High inflation to dent exports: FIEO

Bangalore, Jun 20 (UNI) With inflation jumping to double digits, Exports, particularly from traditional sectors, would be badly hit, Federation of Indian Export Organisations (FIEO) President Ganesh Kumar Gupta has said.

Elaborating on inflation which had crossed 11 per cent mark, he said the hike in cost of domestic inputs, would have an impacton traditional sectors like handicrafts, textiles, leather, marine products, agro processed, toys, sports goods and engineering products, according to a press release.

The high inflation rates would blunt the competitive edge which had recently been restored due to marginal depreciation of Indian Rupee during last two months.

''As inflation in most of India's competitor countries was in the range of 4 to 7 per cent, we would lose competitiveness in international market, barring sectors like gems, other jewellery and petroleum products,'' he said.

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