Indore: Though the online facilities help the exporters immensely, lack of Rail infrastructure, which is the key part in the export, is creating hurdles for those in this business.Poor connectivity takes additional time to dispatch the consignment to a port in Mumbai and makes life difficult for the exporters.
This is joy and pain of a first generation young exporter of Indore, ogendra Rathor ( 28), proprietor of Gayatri Global.He has been in International trade for the last 5 years and is making steady progress. Sharing his five years experience with this correspondent, he said 5 years ago there were lots of problems in the form of documentations and liasoning.
Thanks to introduction of Online systems.It has solved many of our problems. Now, forms can be downloaded at our office and payments can also be made through it. It has helped in reducing time and spending hours for making rounds to the Commercial Tax Departments and Customs.
Rathor, who is engaged in exports of spices, dollar gram, wheat flour and soya to 12 countries, lamented that exporters have been facing difficulty in the absence of infrastructures in the form of goods trains. He says exporters have to dispatch their consignments to Nhav Sheva port in Mumbai. Though the road connectivity is good, it is very costly. The train is the cheapest means of transport but its availability is very difficult.
An MBA in International Business, Rathor says: ‘ The exporters have to carry their container to Pithampur ICD ( Inland Container Depot), where it is checked by officials of the Customs Department.Thereafter, they take it to Ratlam by road for sending it to Nhava Sheva Port through goods trains. Unfortunately, only two days in a week are scheduled to carry containers by goods trains from Ratlam to Nhava Sheva.
He says a container takes 4 to 8 days to reach at Nhava Sheva Port and 4 times of it is required for loading and unloading.The young exporter suggests that the Western Railway can help the exporters by expediting the work of Indore- Godhra Rail line and Indore- Manmad Rail line, which passes via Pithampur.
He gives another suggestion that if both the projects involve heavy investments, then the Railways should complete the Indore- Pithampur track first, so that the containers can be sent from Pithampur to Nhava Sheva via Indore and Ratlam. It will save Rs 5000 to Rs 7000 on each container from dispatching them from Pithampur to Ratlam by truck and reduce the time of sending the containers and also reduce the numbers of loading and unloading of containers.
“ Exporters are forced to pay Rs 5000 to Rs 7000 on each container in the absence of proper train facility at Pithmapur. Ultimately the exporters have to face stiff competition in keeping the low price of their goods at the international market.
Online documentation is helping exporters Poor connectivity affects exporters State Govt should constitute FIEO like organization He suggests that the State as well as Central governments should take care of those who are trying to increase export at the time when recession is hitting the roof.
The state government should from an FIEO like body in the state, which can help in removing the hurdles of exporters and they can also get the solution under one roof. The State Government should also constitute a fund or scheme for exporters to encourage them to participate in International trade fairs.