PM Modi meets exporters; discusses ways to increase India's competitiveness in global trade

Prime Minister Narendra Modi. (File photo)

Prime Minister Narendra Modi on Monday evening held a meeting with exporters of certain labour-intensive sectors to discuss measures to enhance the country's competitiveness in the global trade, according to industry sources.

Representatives from sectors, including apparel, leather, gems and jewellery, handicrafts, engineering, and seafood participated in the meeting, they said.

From the government's side, Finance Minister Nirmala Sitharaman, Commerce and Industry Minister Piyush Goyal, Cabinet Secretary TV Somanathan, and secretaries from textiles, commerce and MSME ministries were present in the meeting. Heads of export promotion councils of these sectors also attended the meeting.

The meeting assumes significance as labour-intensive sectors are facing challenges due to a steep 50 per cent tariffs imposed by the US on Indian goods, barring few sectors. Tariffs or import duties play a key role in competitiveness of goods and services.

India and the US are negotiating a bilateral trade agreement.

India's share in the global trade is about 2 per cent (1.6 per cent in global goods exports and 3.3 per cent in services).

India's exports grew 6.74 per cent to USD 36.38 billion in September, while imports jumped 16.6 per cent, widening the trade deficit to USD 31.15 billion.

Cumulatively, during April-September this year, exports increased by 3.02 per cent to USD 220.12 billion despite global challenges, while imports rose 4.53 per cent to USD 375.11 billion, leaving a trade deficit of USD 154.99 billion.