The problems have been mentioned within the commerce ministry's consultations with exporters from the textiles and chemical compounds sectors to evaluate the influence and discover doable assist measures, they added.
They mentioned that the ministry is engaged on the export promotion mission, introduced within the Funds.
The mission is anticipated to characteristic parts, together with simple credit score schemes for MSMEs, e-commerce exporters, facilitation of abroad warehousing, and world branding initiatives to faucet rising export alternatives. The federal government on February 1 introduced the establishing of the mission with an outlay of Rs 2,250 crore.
“The federal government is taking a look at extending assist measures below this mission to sectors which might be badly hit by the US tariffs,” they mentioned.
India's textiles exports to the US stood at about USD 11 billion. The sector accounts for 9 per cent of the US's whole textiles imports.Equally, the nation's chemical exports to the US stood at about USD 6 billion.US President Donald Trump on Wednesday slapped a further 25 per cent tariff, elevating the full duties to 50 per cent on items coming from India, as a penalty for New Delhi's continued buy of Russian oil. The 50 per cent obligation will come into impact from August 27.
In 2024-25, the bilateral commerce between India and the US stood at USD 131.8 billion (USD 86.5 billion exports and USD 45.3 billion imports).
The sectors, which might bear the brunt of fifty per cent obligation, embody textiles/ clothes, gems and jewelry, shrimp, leather-based and footwear, chemical compounds, and electrical and mechanical equipment.
Within the assembly, exporters urged the ministry to increase fiscal incentives, similar to curiosity subsidy and extension of RoDTEP scheme (Remission of Duties and Taxes on Exported Merchandise), RoSCTL (Rebate of State and Central Taxes and Levies), well timed cost of dues, and a direct transport line to the US.
A illustration has been despatched to the GK Pillai committee on RoDTEP points.
In addition they requested measures to chop compliance burden, simplification of advance authorisation norms, and a discount in port costs.
The business sources mentioned exporters have began exploring alternatives in new geographies.
“The world commerce is disrupted, and on this, there are potentialities of export diversification. Export promotion councils are engaged on this. The Commerce ministry can also be analysing,” they mentioned, including that prime tariffs will assist exporters to take a look at home markets, and this can in flip assist in slicing down India's import invoice additionally.
