Indias exporters could face challenges with continued appreciation of the rupee, Ajay Sahai
The Dollar Business The industry body FIEO forecast challenges for the exporters if the rupee continued appreciating in the future. Global trade is expected to grow at 2.4% in 2017, and there is likelihood of extreme instability in currencies. Though the rupee has gained against the dollar, and since competing currencies of other countries could depreciate further, rupee’s appreciation could hurt India’s competitiveness in its labour intensive business units especially sectors such as agro-products industries, handloom, leather, textiles and marine products. The government should support these sectors based on their forex returns so that those companies handling large imports, which will be benefitted with the appreciation are provided less support than those having little or no support. Speaking at a press meet ...
Silver on 11-month high, lifting gold, platinum
The Dollar Business Bureau Silver shot up to its highest in 11 months on Wednesday, leading gold for a gain in the second session and taking platinum to a new 6-month high. The white metal rallied due to a weaker dollar with a positive trend seen in the Chinese economy. Currently, silver has been on an upswing. It increased 22% this year, making it one of the lucrative investments of 2016. The increase has outshone gold with a gain of 18% this year. Spot silver jumped to $17.21 per ounce, the highest since May 2015, subsequent to a 4.4% rise on Tuesday. Platinum, after rallying about 4% in the previous session, reached a 6-month high of $1,019.90. Palladium reached $588.05, a new high ...
Gold monetisation scheme must be made attractive, says expert
The Dollar Business Bureau Gold monetisation scheme will prove beneficial in the long run if it is implemented properly, says an expert. The Finance Ministry has already prepared the draft of the monetisation scheme aimed at recycling of idle gold in the form of household jewellery. The government has also sought recommendations from all stake holders for effective implementation of the scheme. Experts believe that the proposed scheme will be a win-win situation for all the stake holders including consumers, traders and the government. “Give some time for the consumer to get familiar, for banks to get familiar, build infrastructure; and in a couple of years when you turn around, you will find that this is a very robust way of ...
Indias apparel exports to double in five years
Himanshu Vatsa | The Dollar Business India’s apparel export is likely to meet its target of $18 billion during the current financial year and expected to be double in the next five years, say industry experts. According to the government data, the export of clothing and apparel items reached $16.8 billion last year, registering 12% growth year-on-year. Clothing Manufacturing Association of India (CMAI) has estimated that the industry will be able to achieve its export target of $18 billion this year. Indian exporters face tough competition from China, Bangladesh, Vietnam and other countries having cheaper manpower. But experts say that increasing labour costs in these countries will favour Indian exporters in the coming years. Exporters also hope to earn better profit due ...
Rising oil prices big macro worry for Indian economy: Trade body
The Dollar Business Bureau Increasing crude oil prices in the international market has led to an increased risk of volatility in energy prices. With Indian basket of crude oil rising by 11% in rupee terms in the last 8-9 days, volatility in energy prices has re-surfaced as the biggest worry for the Indian industry and policy makers, according to an The Associated Chambers of Commerce of India (ASSOCHAM) report. In rupee terms, prices for the Indian crude basket have shot up by 11% from Rs 3789.86 to Rs 4203.94 per barrel between May 1 and May 7. In dollar terms, the prices have gone up by more than 9% from US$ 60.30 l to US$ 65.81 per barrel. “The ...
Indias wheat exports to face challenges in 2015
Sai Nikesh | The Dollar Business India’s wheat exports are expected to decline in 2015 and the country is focused at bumper harvest of the wheat crop this year to taken on competition from countries like Australia, Russia and Europe. In India, the trading companies usually sign contracts with the government during February-March for the upcoming crop, but the case is different this time. According to industry experts, the trading companies are not signing contracts for the upcoming crop to be harvested in April-May, citing the Indian wheat prices of $275 a ton, as too high. Rajnikant Rai, COO of ITC’s agri-business, was quoted to have told sources that, in 2015, commitments for a new crop for shipments ...
Indias Foreign Trade (Merchandise): October, 2014
17 November, 2014 | F. No. 1(11)/2014 - EPL | A. EXPORTS (including re-exports) Exports during October, 2014 were valued at US $ 26094.07 million (Rs.160066.25 crore) which was 5.04 per cent lower in Dollar terms (5.47 per cent lower in Rupee terms) than the level of US $ 27480.13 million (Rs. 169320.47 crore) during October, 2013. Cumulative value of exports for the period April-October 2014-15 was US $ 189795.47 million (Rs 1145605.36 crore) as against US $ 181234.98 million (Rs 1080203.41 crore) registering a growth of 4.72 per cent in Dollar terms and growth of 6.05 per cent in Rupee terms over the same period last year. B. IMPORTS Imports during October, 2014 were valued at US $ 39451.53 ...
