India is back on the growth trajectory, and exports are rising again, but Commerce and Industry Minister Anand Sharma is worried about sectoral imbalances.
“Exports in December grew by 9.4 per cent (year-on-year) to $14.6 billion (around Rs 66,400 crore), compared to November, and sectors such as pharma, chemicals, engineering and auto components were instrumental in achieving this,” Sharma said at Bancon, the annual banking convention, on Monday.
“While there has been growth, it has not been uniform,” he cautioned the gathering, hosted by State Bank of India this year. “We have done a sectoral review to identify lagging sectors and will support them.” Leather, handicraft and apparel are likely laggards, he hinted. The ministry’s sectoral review document will be released on Tuesday.
Warning banks against being complacent, he said that while the gap is closing, there is still some way to go before the entire export loss is covered.
Sharma also said a single document on FDI (foreign direct investment) is under consultation. “We have put this document for discussions with all stakeholders, which (the discussions) is expected to close by January 31. By March 31, we will have a single FDI document to ensure simplification, easy comprehension and predictability."