According to sources within the commerce ministry, India achieved a record high in exports for the financial year 2023-24, totaling USD 778 billion. This marks a slight increase from the previous year's total of USD 776.3 billion in combined goods and services exports.
The breakdown reveals that services exports increased from USD 325.3 billion in the 2022-23 fiscal year to USD 341.1 billion in 2023-24. However, merchandise exports saw a slight decrease, falling from USD 451.1 billion to USD 437.1 billion.
Among the initiatives taken by the government was the introduction of the Production Linked Incentive (PLI) scheme across various sectors, including electronics. This initiative aimed to enhance the competitiveness of Indian manufacturers on a global scale, attract investments, boost exports, integrate India into the global supply chain, and reduce import dependency. These measures appear to have yielded positive results.
Countries such as China, Russia, Iraq, the UAE, and Singapore saw significant increases in their imports from India in the recently concluded financial year, although starting from a relatively low base. Other nations in the Top 10 list include the UK, Australia, Saudi Arabia, the Netherlands, and South Africa.
Regarding overall imports, there was a decrease from USD 898 billion in 2022-23 to USD 853.8 billion in 2023-24. Both merchandise and services imports saw a decline over the fiscal year.
The overall trade deficit saw a notable improvement, decreasing from USD 121.6 billion in 2022-23 to USD 75.6 billion in 2023-24.
In April, the first month of the 2024-25 fiscal year, India's exports, encompassing both merchandise and services, climbed from USD 60.40 billion to USD 64.5 billion. However, imports also increased, rising from USD 63.02 billion to USD 71.07 billion.
Consequently, the trade deficit for April expanded from USD 2.62 billion the previous year to USD 6.51 billion.
In April, there was a year-on-year increase in the exports of electronic goods, organic and inorganic chemicals, petroleum products, and drugs and pharmaceuticals. Conversely, exports such as engineering goods, iron ore, gems and jewelry, marine products, and oil meals saw a decline.
Regarding imports, there was an uptick in items like petroleum crude and products, gold, electronic goods, pulses, and vegetable oil. However, imports of pearls, precious metals and stones, iron, and steel, among others, experienced a decrease.
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