Forex earnings from auto exports drop 6% in Apr-May: Govt

Foreign exchange earnings through automobile exports have declined by 6.2 percent to USD 1.81 billion during April-May 2013-14 compared to the same period in the previous fiscal, Parliament was informed today.

During April-May 2012-13, these earnings stood at USD 1.93 billion.

"The foreign exchange earned through export of automobile sector has declined to USD 1.81 billion in April-May 2013-14 from USD 1.93 billion in the same period previous year," Minister of Heavy Industries and Public Enterprises Praful Patel said in a written reply to Lok Sabha.

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The government has provided incentives to various sectors including automobile sector under the Focus Product Scheme. The incentive is granted in the form of duty credit scrip of two percent or 5 percent of Freight on Board (FoB) value of export, he added.

Replying to another query, Patel said, the government in consultations with all stakeholders, including the industry, takes measures for comprehensive and continued development of the auto sector.

"In this regard, the Auto Mission Plan 2006-16 had been prepared by the government after extensive consultations with all stakeholders including the industry," he said.

The Mission Plan is the cornerstone of the government policy for the sector, he added.