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Now, the impact on export markets - we export about 10 percent of what we produce, so obviously that will probably have some impact on the market. At this point it's too early to determine how much.

Markets are frequently ahead of, and often out of sync with, the economy.

There is abundant proof that the opening of our ports always tends to raise the price of foreign corn to the price in the English market, and not to sink the price of British corn to the price in the continental market.

Although economists have studied the sensitivity of import and export volumes to changes in the exchange rate, there is still much uncertainty about just how much the dollar must change to bring about any given reduction in our trade deficit.

The whole idea of having a free trade area when you have gyrating exchange rates doesn't make sense at all. It just spoils the effect of any kind of free trade agreement.

Even if the dollar does decline during the coming months, the delays in the response of exports and imports to the more competitive dollar will mean that the increase in aggregate demand from this source may not happen for a year or more.

To achieve a more balanced international system over time, countries with excessive and unsustainable trade surpluses will need to allow their exchange rates to better reflect market fundamentals.

If you have a company that doesn't sell its goods or services abroad and focuses only on the domestic market, it will keep paying a price.

In fact, the recent increase in intra-firm trading enables businesses to shift their activities across borders smoothly, thereby strengthening the response of economic activity to exchange rate movements in the long run.

The Indian business has largely grown on the back of exports. The domestic markets, as far as our Indian business is concerned, actually have contracted because of the contraction in the medium and heavy commercial vehicle space.