New Delhi: India’s exports in January are expected to fall 16% from a year earlier and a series of declines is likely to continue in February and March, a senior trade ministry official said on Thursday.
Director general of foreign trade R.S. Gujral said the stimulus packages announced by the government were having some impact.
He added that an emerging US position on outsourcing may impact India’s service sector exports.
Meanwhile, India has indicated that the US move against outsourcing may be contested in the World Trade Organization, stating New Delhi will take up the issue with Washington.
“We have to ensure what they (US) are doing is WTO compatible when we are talking about trade, movement of goods, movement of people and movement of services,” commerce and industry minister Kamal Nath said here.
US President Barack Obama told a joint session of the States Congress on Tuesday: “We will restore a sense of fairness and balance to our tax code by finally ending the tax breaks for corporations that ship our jobs overseas.”