Srinagar: The Kashmir Chamber of Commerce and Industry (KCCI) has urged the government of India to step in following the abrupt imposition of a 26 per cent import duty by the United States on Indian goods, a sharp escalation from the earlier 0 to 4 per cent range.
The new tariff regime, which came into effect today, is expected to significantly impact cash flows for Indian exporters, especially those dealing with the US market. American buyers facing increased upfront costs may delay payments to exporters in Kashmir and elsewhere, raising fears of a liquidity crunch.
In anticipation of this fallout, the KCCI has formally requested the Centre to introduce a 5 per cent interest subvention scheme to support exporters during the adjustment period. The Chamber has warned that without such a buffer, several export-oriented businesses—especially small and medium enterprises—could come under serious financial stress
Kashmir’s heritage handicraft sector is particularly vulnerable. Products such as hand-knotted carpets, Pashmina shawls, papier-mâché items, walnut wood carvings and elaborate embroidered textiles make up a substantial share of the Valley’s exports. These goods are not only crucial to the region’s economy but also represent centuries of artistic tradition and craftsmanship.
The KCCI has said that immediate relief through interest subvention would serve the twin goals of economic stability and cultural preservation. It has expressed confidence that Prime Minister Narendra Modi, given his focus on trade and self-reliance, will take timely steps to safeguard the interests of exporters in light of the new US policy.
