Date:30/05/2007 URL: http://www.thehindubusinessline.com/2007/05/30/stories/2007053000250800.htm

Back Rupee appreciation

The article "Exports more than rupee's worth" (Business Line, May 25) gives the impression that irrespective of the rupee's appreciation, Indiais witnessing export growth.

The general growth figures cannot be taken for analysis of specific industries. For example, the IT sector, which is service-oriented, will not face growth problems.

However, the garments and textile industries, where the margins are fine, runs the riskof being wiped out in three-four business cycles.

A continuing appreciation of the rupee by 12 per cent within a quarter makes it difficult for the manufacturing exporter, who has to further offer his quotations to match the competitive range of suppliers from other countries.

N. Radhakrishnan

Tirupur

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