FIEO Plans To Boost Indian Exports To The US Amid Tariff Shifts
The Federation of Indian Export Organisations (FIEO) has outlined a strategic plan to enhance India’s exports to the United States, capitalizing on opportunities arising from potential tariff hikes on Chinese goods under the administration of US President-elect Donald Trump.
Israr Ahmed, Vice President of FIEO, emphasized the need for financial support to enable Indian exporters to participate in trade shows across the US, particularly in sectors like apparel and footwear, which are key to driving export growth. Ahmed stressed the importance of aggressive marketing and increased visibility for Indian products in the American market.
To facilitate this effort, FIEO has sought additional funding under the Market Access Initiatives (MAI) program, proposing a three-year focus on the US market. The organization is also exploring collaborations with US industry associations to strengthen ties and expand export opportunities.
Ahmed highlighted that political uncertainties in Bangladesh are prompting some garment manufacturers to relocate operations to India, further bolstering the potential for export growth. However, he acknowledged that liquidity remains a significant challenge for Indian exporters, compounded by a reduction in export credit availability.
FIEO has urged the government to extend the interest equalization scheme by five years and to relax the 45-day payment mandate for goods and services supplied by MSMEs.
Additionally, Ahmed pointed out the challenges posed by countervailing and anti-subsidy duties imposed by the US and EU on certain Indian products. To address these concerns, FIEO is engaging with the commerce ministry to streamline documentation under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme.
The proposed measures aim to equip Indian exporters with the tools and resources needed to seize emerging opportunities in the evolving global trade landscape.
