Export sector may lose 10 mn jobs by March: official

AGENCIES
Posted on 2009-01-07
NEW DELHI- Nearly 10 million workers across management levels in the export sector may lose their jobs by March this year due to the global economic slowdown, a top official of an Indian exporters’ body said here on Tuesday.
“Owing to recession and high interest rates, 10 million jobs could be lost in the export sector in India between January and March 2009,” said Mr A Sakthivel, president of the Federation of Indian Export Organisations (FIEO).
“Already a million jobs have been lost and there are more to follow,” he said.
A lot of developed economies, including the United States, are in recession, driving down consumer demand across the world.
“Fresh orders are drying up due to lower demand. Buyers are canceling the earlier orders or rescheduling the shipment,” added Mr Sakthivel.
China’s price competitiveness seems to be biting into Indian exporters’ pie as a lot of foreign buyers are looking at cheaper options. “Buyers are also asking to reduce prices even for already executed contracts and are asking us to match China prices,” he added.