EEPC seeks package for exporters amid falling shipments

"Although the government has announced a series a measures so far concerning some sectors of the economy, it should come out with a package for exporters in these challenging times," EEPC Exective Director Suranjan Gupta told PTI.

Kolkata:The Engineering Exports Promotion Council (EEPC) on Saturday urged the government to come out with a package for exporters to tide over the crisis caused by the COVID-19 outbreak.

India's exports contracted by a record 60.28 per cent to USD 10.36 billion in April amid the coronavirus lockdown, official data showed on Friday. Engineering exports declined by 65 per cent.

"Although the government has announced a series a measures so far concerning some sectors of the economy, it should come out with a package for exporters in these challenging times," EEPC Exective Director Suranjan Gupta told PTI.

He said exporters have already intimated the central government about cancellation of some contracts.

"The exporters are also facing pressure for giving discounts on future orders," Gupta said.

"We also wish to bring to the attention of the government that China's industrial production has revived and there is a danger that China will flood the world markets," he said.

The Centre should provide easy working capital and packing credit to exporters, the official said.

Gupta also said the RBI should immediately notify about the Nirvik (Niryat Rin Vikas Yojana) scheme to provide enhanced insurance cover and reduce premiums for small exporters.

Under the scheme, also called the Export Credit Insurance Scheme (ECIS), up to 90 per cent of the principal and interest is covered.

Chairman of CII national committee on exports and imports, Sanjay Budhia, said the Union government has issued a circular on extension of the interest subvention scheme.

(PTI Report)