On agenda will be at least 16 free trade agreements that India is negotiating with nations
Suresh Prabhu, who offered to resign as Railway Minister following a spate of accidents, has perhaps been given the benefit of doubt for his sterling record as power minister in the Atal Bihari Vajpayee government.
The Rajya Sabha member of Parliament from Andhra Pradesh, who has been given charge of the commerce and industry portfolio, will now have to play a key role in using exports as an engine for growth and come up with a new industrial policy that will offer a road map and practical solutions to the industrial sector that is reeling under the impact of demonetisation.
The challenges are many as the previous commerce and industry minister, Nirmala Sitharaman, who has moved on to defence, has had an indifferent track record. The three years of her tenure at the commerce and industry ministry saw merchandise exports fall to $274 billion in 2016-17, after reaching $310 billion in 2014-15 and $262 billion in 2015-16.
“Every responsibility of the government is important and this is my ninth Cabinet-level position,” Prabhu said after Sunday’s reshuffle. His new task would be to ensure rapid economic growth of the country, he said.
Officials point to a slowdown in the global trade growth, apart from a crash in prices of raw materials like processed petroleum, industrial metals and meat, which India exports heavily. Domestic exporters, however, say the issue of falling competitiveness, loss of foreign market for strong sectors like apparel and engineering goods and a growing trade gap with China are more serious concerns. (Read more)
