Latest News | FIEO Seeking Govt Support to Boost US Exports Amid Threat of High Tariffs on China
Get latest articles and stories on Latest News at LatestLY. Apex exporters' body FIEO on Tuesday said it has formulated a strategy to boost India's exports to America, aiming to capitalise on potential opportunities that may arise as the US President-elect, Donald Trump, has threatened to impose high tariffs on Chinese goods.
New Delhi, Dec 24 (PTI) Apex exporters' body FIEO on Tuesday said it has formulated a strategy to boost India's exports to America, aiming to capitalise on potential opportunities that may arise as the US President-elect, Donald Trump, has threatened to impose high tariffs on Chinese goods.
As part of its plan, the body has urged the government to provide financial assistance for Indian exporters to participate in exhibitions across the US, FIEO (Federation of Indian Export Organisations) Vice President Israr Ahmed told reporters here.
"We have identified five key sectors in the strategy -- apparel, electronics, toys, footwear, and organic chemicals -- as areas of focus to drive growth in exports to the American market," he said.
Ahmed emphasised the need for aggressive promotion and visibility in the US market, stating that increased financial support would enable Indian exporters to showcase their products effectively and tap into emerging opportunities created by the shifting trade dynamics.
"Capacities are being built as big factories are coming up in the country. We have to increase our presence in the US. We are asking for more fundings under the Market Access Initiatives (MAI) scheme to seize the opportunities. The scheme should focus on the US for at least three years," he said.
He added that FIEO is also looking at joining hands with associations of the US in these sectors.
He said a lot of apparel firms are shifting bases to India from Bangladesh due to political uncertainties there.
About the major challenges for exporters, Ahmed said "liquidity", and added that export finance, too, has come down.
FIEO has urged the government to relax the requirement of making payments to MSMEs within 45 days of buying goods and services, besides a five-year extension of interest equalisation scheme.
Further, he said FIEO is discussing with the commerce ministry the issue of documentation (if RodTEP benefits to an exporter is crossing Rs 1 crore) to deal with countervailing duty cases on domestic products over the RoDTEP scheme.
The move is important as countervailing or anti-subsidy duties were imposed on certain domestic units by the US and the European Union.
Trump has threatened to impose new tariffs on Mexico, Canada, and China as soon as he takes office.
The US is the largest trading partner of India in 2023-24. India's exports stood at USD 77.51 billion, while imports aggregated at USD 42.2 billion in the last fiscal year.
During the April-October period in the current fiscal year, the country's exports to America rose 6.31 per cent to USD 47.24 billion, while imports grew 2.46 per cent to USD 26 billion.
Trade experts stated that Indian exporters may face high customs duties for goods such as automobiles, textiles, and pharmaceuticals if the new US administration decides to pursue the 'America First' agenda, opined trade experts.
(This is an unedited and auto-generated story from Syndicated News feed, LatestLY Staff may not have modified or edited the content body)