Reacting to the Trade Data for the month of September, 2022, Dr A Sakthivel, President, FIEO said that the slowdown in exports is a reflection of the toughening conditions of the global trade facing demand slowdown on account of high inventories, rising inflation, economies entering recession, high volatility in currencies and geopolitical tensions. The drop in commodity prices and restriction on some exports, with a view to stem the price increase in the domestic market, has also affected the growth numbers. He said that the decline in exports of engineering goods, apparels and textiles sectors is of particular concern as these sectors are key to huge employment. At the same time, the growth in exports of electronic goods on a sustained basis is a good sign besides growth in exports of gems & jewellery and petroleum products. While we should not draw solace from the fact that exports of most of the economies are facing contraction but this is a stark reality. President, FIEO said that the coming few months would be quite challenging unless the geopolitical situation improves drastically.
