In a move to enhance the country’s exports, the government has explored the possibility of having more free trade agreements (FTAs) with various countries. The meeting of Trade and Economic Relations Committee, headed by Prime Minister Manmohan Singh and attended by Commerce and Industry Minister Anand Sharma has reviewed progress of various free trade agreements (FTAs) under negotiations. At present, India is negotiating several FTAs with various countries, including Canada, Australia, New Zealand besides the European Union.
Export is the key determinants of economic growth as the rising exports increases the country’s GDP, besides strengthens the country’s external situation. Recently, the government has taken a slew of initiatives that included announcing sops for exports orientated Special Economic Zones (SEZs), encouraging exporters to tap newer markets and extension of the Export Promotion Capital Goods (EPCG) scheme to all sectors in order to boost shipments.
Meanwhile, the government's efforts to raise exports have started yielding as exports increased by 11.15% for the third consecutive month to $27.68 billion for the month of September from $24.90 recorded during the same month in 2012. Further, improving country’s exports has also raised hopes for a significant reduction in the country's gaping current account deficit. On cumulative basis, value of exports increased by 5.14% to $152.10 billion during April-September, 2013 as against $144.67 billion in the corresponding period of last year.
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