raj export

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RAJ EXPORT

CompanyProfile

Raj Export is a leading manufacturer, exporters, suppliers and a trading company engagedin the business of garments and accessories including like T-shirts, bags including adiversified range of other products. Established in 2001 we expanded our business in

multiple facets. A diversified product range, well equipped infrastructure and skilledpersonnel enable us to satisfy our customers in India and overseas.

OrganizationalStrategyWe are the believers of diversification, international competence and customer satisfaction.

OurProductRangeWe at Raj Exports provides our customers with a vast variety of products like T-shirts, bags,POP items, vinyl stickers, etc. Given below is a brief about our products:

Garments and Accessories-T-Shirt, Bags like tote bags, trolley bags, overnighter bags,laptop bags and soft luggage items, Caps, Pens & Key chains (in acrylic, wood, metal andsoft pvt rubber), stephny Covers, Mouse pads, Towels, cheddars, Daris, air pillows, sippers,wrist watches, clocks, playing cards, umbrella, garden umbrella, color changing mugs,trays, cube calendar, ray ban sun glares, planners, rain wear, jackets, soft PVC rubbermobile holder company suits and many more innovative items, flanges in Tin, sun pack, sunboard.

We are also engaged in Displays Board & fitting door to door glow sign box, cutout withstand, display stand for product, fabrication & assembly in our own unit at byculla west, asper requirement. Digital Vinyl mounting & cutout with ms frame and wooden stand.

Besides the above we also possess an expertise in PVC, paper, and vinyl stickers, Oilpetrol resistance stickers with 1 years warranty.

Along with the above we also specialize in POP Items which includes banners in cloth, PVC,non-tearable, digital flex printing, ink jet printing, LD Foam Banners.

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RAJ EXPORT

CompanyProfile

Business Type Exporter , Manufacturer, Supplier& Tradingcompany

ExportPercentage 25%PrimaryCompetitiveAdvantages

Diversifications, International competence and customersatisfaction.

Sales Volume 50 Lakh

NoofStaff 7

YearofEstablishment

2001

Export Markets Europe, Saudi Arabia, Nairobi, South Africa

MonthlyProductionCapacity

2000 pcs

Product Range T-shirts, caps and bags, shirts, mechanic suits, tote bags, trolleybags, overnighter bags, laptop bags, soft luggage items, air pillows,wrist watches, garments & accessories, leather accessories, Displayitems, POP Items, Corporate Gift Items etc.

GNI per capita: US $1180 (World Bank, 2009)

Gross Domestic Product of IndiaThe gross domestic product (GDP) of India, according to purchasing power parity was US $2.996 trillion in thefinancial year 2007. And in terms of official exchange rate, it was US $1.099 trillion. There was a real growth rate of 9percent in India's gross domestic product for the financial year 2007.

Per capita gross domestic product (GDP) of India in terms of purchasing power parity in the financial year 2007 wasUS $2,600. The agricultural sector contributed 17.2% of India's gross domestic product; the industrial sectorcontributed 29.4% of the GDP while the services sector contributed 53.7% of the GDP in the financial year 2008.

India GDP growth rate in 2009

According to International Monetary Fund (IMF) economic growth rate of India is predicted to dip by 6.9 per cent in

the fiscal year 2009. IMF has further stated that this relegation is unavoidable because the Asian nations are not fully

impervious to the global financial crisis and its consequent negative effects.

IMF's World Economic Outlook (WEO), released in Washington on October 8, 2008, explains the slopping of GDP

growth rate in the last three years. In 2007 GDP growth rate was 9.3 per cent while in 2008 it dipped to 7.8 per cent

and would end up at 6.9 per cent in 2009.

The analysis also asserted that Asia's economic growth rate is expected to undergo a negative transition in the

coming fiscal year. Year 2008 witnessed a 7.7 per cent decline in GDP growth rate of Asia which would eventually

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Snchez was namedoneofthe 100 Most Influential Hispanics byHispanic Business Magazineandalsooneofthetop Hispanics nationwidebyPoder Magazine. Snchezis ontheboardofdirectors fortheOverseas Private InvestmentCorporation (OPIC). Hehas servedonthe Boardsofnumerous civicandcommunityorganizations includingthe TampaChamberofCommerce.Hehas beenawardedthe NationalPointofLight AwardandtheGovernors PointofLight

AwardforOutstandingCommunity Service. In 2010, he was namedtothe National HallofFameforthe Boys andGirls ClubofAmerica.

