Page 52 - GSTL_21st May 2020_Vol 36_Part 3

J78 GST LAW TIMES [ Vol. 36
The pace of decline in exports was the worst since 1991 as data prior to
that period was unavailable. The problem was so acute that 28 of the 30 major
sectors saw a fall in exports, with drugs, pharma and iron ore being the sole ex-
ceptions. In case of imports, none of the 30 major sectors saw higher value of
shipments, resulting in trade deficit narrowing to $ 6.8 billion in April, lowest in
four years.
Although some economic activity has begun, exporters from key sectors
such as garments, engineering goods and gems/jewellery said May is unlikely to
be better than the previous month.
“May exports will be 25-30% of the usual level,” said Colin Shah, Vice-
Chairman of the Gems and Jewellery Export Promotion Council. The sector was
the worst performer, with exports falling almost 99%. It also showed in imports,
with gold, precious and semi-precious stone shipments almost wiped out at
$ 2 million each, while silver imports crashed 59% to $ 104 million.
Engineering Export Promotion Council Chief Ravi Sehgal said exports
haven’t yet started as companies have been busy seeking permissions and grap-
pling with manpower and logistics-related issues, despite the Government al-
lowing limited operations. “By the time things gets going, it will be the last week
of May. I won’t be surprised if the fall in May is over 60-65% as there was no
production in May and orders have not been posted,” he told TOI.
Apparel Export Promotion Council Chairman A. Shakthivel complained
of a massive cancellation of orders.
[Source : The Times of India, New Delhi, dated 16-5-2020]

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GST LAW TIMES  21st May 2020  52
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