Impact of the rising rupee on Indian exports is devastating - massive retrenchment and a potential financial loss of nearly Rs 1,00,000 crore
Harish Baliga
Jul. 26, 2007

Outsourcing and export boom of India is being challenged for the first time with rising Rupee and international competitiveness. Analysts now expect millions unemployed in India with hundreds of billions of dollars.

Indian oligarchs and their western counterparts are challenged for the first time. As dollar devalues against Rupees, the Indian native traders and body shoppers face real competition for the first time.

Massive retrenchment and a potential financial loss of nearly Rs 1,00,000 crore due to a loss in value and competitiveness are the key findings of a three-month field survey on the impact of the rising rupee on Indian exports conducted by the commerce ministry between March and June.

The sample survey, the first of its kind, covered eight export-driven sectors in which import intensity is low and export dependence high. Its overall findings suggest massive lay-offs as units close following order cancellations, reduced profit margins and a loss of competitiveness.

Impact of the rising rupee on Indian exports is devastating - massive retrenchment and a potential financial loss of nearly Rs 1,00,000 crore
Harish Baliga
Outsourcing and export boom of India is being challenged for the first time with rising Rupee and international competitiveness. Analysts now expect millions unemployed in India with hundreds of billions of dollars.
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