KOLKATA: Chief Economic Advisor (CEA) Anantha Nageswaran on Saturday stated that the Central Government, along with various stakeholders, is working around the clock to support export sectors following the United States’ imposition of additional tariffs. The US implemented a steep 50 per cent tariff on Indian goods entering the country starting August 27.
Nageswaran observed that crises—whether minor or major—often serve as catalysts, providing focus and urgency for all sectors of society, including the government, private enterprises, and households, to take actions that might otherwise have been delayed.
Since the tariffs came into effect, discussions have been ongoing over the past three to four days among export bodies, private-sector export promotion agencies, and the Ministry of Commerce, he noted. Speaking virtually at an ICC-organized event, Nageswaran added that the Ministries and the Finance Ministry are “working overtime” to devise a comprehensive response.
The government’s primary aim, he said, is to provide both a “time cushion” and a “financial cushion” to the affected export sectors and units, helping them navigate the immediate challenges while emerging stronger in the long run. However, he declined to share further details on the specific plans.
Amid these challenges, Nageswaran pointed out positive developments in the broader economy. He cited the first-quarter GDP data for the current financial year, released by the Ministry of Statistics, which showed a 7.8 per cent year-on-year increase in real GDP (at constant prices), aided in part by a lower GDP deflator.
Additionally, nominal GDP (at current prices) rose by 8.8 per cent compared to the same period last year. This near 9 per cent growth exceeded some private-sector forecasts, which had anticipated a figure closer to 8–8.2 per cent, making the performance noteworthy.
