Exports in 2015-16 may be even lower than the previous fiscal as preliminary data for April indicates a drop in volume and not just value compared to the previous month, exporters' body FIEO has said.
"The figures that are coming in are very worrying. Exporters need oxygen to survive. We don't see exports reaching even last year's figures of $310 billion, unless some miracle happens," FIEO President S C Ralhan said.
FIEO has requested for an appointment with the Prime Minister to discuss the grim global situation.
Exports had declined 21 per cent in March 2015 pulling down the total exports in 2014-15 by 1.23 per cent to $ 310.53 billion.
Latest data from Concor shows that in Ludhiana, container exports between April 1, 2015 to April 15, 2015 dropped 26.83 per cent compared to the same period in the previous year.
"There has been a drop of about 50 per cent in the orders that we are receiving now," Ralhan added.
The exporters' body has called for an immediate re-introduction of the interest subvention scheme for exporters, timely reimbursement of input taxes and restoration of the higher rates of export inventive for both merchandise and services, to help exporters tide over the current crisis.
The slowdown in China's economy is a big worry for exporters, as it has both regional and global ramifications. Exporters also want a special package for the EU market which is going through a turmoil.
"Interest subvention at 3 per cent should be extended immediately to exporters, preferably from April 2014. The high cost of credit is hurting the micro and small companies," Ralhan said.