A weaker rupee alone cannot boost exports, according to FIEO. Depreciation impacts competitiveness when competitor currencies decline more. It inflates import costs, increases production expenses, and drives domestic inflation, reducing consumer purchasing power. Currency volatility complicates price planning for exporters and raises the cost of servicing external debt.
Weaker rupee not one-size-fits-all solution to boost exports: Apex exporters body
Tajikistan is in negotiations with Iran for cargo transit via Chabahar port, supported by India, to enhance trade with India and the Gulf region. Tajikistan’s transport minister and Iran’s minister recently signed a cooperation agreement. Tajikistan will access the port through Uzbekistan-Turkmenistan or Afghanistan, indicating strategic trade expansion efforts.
Adani seeks partial de-notification of its multi-product SEZ at Mundra; govt to take up matter on Friday
11 months ago
Adani Ports & SEZ Ltd seeks partial de-notification of its SEZ in Mundra, Gujarat, citing competitive pressures and economic challenges in the solar market. The commerce ministry’s Board of Approval will review the proposal. The meeting will also consider extending the LOA for Mundra Petrochem Ltd’s project due to pandemic-related delays. SEZs are crucial export […]
The Central Consumer Protection Authority has issued notices to Ola and Uber over claims of differential pricing based on the type of mobile used, Android or iPhone. Union Minister Pralhad Joshi emphasized zero tolerance for consumer exploitation, labeling the practice as an unfair trade practice and sought responses from the ride-hailing platforms.
Union minister Ashwini Vaishnaw stated that simplifying the tariff structure is a priority for the Modi government to boost exports as a major driver of economic growth. The goal has shifted to ‘Make in India, Make for the World’, emphasizing export-led growth. Customs laws and procedures will also be streamlined to aid this strategy.
India and the EU are making significant progress in negotiations for a free trade agreement (FTA), according to commerce and industry minister Piyush Goyal. The two sides agreed to build a commercially meaningful trade agenda and work towards a mutually beneficial pact, ahead of the 10th round of talks.
How India can dodge Donald Trump’s tariff tantrum
11 months ago
US-India trade relations face uncertainty as President Trump pushes for reciprocal tariffs. India, with a trade surplus, contemplates reducing tariffs on specific American products. Officials consider a limited trade deal and broader concessions, aiming to strengthen economic ties despite historical disagreements.
Countries should stay calm and not react quickly to protectionist moves to avoid harming economic growth. WTO urges not to overreact and study policies first. Climate efforts need consistent action from both countries and companies. Renewables and green technology hold economic promise, and progress should continue despite some setbacks.
Some Indian exporters are facing margin calls and losses due to the sharp decline in the rupee. They had used the target redemption forward (TARF) structure, attracted by the promise of quick profits under low volatility. However, the rupee’s recent fall and increased volatility hindered profit caps and resulted in significant losses.
India plans to form a consortium including Bharat Global, Indian Port Rail & Ropeway Corporation, Sagarmala Development Company, and Shipping Corporation of India to bid for overseas port operations. The initiative aims to replicate the Chabahar port model in strategic locations, enhance maritime presence, and mitigate global trade disruptions with the establishment of Bharat Container […]