Government confident of meeting 20 percent export growth target

Kolkata, July 26 (IANS) Although India's export during the first quarter has declined on the back of global economic slowdown, the government Thursday expressed confidence that its target of 20 percent growth in exports in the current fiscal would be met.

"I have been having discussions with the chairpersons of various export promotion councils on all products... estimate is that in the next one or two months, good business is going to happen," Commerce Secretary S.R. Rao told media persons here.

"And we in the ministry have no other option but to aim for 20 percent. Hopefully indications are that nothing stopping us from getting that," Rao said.

Credit rating agency Fitch Ratings, recently said the government's target of 20 percent growth in exports during 2012-13 would depend largely on the revival of global demand.

During the April-June quarter of this fiscal exports have declined 1.7 percent over the first quarter of 2011-12 to $75.2 billion.

Asked whether the central government would consider setting up of venture capital funds for other sectors like it has been planning for pharmaceutical industry, Rao said: "We are looking to adding value addition in textile and agriculture."

Commerce and Industry Minister Anand Sharma recently said the ministry was "actively considering" a Rs.2,000 crore (Rs.20 billion) venture capital fund to be used mostly to boost research and development in pharmaceutical industry.

"Undoubtedly, it (pharma) is one of the finest sunrise industries in manufacturing. So the sector requires specific focus and specific support. But we are doing similar exercises in other sectors also. We would wish to do this analysis and certainly takes whatever measures are required for sustaining the manufacturing industry because we look at value creation and job creation," Rao said.