Andhra Pradesh ranks fifth in the country, with exports of $14.8 billion during 2011-12 and $ 5.1 billion till the end of July during the current financial year, but there is still a lot of untapped export potential in the State, according to Walter D'Souza, Regional Chairman of the Federation of Indian Export Organisations (FIEO).
He was speaking at a seminar on strategic export management organised here on Friday by FIEO and other organisations. He said major products exported from the State were drugs, pharmaceutical products, chemicals, plastics, agri products, forest produce, leather, marine products, and engineering products.
“Andhra Pradesh’ share in the national exports is 4.8 per cent in comparison with Maharashtra (24.3 per cent), Gujarat (21.7 per cent), Tamil Nadu (9 per cent) and Karnataka (5.1 per cent). Andhra Pradesh, with a strong agricultural base, can easily double its share to 10 per cent in the national exports. However, the State Government has to take steps to improve the supply chain and value chain.
The emphasis should be on exporting value-added products,” he said. Walter D'Souza said the State's performance during the current financial year was creditable with a 20 per cent growth rate, but it would have to be sustained throughout the year.
National exports dipped by 5.06 per cent during the period, he said. “The Union Government has set an ambitious export target of $ 360 billion for the current financial year for the country against $ 300 billion achieved last year, but we may fall well short,” he said.
K. Ramabrahmam, President of Vizagpatam Chamber of Commerce and Industry, said it was a welcome sign that air connectivity from Visakhapatnam was being improved of late, with one international flight to Dubai being operated now and another to Singapore in the offing in the coming months.
Cargo export
Facilities should be created at the airport to export cargo by air in future on a substantial scale, he said.
U. Niranjan, Additional Commissioner of Customs and Excise, said it was important to boost exports as the country was spending a lot on importing oil and therefore exports were of the utmost importance but exporters should also be conscious of quality. Otherwise, the image of the country would suffer in the international market.
He spoke about the export incentives being offered by the Union Government.
He said Visakhapatnam had earned customs revenue of Rs 6,044 crore during 2011-12 and the revenue during the current financial year was Rs 1,776 crore till July.
He said there was a dip in export earnings but it would improve later, as MMTC had bagged an important order from Japan for export of iron ore.
He said the target of Rs 5,200 crore would be achieved.
S.B.S Reddy, Joint Director-General of Foreign Trade, spoke about changes in foreign trade policy. G. Ramakrishna, Assistant General Manager of SBI, spoke about forex risk management.
V. Thiagarajan, Regional Manager of Alibaba.com, spoke about doing business through Internet.