AP exports will double in 5 years: Mekapati Goutham Reddy

Visakhapatnam: ANDHRA Pradesh Minister for Industries Mekapati Goutham Reddy on Wednesday said the State Government under the dynamic leadership of Chief Minister YS Jagan Mohan Reddy has finalised an action plan to double exports in five years.

He said AP is laying emphasis on boosting the manufacturing sector. Participating in a conference on India@75 'prospects and challenges for accelerating growth' on webinar mode organised by Confederation of Indian Industry (CII), he said India's share of manufacturing in the economy is stagnant at around 15-17 per cent. The meeting was presided by CII AP Chairman D Tirupati Raju.

"There is a dire need to increase the share of manufacturing to move surplus labor from low productivity agriculture. We have to do this on priority as the pandemic has opened a rare window of opportunity for India to revitalise and reach the so-called Lewis turning point," the Minister said.

Stating that the time is right for India to seize the opportunity and create manufacturing to integrate with global value chains, and utilise the demographic dividend, he said accelerating exports to give fillip to the growth should be of topmost importance. He said India's merchandise exports are stagnant at a level of $300-330 billion for a decade. Improving exports will accelerate growth, provide high-end employment opportunities and will help plug the persistent current account deficit. The government of India has recognised the need to jumpstart export growth and has set itself a target of achieving $400 billion of merchandise exports for this financial year.

On exports from AP, the minister said the growth is at 9 per cent CAGR. In 2020-21 the State's rank in terms of value exported from India, stood at 5 after moving up two places compared to previous year. AP has set itself a target to double the exports in the next five years. The government has identified key initiatives from district to State level for efficient implementation. Each district will be treated as a resource unit and as an export hub for doubling productivity, expanding markets and creating additional employment with focus on value addition. Potential exportable commodities will be identified for each district, he informed.

Reddy said they have launched Industrial Development Policy, Electronics Policy with a focus to attract large-scale manufacturing into the State.

Reddy said awareness on ensuring compliance and producing for export will be undertaken along with setting up of accredited labs and quality testing facilities, training on standards to provide support for exporters. An assessment of industrial and transport infrastructure, including warehousing, connecting roads, rail connectivity, enhancement of facilities at port and cargo facilities at airports will be carried out to identify requirements which are supportive of exports. Gaps as identified will be addressed, and progressive planning will be carried out to develop such infrastructure.

The Minister said the 'Produce for Export' campaign will be launched for exporters to focus on product development as per market demand. Demand assessment and market intelligence model will be put in place for key products and key markets. 'Buy from AP' campaign will be launched for importers to provide their requirements.

He said the State Export Promotion Committee (SEPC) headed by the Chief Minister will be operationalised to identify sector specific support, lay down key performance indicators and support measures required for acceleration of exports. The State Single Desk for Export will be established for providing support to exporters and speedy redressal of grievances through District Industries Centre.

Giving details on AP's vision, he said the State is committed to sustainable industrialisation; ensuring that the fruits of development are distributed equitably across the society is our utmost priority. "We have enacted administrative reforms so that the entire circle of investments, infrastructure industry, commerce, IT along with employment and skill development are converged under a single ministry for the first time.