However, Hegde made it clear that "sanctions or no sanctions, the target can be achieved if exports will be given a national priority." He was addressing a meeting of exporters organised here by the Federation of Indian Export Organisations.

Hegde said that there has been a slowdown in the industrial production and due to a fall in agricultural produce there was less scope for its exports.

In addition to this, certain political parties have preferred to give priority for preservation of their interests while some of them were busy in demanding toppling of some or the other government. "I strongly feel thatnational priority should be given to step up exports and I am of the firm view that the target of 20 per cent is possible to meet sanctions or no sanctions," he viewed.

Hegde said that cargo complex at the New Delhi international airport has been made operational to step up exports of perishable goods and added that a similar cargo complex will be set up elsewhere in the country. He stressed the need for injecting efficiency in handling at ports, airports and railway stations as the conditions there were appaling.

Hegde said that Union commerce ministry will pay rate of interest if there are delays of 15 days in the payment of duty drawbacks to the exporters.

Hegde's announcement has come in the wake of a strong demand made by the Synthetic and Rayon Textiles Export Promotion Council chairman RL Toshniwal who complained that the exporters were facing hardships in the wake of non-payment of duty drawback since March this year. Toshniwal was supported by the FIEO president Ramu Deora.

Settlement of dutydrawback claims takes long time, sometimes six months or more. As per the new procedure, exporters can file drawback claims only on getting drawback copy from customs. Exporters get these copies after three to six months and this delays the submission of duty drawback claims and consequently payments are received late.

Hegde also announced that a disciplinary action will be taken against the authorities concerned if the exporters will be called for clarification more than once. "I realise your (read exporters) difficulties, frustrations and humilitations. I will request my colleagues and officers to take disciplinary action as I feel that the exports should be treated as a national priority," he added.

Toshniwal and Praveenshankar Pandya, chairman of The Gem & Jewellery Export Promotion Council, called for a reduction in the rate of interest to promote exports. According to them, the rate of interest of 13 per cent was high compared with 6 per cent in other countries.

In his reply, Hegde said that hehad already discussed the matter with Union finance minister Yashwant Sinha and again it will be taken up at a meeting next week. "The finance minister is as anxious as I am about the export promotion," he added.

Ranjit Gupta, vice president (materials), Bajaj Auto Ltd, demanded that the DEPB scheme should be extended to automobile kits with deletion at the rate applicable to complete vehicles. Arvind Shah, president of Spice & Foodstuff Exporters Association, said that the export duty of half per cent on agricultural produce was totally unwarranted and counter-productive.