In the wake of the growing trade deficit, industry body FIEO today asked the Centre to form a committee to study the export-import trends.
“The growing trade deficit of $185 billion is a cause of concern and it will further increase our current account deficit,” the President of the Federation of Indian Export Organisations (FIEO), Mr M. Rafeeque Ahmed, said in a statement.
“The Government should form a committee to evaluate import trends and augment domestic production to ease the pressure on imports,” he added.
Mr Ahmed said the downward revision of world trade to 3.7 per cent by the World Trade Organisation points to ‘challenging times’ ahead.
Meanwhile, the industry body complemented the Commerce and Industry Ministry on achieving its $300-billion export target for fiscal 2011-12.
“Achieving the target has been the outcome of the market diversification strategy of the Commerce Ministry and deeper penetration through various free trade and comprehensive economic partnership agreements,” Mr Ahmed said.