A nativeofFlorida, Snchezobtainedhis B.A. and J.D. fromFlorida State University. Healsoreceiveda Masters inPublic Administrationfromthe Kennedy SchoolofGovernmentatHarvard University. Snchezhas publishedarticles andtaughtnegotiationandconflictresolutionattheProgramofInstructionat Harvard Law Schoolas wellas otherinstitutions.

Common TradeProblems

CommontradeproblemsthatU.S.companieshaveencounteredand wehaveaddressed.

Tariffandcustoms barriers

Servicebarriers

Standards, testing, labeling, orcertificationbarriers Rules oforigin

Governmentprocurementcontractbarriers

Intellectualpropertyprotectionproblems

Excessivegovernmentrequirements

Excessivetestingorlicensingfees

Bribery:Submitacomplaint

Investment

Areyou facingatarifforcustoms barrier? Areyou experiencingdifficulties withaforeigncustoms officethat willnotclearyourgoods tobuyer/importer?

Areyourgoods beingclassified underthe wrongtariffscheduleheading?

Areyou havingproblems withaforeigncustoms office's documentationrequirements?

Areyou havingproblems withanyconsularizationrequirements?Haveyourgoods beenrejectedonthebasis ofaminimumorreferenceprice?

Aretheduties chargedforyourgoods higherthan whatyou expected?

Areyou unabletolocateanofficialpublic sourceofinformationforcurrentdataandinformationregardingacountry's customs procedures?

Reporta Barrierorreturntothelist

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Areyou facingbarriers totradein services (GATS)?

Areallrelevantmeasures (includingnew andexistinglaws, regulations, rules,procedures, decisions andadministrationactions)pertainingtooraffectingtradeinyourcompanys services publishedormadereadilyaccessible?

Doyou findregistrationrequirements, licensingprocedures, qualificationrequirementsandprocedures, andtechnical standards inaforeignmarketmoreburdensomeforyourcompanythanfordomestic serviceproviders?

Areforeignlaws administeredinareasonableandimpartialmanner? Dotheydiscriminateagainstyou as opposedtothirdpartyforeign serviceproviders?

Has yourcompanyfaced:

Quotas (directaccess tolabor)

Limitations onforeigncapitalparticipation

Limitations onthe sizeorlocationofyourestablishment

Doyou facerestrictions inestablishingorexpandingacommercialpresence (e.g. jointventure, branch, affiliate, representativeoffice)toprovideyourserviceinaforeignmarket?

Doyou experienceforeignownershiplimitations orlimits onthenumberofcompanydirectors ormanagers inprovidingyourserviceinoverseas markets?

Doyou facecitizenship, nationalityorresidencyrequirements inprovidingyourserviceinaforeignmarket?

Does yourcompanyexperiencelimitations orrestrictions onthetemporaryentry/mobilityofkeybusiness personnel (includingexecutives, managers andotherskilledintercorporatetransferees)inyourbusiness operations inforeignmarkets?


Areyou facinga standards barrierinanexportmarket?

Is theobstaclerelatedtoagovernmentregulation, amandatory standardortesting?

Does thebarrierentail:

new standards

labelingrequirements

burdensometesting

anationalqualitymarkcertificationrequirements

additionalcosts

an unclearprocess

other


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Areyou facing sanitaryandphytosanitarybarriers totrade?

Doyou facea sanitaryandphytosanitary (SPS)barriertotrade, whichhas keptyourfoodoragriculturalproductoutofa specificexportmarket?

Does thebarrierentail:

additionaltestingariskassessment

anew regulationbanning specificpests oraddressingahealthrisk

labelingrequirements

anationalqualitymark

certificationrequirements

additionalcosts

an unclearprocess

Does theregulationortestingrequirementapplytoonlyforeigncompanies?

Is theprocess tomeettheserequirements vague, unclearornotopentoall stakeholders?

Is thetimeframeinvolvedtomeettestingorstandardrequirements unreasonable?


Doyou haveaproblemrelatedtorules oforiginrequirements?

Areyou havingaproblem witharules oforigincertificationrequirement?

Areyou havingaproblem witharules oforiginmarkingrequirement?

