A major challenge faced by Karnataka’s exporters:

The correct answer is D. All of the above.

Fluctuating exchange rates can make it difficult for exporters to price their products competitively. Competition from other countries can drive down prices and make it difficult for exporters to make a profit. Inadequate infrastructure can make it difficult and expensive to transport goods to and from markets.

Here are some additional details about each of the challenges faced by Karnataka’s exporters:

• Fluctuating exchange rates: The value of the Indian rupee can fluctuate significantly against other currencies, making it difficult for exporters to price their products competitively. When the rupee is weak, Indian exports become more expensive for foreign buyers, which can reduce demand. Conversely, when the rupee is strong, Indian exports become cheaper for foreign buyers, which can increase demand. This volatility can make it difficult for exporters to plan and budget for their businesses.
• Competition from other countries: India faces stiff competition from other countries in the global export market. Countries such as China, Vietnam, and Bangladesh have lower labor costs and offer a wider range of products, which can make it difficult for Indian exporters to compete. In addition, many countries have trade agreements with each other that give their exporters preferential access to markets. This can make it difficult for Indian exporters to compete on a level playing field.
• Inadequate infrastructure: India’s infrastructure is not well-developed, which can make it difficult and expensive to transport goods to and from markets. The country’s roads, railways, and ports are often congested and in poor condition. This can lead to delays and damage to goods, which can increase costs for exporters. In addition, the lack of adequate infrastructure can make it difficult for exporters to access markets in remote areas.

These challenges make it difficult for Karnataka’s exporters to compete in the global market. The government has taken some steps to address these challenges, but more needs to be done to support the state’s exporters.