The INR value against the US dollar has depreciated in recent days. Regarding the same, the RBI announcement of international trade settlement in Indian Rupees (INR) facilitates the elevation of the trading sectors and is a relief measure for exporters and importers.
The textiles and clothing industry exported merchandise worth around US$ 44.4 billion during the year 2021-22, accounting for around 10% of the total exports and has been gearing itself to boost exports taking advantage of the numerous policy initiatives by the Government during the last two years.
Ravi Sam, Chairman, Southern India Mills Association (SIMA) greeted the RBI’s announcement stating it would encourage substantial trade in the country. It would take considerable time to attain the expected result.
He added stating this decision would encourage other countries to raise their monetary values in the near future. Also, it controls the currency volatility and strengthens the foreign trades, simultaneously feasible to settle export/import payments.
“India would perform well in the international arena and internationalizing the Indian Rupee is the first step in the right direction”, he added.
It has been reported that the SIMA Chief has appealed to the Government to extend all the export benefits for all the exports settled with INR to enable the exporters to sustain their global competitiveness and prevent them from facing a financial crisis.