Areyou havingaproblemqualifyingforrules oforigin status?Areyou unabletolocatea U.S. governmentcertifyingauthority?

Areyou experiencingdifficultyrelatedtodifferingrules oforiginrequirements indifferentmarkets?

Areyou unabletolocateanofficialpublic sourceofinformationforcurrentdataandinformationregardingacountry's originrequirements?


Doyou haveaproblemrelatedtogovernmentprocurement?

Areyou prohibitedfrombiddingonforeigngovernmentcontracts?

Aretheremandatorydomesticcontentrequirements orpricepreferences inforeigngovernmenttenders?

Arethebiddeadlines too shorttoprepareand submitproposals?

Areyou prohibitedfromapplyingtobeonaqualified suppliers list?

Arethereproblems withprocedures tochallengethe winningbid;doyou haveproblems

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gettingtheseprocedures?

Arethecontractliabilities andguarantees toocostlyforyourcompanytoconsidercompetingforcontracts?


Doyou haveanintellectualpropertyrights problem?

Is yourpatent, trademark, orcopyrightbeing usedillegallyinaforeignmarket?

Is yourpatent, trademark, orcopyrightprotected underinternationallaw (the WorldTradeOrganization's Trade Related Aspects ofIntellectualProperty- TRIPs, the BerneConvention, orthe World IntellectualPropertyOrganization- WIPO)?

Is yourtrademarkconsideredafamous mark?

Doyou havedocumentationorotherproofofthepatent, trademark, orcopyrightviolation?

Areyou unabletoregisterthepatent, trademark, orcopyright withaforeigngovernment? Are similartrademarks, patents, orcopyrights registeredinthatcountry?

Haveyou trustedaforeigngovernment withyourintellectualpropertyandhas itpassedyourbusiness confidentialinformation, technology, ortrade secrets ontoalocalcompany withoutyourpermission? Is thelocalcompanynow yourmaincompetitor?

Is aforeigngovernmentnothelpingyouragent, distributor, orwholly-owned subsidiaryto stopyourtrademark, patentorcopyright's violation?


Areyou facingexcessivegovernmentrequirements orothermarketaccess barriers totrade?

Areyou experiencingdifficulties exportingbecauseofsubsidizedlocalproducts? Is theforeignmarketdominatedbyadomesticcompanyorcontrolledbymonopolisticbusiness practices?

Is thecountryrestrictingyourproductbased uponits percentofforeign-ownedcontent?

Is thecountryrestrictingyourproductbecauseofits components/ingredients, structuralcomposition, orproductdesign?

Is yourproductfacing shelfliferestrictions intheforeignmarket?

Does aforeigncountryprohibittheimportationofusedgoods?

Is yourabilitytoexportaffectedbythe wayyourgoods areclassifiedinaforeignmarket?

Areyourforeign wholesalers, retailers, orcustomers requiredtoobtaincertifications,licenses, orotherburdensomedocumentationto sell/useyourproductinothercountries?

Is aforeigncountryaskingforyourcompanytodiscloseproprietaryproductinformationbeforeallowingyourproducttobeimported?

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Havecustoms duties onyourproductincreasedinacountry?

Doyou sufferfromhighercustoms duties inaforeignmarketthanyourcompetitors?Areyourexportingproblems aresultofthetradeagreementbenefits sharedbyothercountries?


Doyou haveaproblemrelatedtoimportlicensing?

Arethereimportlicensingrequirements/fees associated withobtaininganimportlicense?

Is obtaininganimportlicenseaburdensomeprocess?

Areyou havingproblems learning where/how toobtainanimportlicense?

Does ittakealongtimetoreceiveapprovalforanimportlicense?


Areyou experiencingaproblemrelatedtoyourinvestment?

Has thegovernmentoftheforeigncountryin whichyou haveinvestedorplantoinvestaskedyou to uselocalproducts?

Has theforeigngovernment saidthatifyou use, orpromiseto use, localproducts, it willreduceyourtaxes, orgrantyou someotherbenefit?

Has theforeigngovernmentaskedorrequiredyou toachieveanybalanceinyourfirm'simports andexports orforeignexchange?

Is yourforeigninvestmentorinvestmentproposal subjecttorules, guidelines, ordemands thataredifferentfromthoseappliedtoaninvestmentbyanationalofthatcountryoranationalofathirdcountry?

