BUSINESS

Exporters' concern over rising rupee

NEW DELHI OCT. 22. Hit hard by appreciating rupee, exporters today sounded alarm bells and urged the Union Government to immediately take corrective steps warning that otherwise export growth would dip further.

After a meeting of various export councils, the Federation of Indian Export Organisations President, Rafique Ahmed, led a delegation to the Commerce Secretary, Dipak Chatterjee, to convey the exporters' concern and to remind the Government that they had written to the Government in this regard three months ago.

Talking to media persons later, Mr. Ahmed said that they had conveyed to the Government that there were chances of export growth further going down if government did not take substantial corrective measures.

Earlier in the day, Commerce and Industry Minister Arun Jaitley, whom FIEO plans to meet, had termed the dip in August export growth as `transient' saying said the trend would be known only in the coming months.

Export growth slowed down to 4.1 per cent in August apparently in the wake of the appreciating rupee.

In rupee terms, the export growth was only 4.1 per cent during April-August and in August it was worse, recording a negative of 1.5 per cent growth over the corresponding period in the previous year, according to the latest trade data.

Mr. Ahmed said Mr. Chatterjee assured them about taking steps to ensure export growth.

Noting that rupee has appreciated 5.8 per cent since January, Mr. Ahmed said about 59 per cent of the exporters had been adversely affected by the fall in the value of the dollar. The organisation has also asked the government to give directives to banks to meet foreign currency requirements of exporters on a priority basis over corporates

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