ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Stalled Expansion

Stalled Expansion

Stalled Expansion Hansavivek CEAT TYRES OF INDIA achieved exports of Rs 229 lakhs last year against Rs 225 lakhs in the preceding year in spite of severe competition in world markets and pressure of domestic demand which restricted exports to some extent. The company's products entered the new markets of Hong Kong, Switzerland, Italy and Yemen. The directors point out that due to recession in developed countries, demand for tyres there has diminished considerably and tyre manufacturers in those countries have now started exporting and are finding ready .markets in countries to which India has been exporting. On account of the lower prices at which they obtain their raw materials, .particularly rubber and rayon and nylon tyrecord fabric, manufacturers in the developed countries ' are able to out-price Indian products to the extent of 25 to 30 per cent. As an illustration, it is stated that the prevailing c i f price of indigenous na tural rubber is nearly 100 per cent higher than the world market price. The directors suggest that in the interests of exports Indian manufacturers be permitted to import raw materials at international prices as an export incentive.

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