How has India’s export performance evolved over the past decade?
India’s export performance has seen a steady increase over the past decade. The country’s total exports grew from US$ 246.8 billion in 2009-10 to US$ 331.7 billion in 2018-19, registering a compound annual growth rate (CAGR) of 5.8%.
The growth in exports was mainly driven by the manufacturing sector, which accounted for about 60% of the total exports in 2018-19. The share of primary goods in total exports decreased from 36.3% in 2009-10 to 24.9% in 2018-19, while the share of manufactured goods increased from 63.7% to 75.1% over the same period.
The major drivers of India’s export performance were the increased demand for Indian products in the global market, the diversification of India’s export products, and the implementation of various trade facilitation measures.
The demand for Indian products in the global market has been on the rise due to the country’s competitive advantage in terms of cost, quality, and availability of raw materials. This has been further boosted by the government’s efforts to promote ‘Make in India’ and ‘Digital India’ initiatives, which have made India more attractive to foreign investors.
The diversification of India’s export products has also contributed to the growth in exports. India’s exports have shifted from primary goods to manufactured goods over the past decade. This has allowed India to tap into new markets and expand its export base.
The government has also implemented various trade facilitation measures to boost exports. These include the introduction of the Goods and Services Tax (GST) regime, the simplification of customs procedures, and the development of digital infrastructure. These measures have made India more attractive to foreign investors, thereby boosting the country’s export performance.
Overall, India’s export performance has seen a steady increase over the past decade, driven by increased demand for Indian products in the global market, the diversification of India’s export products, and the implementation of various trade facilitation measures. Going forward, the government’s continued focus on promoting ‘Make in India’ and ‘Digital India’ initiatives, as well as the implementation of further trade facilitation measures, is expected to further boost India’s export performance.|