Sunil Kohli, MD, Rahat Cargo said, “Indian exports have lately witnessed a slump because of several compelling factors. A majority of Indian exporters cite high interest rates as a major hurdle. Despite government efforts to address freight concerns, borrowing costs and collateral requirements remain issues, especially for smaller exporters, affecting their competitiveness. It’s also observed that consumer demand has weakened, private investment has been sluggish for years and reportedly the government spending- an essential driver in recent years has been pulled back. Further, many exporters have diverted to the domestic market as profitability in exports has taken a hit with a sharp rise in international freight (both ship and air). Had it not been for these trade disruptions led by logistical challenges such as higher cost of raw material, lack of shipping space, inflated air/sea freights by the carriers and declining commodity prices by the overseas buyers, merchandise exports would have recorded growth.”