Haveyou beenasked/orderedbyforeigngovernmentofficials to useinyourproductionabroadproducts orotherinputs fromthatcountry?

Havelicenses thatyou needtooperateyouroverseas investmentoperatingbeendelayedordenied whileotherinvestments, ownedbynationals orforeigners fromthirdcountries, don'thavethis problem?

Haveyou beendeniedordelayedtherighttorepatriateprofits orothermonies?

Has theforeigngovernmentexpropriated/takenallorpartofyourinvestment?ii. BOP DetailsIndia's Balance of Payments Developments during the Second Quarter (July-September 2006) of 2006-07 and

Revisions in 2005-06 and First Quarter (April-June 2006) of 2006-07

July-September 2006

The major items of the BoP for Q2 of 2006-07 are set out in Table 1 below.

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Table 1: India's Balance of Payments: July-September 2006

(US $ million)

April-JuneJuly-SeptemberJuly-September

2006PR 2006P 2005PR

1 2 3 4

Exports 29,674 30,876 25,257

Imports 46,882 48,809 38,417

Trade Balance -17,208 -17,933 -13,160

Invisibles, net 12,453 11,005 9,582Current Account Balance -4,755 -6,928 -3,578

Capital Account* 11,133 9,196 8,834

Change in Reserves# (- Indicates increase) -6,378 -2,268 -5,256

*: Including errors and omissions. #: On BoP basis excluding valuation.

P: Preliminary PR: Partially Revised.

Merchandise Trade

y On a BoP basis, Indias Merchandise exports posted a growth of 22.2 per cent in Q2 of 2006-07as compared with 33.8 per cent in Q2 of the previous year.

y Import payments recorded 27.1 per cent growth in Q2 of 2006-07 as against an increase of 34.5per cent in Q2 of 2005-06.

y The deceleration in exports growth, according to DGCI&S data, was mainly due to slowdown inexports of manufactured goods.

y According to the data released by Directorate General of Commercial Intelligence and Statistics(DGCI&S), while oil imports recorded an increase of 31.0 per cent in Q2 of 2006-07 (56.1 percent in Q2 of 2005-06), non-oil imports witnessed a moderate growth of 13.9 per cent (43.1 percent in Q2 of 2005-06) mainly due to decline in imports of export related items and gold andsilver. Apart from these, a strong base effect also contributed to such deceleration.

y Oil imports reflected the impact of hardening price of the Indian basket of international crude (amix of Dubai and Brent varieties), which rose to US $ 66.8 per barrel in Q2 of 2006-07 from US $49.3 per barrel in the corresponding quarter of the previous year.

Trade Deficit

y Strong oil import demand led to a steady expansion in trade deficit, on BoP basis, to US $ 17.9billion in Q2 of 2006-07 (US $ 13.2 billion in Q2 of 2005-06).

Invisibles

y Maintaining the pace of growth in business and professional services and remittances, invisiblereceipts recorded robust growth (32.8 per cent) in Q2 of 2006-07.

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y Steady expansion in invisible payments reflected continuing pace of outbound tourist traffic fromIndia, rising payments towards transportation, and strong domestic demand for business relatedservices and higher investment income payments.

Current Account Deficit

y Despite support from invisible surplus at US $ 11.0 billion, current account deficit widened to US$ 6.9 billion in Q2 of 2006-07 (US $ 3.6 billion in Q2 of 2005-06) due to large trade deficit mainlyon account of oil imports.

Capital Account and Reserves

y Under net capital inflows, the major contributors were foreign direct investment, FIIs, and NRIdeposits.

y Accretion to foreign exchange reserves (excluding valuation) at US $ 2.3 billion in Q2 of 2006-07was lower than US $ 5.3 billion in Q2 of 2005-06.

1. Trade Balance2. Current Account Balance3. Capital Account Balance4. BOP Balance

Developments in India's Balance of Payments during October-December 2009Preliminary data on Indias Balance of Payments (BoP) for the third quarter (Q3) i.e., October-December 2009 of the financyear 2009-10, are now available. Based on these preliminary data and the partially revised data for the first twquarters i.e.,April-June 2009 (Q1) and July-September 2009 (Q2), the BoP data for the period April-December 2009 of tcurrent financial year 2009-10 have been compiled, which are set out in the standard format of BoP presentatiin Statements I and II.

