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than the exports. domestic industry is at a severe disadvantage due
to unregulated imports of sub-standard products
“A number of products which are either banner which find a safe evacuation to India,” the report
or regulated in western markets are still used in added.
India. Standards which do not meet global norms
will lead to lower quality products at higher prices It also lists out several challenges that is currently
for high-tech goods in India,” states the report hindering the growth of the sector. “Lack of
that was unveiled by Union Minister for Chemical adequate physical infrastructure and sub-par
and Fertilizers Ananth Kumar and Gujarat chief chemical logistics infrastructure makes material
minister Vijay Rupani. production and movement cost intensive.
Uninterrupted power supply remains a challenge
The report suggests implementation of for the energy intensive chemical industry.
“consumer standard” in segments like polymer Significant glut in global chemical capacities has
additives, personal care, water treatment, led to growth of imports in India.The duty structure
flavours and fragrances, textile chemicals, needs rationalisation for several products in the
colorants, construction chemicals and others. value chain,” the report states.
“The government should set standards and
regulation across the segments to promote (Source:- http://indianexpress.com/article/business/
quality consciousness, sustainable development business-others/govt-to-bring-in-standards-for-chemical-
and efficiency improvements… Often, the products-4855220/ dated 21st September-2017)
34. INDIAN EXPORTS MAY NOT GAIN MUCH FROM RISE IN GLOBALTRADE
Demand in the United States and China will drive up trade volumes, according to the WTO
While global trade growth is expected to re- However, major export categories such as textiles,
bound in 2017, India may not be in a position gems and jewellery have seen stagnation in the
to fully take advantage of it in United States and US market.
China, which are the major markets where con-
sumer and industrial demand drive trade forward. India's textile exports, across categories such as
apparels and accessories have suffered over the
On Thursday, the World Trade Organization past few years due to the onslaught of cheaper
(WTO) raised the estimate of growth in world alternatives from Bangladesh, Vietnam and
merchandise trade volume for 2017 to 3.6 per cent Philippines.
up from the 2.4 per cent estimate earlier.
"Our market share has stagnated in the low single
The latest rise has been due to positive economic digit levels and I don't see a change anytime
trends in North America - with the United States soon, both in the United States or Europe." S K
in particular - along with China, which has lead to Jain, Chairman of the Apparel Export Promotion
resurgence of industrial and consumer demand. Council said.
However, exporters and trade experts alike believe On the other hand, India's exports in gems and
it will be difficult for India to tap into this demand jewellery and especially rough or processed
in the near future for a plethora of reasons. diamonds, stood at $9.7 billion, up 12 per cent
in the last year. But industry experts believe the
Stagnation in the US trend may be reversed next year.
The US is the largest destination for Indian exports, For pharmaceutical products, the US is a major
earning $42 billion in 2016-17. The share of goods market for Indian generics, almost half of which,
heading to the US has gradually increased over by volume, reach US shores. "In the United States,
the past five years and stood at 15.3 per cent last
year.
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