In order to increase export growth, the Indian Ministry of Commerce is studying export strategies to promote chemical products and plastic products. Industry insiders said that India will support the export of related products in terms of interest rate concessions.
In recent years, despite the relatively high demand in overseas markets, India's export growth rate can only be regarded as moderate growth, far less than the rapid growth of Southeast Asian countries such as Vietnam. Data show that in the 2017-18 financial year, India's exports increased by 9.8%. In the 2016-17 financial year, exports only increased by 5.2%.
This is very inconsistent with the Indian government's expectations for exports. The Indian government has high hopes for export growth and hopes to double the total economic output of India by expanding its share of foreign trade in the next few years. This has made the rapid growth of exports the recent success of the Indian government. Important objectives. This constitutes the background of the Ministry of Commerce of India to promote the export of chemical products and plastic products.
Data show that India's organic, inorganic and agrochemical exports increased by 38% in the last fiscal year, reaching 10.7 billion US dollars. The growth of plastic products exports is not large, only 3%, exports amounted to 16 billion US dollars.
An important reason for India’s unsatisfactory growth in exports is the impact of the reform of the GST and banks’ tightening of credit. The Federation of Indian Exporters said in a statement that banks and lenders have tightened their lending practices, gems, jewelry, Labor-intensive industries such as textiles and agricultural products are facing liquidity problems.
In response to this question, Hashard Desai, president of the All India Plastics Manufacturers Association, said in an interview that in the future, the Indian government will consider measures such as interest rate concessions in promoting the export of plastic products. Meanwhile, due to the increase in EU standards, India will The market for plastic products exports is targeted at countries and regions such as the Middle East and China.