Major Highlights of BoP

(i) Exports recorded a growth of 13.2 per cent during Q3 of 2009-10 over the corresponding quarter of the previous year, afconsecutive declines in the last four quarters.

(ii) Imports registered a growth of 2.6 per cent in Q3 of 2009-10 after recording consecutive declines in the last three quarter

(iii) Private transfer receipts remained robust during Q3 of 2009-10.

(iv) Despite low trade deficit, the current account deficit was higher at US$ 12.0 billion during Q3 of 2009-10 mainly due lower invisibles surplus.

(v) The current account deficit during April-December 2009 was higher at US$ 30.3 billion as compared to US$ 27.5 billiduring April-December 2008.

(vi) Surplus in capital account increased sharply to US$ 43.2 billion during April-December 2009 (US$ 5.8 billion during AprDecember 2008) mainly on account of large inflows under FDI, Portfolio investment, NRI deposits and commercial loans.

(vii) As the surplus in capital account exceeded the current account deficit, there was a net accretion to foreign exchangreserves of US$ 11.3 billion during April-December 2009 (as against a drawdown of US$ 20.4 billion during April-Decemb

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2008).

Balance of Payments for October-December (Q3) of 2009-10

The major items of the BoP for the third quarter (Q3) of 2009-10 are set out below in Table 1.

Table 1: Major Items of India's Balance of Payments

(US$ million)

Item April-June July-September October-December

2008-09(PR)

2009-10(PR)

2008-09(PR)

2009-10(PR)

2008-09(PR)

2009-10(P)

1 2 3 4 5 6 7

1. Exports 57,454 37,910 53,630 41,915 39,436 44,648

2. Imports 82,731 64,804 92,752 73,810 73,484 75,374

3. Trade Balance (1-2) -25,277 -26,894 -39,121 -31,895 -34,049 -30,726

4. Invisibles, net 22,003 20,534 26,546 19,955 22,381 18,696

5. Current Account Balance(3+4) -3,274 -6,360 -12,575 -11,940 -11,668 -12,030

6. Capital Account Balance* 5,509 6,475 7,841 21,358 -6,214 13,797

7. Change in Reserves# -2,235 -115 4,734 -9,418 17,881 -1,767

(-Indicates increase;+ indicates decrease)

*: Including errors and omissions. #: On BoP basis (i.e., excluding valuation).

P: Preliminary. PR: Partially Revised.

(i) Indias merchandise exports recorded a growth of 13.2 per cent in Q3 of 2009-10 as against a decline of 8.4 per cent in Qof 2008-09.

(ii) Import payments while, on a BoP basis, registered a growth of 2.6 per cent in Q3 of 2009-10 as compared with an increaof 9.2 per cent in Q3 of 2008-09, grew by 6.6 per cent on Directorate General of Commercial Intelligence and Statisti(DGCI&S) basis during the quarter under review. The low growth in imports is mainly attributed to decline in oil related imppayments due to lower international crude oil prices during the period.

(iii) The trade deficit, on a BoP basis, was lower at US$ 30.7 billion as compared to US$ 34.0 billion during Q3 of 2008-09.

(iv) The decline in invisibles receipts, which started in the Q4 of 2008-09, continued during Q3 of 2009-10. Invisibles receipregistered a decline of 3.1 per cent during the quarter (as against an increase of 5.4 per cent in Q3 of 2008-09) mainly account of decline in business, communication and financial services, and investment income receipts. Although, softwaexports recorded a robust growth of 15.3 per cent, services exports as a whole witnessed a decline of 12.3 per cent during tquarter as against an increase of 11.8 per cent during the corresponding quarter of 2008-09.

(v) Invisibles payments recorded a growth of 12.9 per cent during Q3 of 2009-10, as compared with a low growth of 2.4 p

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cent in Q3 of 2008-09, mainly led by increase in payments under almost all components of services.

(vi) As decline in services exports was made up by strong private transfers receipts (24.1 per cent in Q3 of 2009-10), ninvisibles (invisibles receipts minus invisibles payments) recorded a surplus of US$ 18.7 billion in Q3 of 2009-10 (US$ 22billion in Q3 of 2008-09).

