He warned that factors such as high inflation in Western countries and slowing growth momentum could have some impact on India’s exports, the Mint website reported.

Goyal’s comments, when speaking at the Hindustan Times leadership summit, come after the slowdown in the country’s sales growth sparked fears of job losses in sectors demanding intensive labor such as textiles and manufacturing.

India’s merchandise exports grew at the slowest pace in 19 months, while imports were moderate despite sharp currency depreciation in September.

Goyal, who also serves as minister of Textiles and minister of Consumer Affairs, Food and Public Distribution, said that there are a number of external headwinds, such as the war that skyrocketed commodity prices and caused the decline of demand in Western countries, but India’s merchandise trade will grow at 10 to 12 percent annually.

The engineering, readymade garments, cotton yarn, plastics and linoleum sectors saw their sales decline in September compared to the same month last year due to slowing demand in India’s major markets, such as the United States and the European Union, amid high inflation and recessionary prospects, he said.

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