Covid-19: Exporters seek financial package

Coimbatore: Tirupur Exporters' Association (TEA) Monday urged Finance Minister Nirmala Seetharaman to announce financial measures to rejuvenate the economy and business confidence of the exporting units in order to offset the impact of coronavirus.

In a letter to the finance minister, TEA president Raja M Shanmugham sought a proactive step and immediately advise the banks not to categorise the units as NPAs for non-repayment of loan, but provide at least a one-year moratorium which, he said, would help the units particularly the MSMEs to sustain in the business.

The stimulus financial package is also required to re-energise the market economy and a quantitative easing methodology is required at this hour of crisis to revive the economy and uplift the business confidence, he said.

He said the European buyers, particularly from Italy and Spain, have already asked TEA members not to export the garments to them and wait for a minimum one or two months till the situation was normal and the shops are re-opened.

The TEA president further said some of the buyers were even cancelling the orders also and more importantly, the buyers were deferring the payment of the already sent goods.