designed to provide immediate succour to exporters facing significant challenges due to the conflict in the West Asia region. The scheme is a part of the broader strategy to ensure the stability and growth of India’s export capabilities in a volatile global environment.
Speaking on the sidelines of a World Trade Organization (WTO) meeting in Cameroon, Minister Goyal noted that trade ministers from various nations shared concerns about the global economic repercussions of the conflict. He highlighted that the hostilities have adversely impacted the global economy and international trade, with particular emphasis on the loss of life and property. The minister expressed a collective hope for a swift resolution to the difficulties hindering the free movement of goods across international waters.
Despite these global challenges, Goyal affirmed India’s robust position in food and energy security, stating that the country has largely remained insulated from the most severe impacts. He assured that domestic supply chains for essential commodities like LPG and industrial LNG are functioning efficiently, with many sectors receiving full supplies. The minister also confirmed that refineries are operating at full capacity, sufficient crude oil stocks are maintained, and new shipments are arriving to secure future energy needs.
Official data indicated that India’s merchandise exports experienced a marginal decline of 0.81 percent year-on-year in February, reaching USD 36.61 billion. Concurrently, the trade deficit narrowed to USD 27.1 billion compared to the preceding month. As of March 21, the overall export growth for the current fiscal year remained flat, with complete data for March expected to be released on April 15.
The Chenab Times News Desk