(vii) Size of invisibles surplus in Q3 of 2009-10 was, however, lower than Q3 of preceding year. Therefore, despite low tradeficit, the current account deficit was higher at US$ 12.0 billion in Q3 of 2009-10 (US$ 11.7 billion in Q3 of 2008-09).

(viii) Continuing buoyancy in capital inflows mainly led by large inflows under foreign direct investments, portfolio investmenand short-term trade credits resulted in a net capital account surplus of US$ 14.7 billion during Q3 of 2009-10 as against a ndeficit of US$ 6.1 billion during Q3 of 2008-09.

(ix) Net FDI flows (net inward FDI minus net outward FDI) amounted to US$ 3.9 billion in Q3 of 2009-10 (US$ 0.4 billion in Qof 2008-09). Net inward FDI stood at US$ 7.1 billion during Q3 of 2009-10 (US$ 6.3 billion in Q3 of 2008-09). Net outward Fremained lower at US$ 3.2 billion in Q3 of 2009-10 (US$ 5.9 billion in Q3 of 2008-09). Net portfolio investments were higherUS$ 5.7 billion mainly supported by strong net inflows by the foreign institutional investors amounting to US$5.3 billion duriQ3 of 2009-10.

(x) Net External Commercial Borrowings (ECBs) remained lower at US$ 1.5 billion in Q3 of 2009-10 (US$ 3.8 billion in Q32008-09) mainly due to increased repayments and low disbursements of commercial loans to India. Short-term trade creditsIndia recorded a net inflow of US$ 3.3 billion in Q3 of 2009-10 as against a net outflow of US$ 4.2 billion during Q3 of 20009.

(xi) Net inflows under banking capital was higher at US$ 1.9 billion mainly due to drawdown of foreign assets of commercbanks and a net inflow of US$ 0.6 billion under non-resident Indian (NRI) deposits.

(xii) There was an increase in foreign exchange reserves on BoP basis (i.e., excluding valuation) of US$ 1.8 billion in Q32009-10 as against a decline of US$ 17.9 billion in Q3 of 2008-09. In nominal terms (including valuation changes), foreiexchange reserves rose by US$ 2.2 billion during Q3 of 2009-10.

5. Official ReservesCurrent Data: In Millions of US Dollars (end of period)

I. Official reserve assets and other foreign currency assets (approximate market value)4

January 2011

A. Official reserve assets 299,225.56

(1) Foreign currency reserves (in convertible foreign currencies) 269,892.56

(a) Securities 147,275.42

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of which: issuer headquartered in reporting country but located abroad 0.00

(b) total currency and deposits with: 122,617.14

(i) other national central banks, BIS and IMF 117,349.30

(ii) banks headquartered in the reporting country 0.00

of which: located abroad 0.00

(iii) banks headquartered outside the reporting country 5,267.85

of which: located in the reporting country 0.00

(2) IMF reserve position 2,259.00

(3) SDRs 5,150.00

(4) gold (including gold deposits and, if appropriate, gold swapped)5 21,924.00

-volume in millions of fine troy ounces 17.90

iii. Exchange Rates1. Currency

Indian Rupee

click on values to see graphs 1 INR in INR

American Dollar 0.0222043 45.0364

Euro 0.0157143 63.6364

British Pound 0.0137311 72.8272

2. Exchange Rate Regime

The concept of exchange rate regime may be explained as the method that is employed

by the governments in order to administer their respective currencies in the context of

the other major currencies of the world. The foreign exchange market is pretty importantin this case as well.

Exchange rate regime has often been likened to monetary policies and it may beconcluded that both the processes are actually dependent on a lot of similar factors.

There are some basic exchange rate regimes that are used nowadays the floating

exchange rate, the pegged float exchange rate and the fixed or pegged exchange rate.

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In case of the floating exchange rate regime, the values of the currencies are influenced

by the movements in the financial market.

The floating rates are extensively used in most countries of the world. Some commonexamples of the floating exchange rates would be the British pound, United States

dollar, Japanese Yen and Euro.

3. Exchange Rate Movements

Charts 1 and 2 reveal what is happening in India right now. Chart 1 shows that from March 2009, FIIs

resumed pouring money into Indian stock markets. This has pulled up stock market prices, although

they have not touched pre-crisis levels yet. Chart 2 shows that the rupee has been appreciating

against the dollar since March 2009 with the central bank having virtually stopped buying dollars (in

net terms) since October 2009. Both these trends spell trouble for the Indian economy.

