New Delhi: India’s export remains above pre-pandemic level in the month of October and also for the first seven months of the current financial year despite global supply chain disruptions, a clear sign that the country may be able to achieve its ambitious target of $400 billion export in the year.
In October, India’s merchandise exports was $35.47 billion, an increase of more than 42% over the exports during the same period last year, an increase of over 35% in comparison with the exports during the same month of 2019 when the Covid-19 global pandemic had not hit the world.
In the current financial year, India’s export has performed well despite domestic and international challenges.
In April-June period, the country suffered a ferocious second Covid wave that forced several States to impose local lockdowns but in recent months the challenge to maintain the momentum came from outside as the delta variant of novel coronavirus, which was first detected in India, caused mayhem outside the country as well.
In the first seven months, April-October period this year, total merchandise export was over $232 billion, an increase of nearly 55% over the exports during the same period last year.
It was up by more than 25% in comparison with the exports during April-October 2019 when it was $185 billion but had declined to just $150 billion during the same period of 2020 due to the outbreak of Covid-19 global pandemic.
Imports grew at a faster rate
Though India’s export has so far shown strong growth this year, imports have also risen significantly.
In October, India imported goods and services worth $55.37 billion, an increase of over 62% in comparison with the imports during the same month last year. The imports were also up by nearly 46% in comparison with the imports during the same month of 2019.
It leaves a trade deficit, the gap between the import and export, at around $20 billion.
Similarly, the imports during the first seven months of the current fiscal (April-October period) have jumped by nearly 80%, from just $185 billion in 2020 to more than $331 billion in April-October this year, leaving a cumulative trade deficit for the period at around a massive $99 billion for the period.
Top performers
India's engineering exports remain to be the largest category with export of over $9 billion, followed by petroleum products at over $5 billion, gems and jewellery (over $4.2 billion), organic and in-organic chemicals ($2.56 billion), drugs and pharmaceuticals ($2.06 billion), electronic goods ($1.35 billion), cotton yarn and handloom products etc ($1.33 billion), textiles ($1.25 billion) and marine products at over $800 million.
