‘Well Begun is Half Done’
No matter how you may feel about the government’s policies to boost India’s sectors, it can be safely said that policymakers are at least aware of the need for support. From Commerce Minister Piyush Goyal to Finance Minister Nirmala Sitharaman, policymakers have announced multiple measures in the last few months aimed at bringing stability and growth to India’s trade. The trend continued this week, with news from various quarters about different plans and policies being set in motion to boost exports.
Piyush Goyal announced that the government is considering and taking steps to push exports and India’s share of global trade, while MSME Minister Nitin Gadkari revealed that the Ministry was also considering a credit rating system to enable easier credit allocation for MSMEs. The UP government revealed that it is working on a new state export policy, even as a report by the Confederation of Indian Industry (CII) warned that India PSUs urgently needed a clear roadmap and guidance on best practices to enable growth and support the export ecosystem.
Evidently, there are several plans and discussions happening about how to help the Indian trade ecosystem. As the saying goes, “Well begun is half done.” However, the efficacy of these measures remains to be seen. As another saying goes, “The proof of the pudding is in the eating.” One can only hope that these plans and ambitions will bear fruit with the support and assistance they promise.
Taking steps to push exports, share in global trade: Goyal
Commerce and Industry Minister Piyush Goyal on 27th November said that the government is taking several steps to increase India’s exports and its share in global trade. In a written reply in the Lok Sabha, Piyush Goyal said that as per the WTO data released in April 2019, for the year 2018, India’s share in global exports for merchandise was 1.7 % and in global imports was 2.6 %. For the year 2018 for the service sector, India’s share in global exports was 3.5 % and imports was 3.2 %.
PSUs need roadmap for growth, exports: CII report
There is a need to create a short- and long-term roadmap for public sector enterprises (PSEs), clearly laying down export and growth targets, according to a report by the Confederation of Indian Industry (CII). The report titled, ‘Can the Indian PSEs enhance their geo-strategic reach’, pointed out domestic and external barriers, which are inhibiting the PSEs’ ability to enhance exports. Lack of autonomy, multiple procedures, and management gaps lead to loss of potential business opportunities.
Government formulating policy on credit ratings for MSMEs, says Nitin Gadkari
The government is in the process of launching ‘Digital data based credit ratings’ of Micro, Small and Medium Enterprises (MSME), to help entrepreneurs get bank loans on the basis of these credit ratings, Union Minister Nitin Gadkari said. While speaking at a conference on ‘Opportunities for MSME in Agriculture & Food processing’ at Agrovision, Gadkari emphasized on building credibility by MSMEs by timely payment of loans and pitched for setting up more small-scale businesses in rural areas.
Trillion-dollar economy target: UP govt framing new export policy
Aiming to achieve the trillion-dollar economy mark by 2024, Uttar Pradesh is framing a new export policy to give impetus to its industrial sector, including startups. The state has engaged the Federation of Indian Export Organisations (FIEO) to prepare the draft policy. “We are hammering out a new export policy for the state, and it is likely to be presented before the state cabinet for approval next month,” UP MSME and Khadi Principal Secretary Navneet Sehgal told Business Standard in Lucknow on the evening of 22nd November.
Trading in virtual water: Time to rethink India’s exports?
“The third World War is at our gate, and it will be all about water,” famously said Rajendra Singh, Indian water conservationist, and environmentalist, in an interview. The ongoing US-China trade war, which commenced in 2018, has a lot to do with water although the two countries do not share a water resource. Before the trade war began, China imported 4.7 million tons of soybean, a water-intensive crop, from the US in 2017, and this number fell to zero in 2018 when trade tariffs were imposed.
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