Coronavirus scare: Exporters hit by global trade slowdown

With the slowdown in global trade in the wake of the coronavirus outbreak, the Engineering Export Promotion Council (EEPC) of India on Monday sought relief measures from the government. The exporters have found themselves in a "state of turmoil" as shipments to the top destinations have been paralysed with major economies of the world slipping into a "near-halt" due to the spread of the virus, the council said in a statement.

The EEPC India has sought urgent relief measures from the government. The US, Germany, the UK, Singapore, Italy, UAE and China are among the top destinations for Indian engineering exports.

"Trade is crippled in most of these destinations due to a near collapse of the global supply chain as the cargo movement has stopped. The warehousing capacity is over- stretched with severe blocking of export finance," the statement said. The council said international shipping lines are also affected amid growing coronavirus threat.

"Even sending cargo through air routes is affected with the airlines trimming their operations," EEPC chairman Ravi Sehgal said. Under these circumstances, the exporters, especially those in the highly job-oriented SMEs, need immediate fiscal relief and credit flow to keep their operations going.

All major export markets are in "a grip of crisis" due to the coronavirus outbreak. There is no certainty that how long the global health emergency will last, he added..