The government may shortly announce another stimulus package to support exports in some key labour-intensive sectors, minister of state for commerce, Jyotiraditya Scindia, told reporters on the sidelines of the India Economic Summit in New Delhi. “Come November, we will be re-looking at the labour-intensive sectors like apparel and gems & jewellery and handicraft,” he said.

Scindia identified engineering as a key sector that would require extra support from the government. “There are sectors like engineering that require robust support, so we will be providing that,” he said.

The commerce ministry will be carrying out an internal analysis on sectors like textile and gems & jewellery and the impact of stimulus packages announced earlier. “We will be providing support, post our analysis, which will be completed by early December,” Scindia said.

He said that though sectors like gems & jewellery were hit hard during the peak of the global slowdown, there were some signs of a turnaround. “There is improvement in areas like jewellery, but there are other sectors like engineering that require support,” he added.

He, however, did not give any details on the nature of stimulus package that the government may come up with.

Prime minister Manmohan Singh on Sunday said that the government will look to wind down the stimulus package by next year. Scindia said that an appropriate decision on the issue will be taken after the ongoing financial year.

In the Foreign Trade Policy unveiled in August this year, a slew of measures were taken to support export-oriented sectors such as gems & jewellery, leather products and handicraft. Some of them included extension of sops until March 2011, tax refund scheme for jewellery sector and re-export of unused leather subject to payment of 50 per cent duty liability.