Chart 1: Return of Capital Inflows leading to rising Stock Prices

Chart 2: Rising Rupee as the Central Bank refrains from Intervention

4. Forward rates or currency futures

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iv. Foreign Trade

Table 7.1 : Balance of Payments (Rs bn) Data for Year 1990 to 1995

Year to 1995-96 1996-97 1997-98 1998-99 1999-2000 2000-01

1. Imports (CIF) 146543 173754 190508 199914 240112 270663

2. Exports (FOB) 108482 121193 132703 144436 162753 205287

3. Trade balance (2-1) -38061 -52561 -57805 -55478 -77359 -65376

Major export items of India :Live animals, milk products, wheat, rice, coffee, tea, spices, cumin seed, tamarind powder, sesame seed, sugar,henna, herbal extract, medicines, fertilizers, chemicals, salt, iron ores, minerals, books, leather products, textile, dyesand pigments, home furnishing, footwear, brass items, Aluminium items, sanitary wear, ceramic, glassware, flanges,fittings, embroidered and Zari items, pipe and pipe fittings, handicraft, cables, medical disposables, laboratoryequipments, surgical equipments, sports goods, wooden furniture and various other engineering and electricalproducts.

Major Import items of India :The rising expenditures of the middle income sections of the society have resulted in the imports of the country. Themajor items of imports are:Cereals and preparations, Fertilizers, Edible Oil, Sugar, Pulp and waste paper, Paper, Newsprint, Crude rubber, Non-ferrous Metals, Metalliferrous ores and metal scrap, Iron and Steel, Crude Petroleum and petroleum products, Pearls,Precious and Semi-Precious stones, Machinery, Project Goods, Pulses, Coal and its derivatives, Non-metallic,Organic & Inorganic chemicals, Dyeing, tanning material, Medicinal products and Pharma products, Artificial resins,yarn & fabrics(silk, cotton, wool), electronic goods, wood and wood products, gold and silver, essential oils, computersoftware, etc.

1. Figures for Imports/ Exports2. Major Items Imported/ Exported3. Major Trading Partners

Brazil, Mexico, Argentina, Chile, Peru, Colombia, Venezuela,

and Panama are Indias major trading partners constituting

around 90% of the total trade with the LAC region. The FOCUS:

LAC programme aims at focussing on the Latin American region,

with added emphasis on the eight major trading partners of the

region.

4. Highlights of Trade PolicyThe Government of India, Ministry of Commerce and Industry announced Annual Supplement 2010-2011to the Foreign Trade Policy 2009-2014 released. Offline mode Facility for DES and EPCG Schemes hasbeen introduced. on 23rd August 2010 for the period 2010-2011, earlier this policy known as ExportImport (Exim) Policy. After five years foreign trade policy needs amendments in general, aims atdeveloping export potential, improving export performance, encouraging foreign trade and creatingfavorable balance of payments position.

These constituted the key principles based on which the Policy was announced last year and we canlook back with a sense of satisfaction that we were able to achieve the immediate objectives of our

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Policy. Exports which were steadily declining since October 2008 turned the corner in October 2009 andwe ended last year with exports of US$ 178.66 billion. In the first quarter of 2010-11, exports havegrown by 32%, compared to last year.

In the last one year, we have undertaken significant measures in reaching out to the world and have

been actively engaged in bilateral trade negotiations. As part of our Look East policy, we concluded

Trade in Goods Agreement with ASEAN

Trade Agreements

The TCC's Tradeand Related Agreements Database (TARA)includes active, bindingagreements betweenthe United States andits tradingpartners coveringmanufacturedproductsand services (see Site Mapfordisclaimers). Itis designedtoprovidethepublic withinformationonagreements currentlyinforceanddoes notincludeagricultureagreements. Forinformationonagriculturaltradeissues, pleasecontacttheU.S. DepartmentofAgriculture.

Exporters Guides

The Exporters Guides arequick, conciseexplanations ofindividualtradeagreements. Aimedespeciallyat smalltomedium-sizedexporters, theGuides willtellyou whateachagreementdoeswithouthavingtoreadthroughthedetailed, technicallanguageofthefulltext.

Thus exporting is the best international business strategy for raj exporters to enter in USA and in

Europe

raj export

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