The decline in exports growth rate was also less with top ten destinations as compared with rest of the economies.
Export volume to top ten export destinations declined 7.7 per cent from $154.05 billion to $142.55 billion in 2016-17 whereas export volume to rest of the economies declined 16.6 per cent from $160.36 billion in 2013-14 to $133.73 billion in 2016-17.
India’s overall merchandise exports declined 12 per cent during the same period from 2013-14 to 2016-17 from $314 billion to $276 billion.
Despite overall slowdown in exports growth, it is inspiring to know that India’s merchandise exports to USA grew from $39.14 billion in 2013-14 to $42.33 billion in 2016-17 showing a growth of 8.1 per cent with the World’s largest economy, said Jiwarajka. However, India’s exports to China declined 31 per cent from $14.82 billion in 2013-14 to $10.2 billion in 2016-17.
Nearly 53 per cent of the India’s exports to USA are in the form of consumer goods, followed by intermediate goods (29 per cent), capital goods (12 per cent) and raw materials (6 per cent).
India and USA have consistently increased their intra-industry trade over the last many years, said Jiwarajka.
Going ahead, scope for enhancing the present intra-industry trade between India and USA is immense, he said.
India’s products’ export pattern has grown tremendously in tandem with the import pattern of USA. The alignment has recently witnessed a jump in 2016 indicating the demand pattern of USA has been inclined more and more in favour of supply pattern of India, he added.
Considering the steady trade pattern with USA, our exports to USA are seen at $50 billion by the next financial year 2018-19, said Gopal Jiwarajka.
Exports to UAE also increased from $30.52 billion in 2013-14 to $31.3 billion during the same period showing a growth of 2.5 per cent, he said.
Hong Kong has superseded China as the 3rd biggest export destination for India on the back of rising demand of Indian products in Hong Kong. India’s exports to Hong Kong grew 11.2 per cent from $12.73 billion in 2013-14 to $14.2 billion in 2016-17, he said.
Going ahead, we are hopeful that our exports will touch $ 325 billion mark in the current financial year 2017-18, said Jiwarajka.
India’s Top Ten Export Destinations
| 2013-14 | 2016-17 | ||||
| Nation | Volume
(in USD billion) |
Share
(%) |
Nation | Volume
(in USD billion) |
Share
(%) |
| USA | 39.14 | 12.4% | USA | 42.33 | 15.3% |
| UAE | 30.52 | 9.7% | UAE | 31.30 | 11.3% |
| China | 14.82 | 4.7% | Hong Kong | 14.16 | 5.1% |
| Hong Kong | 12.73 | 4.0% | China | 10.20 | 3.7% |
| Singapore | 12.51 | 4.0% | Singapore | 9.57 | 3.5% |
| Saudi Arab | 12.22 | 3.9% | UK | 8.56 | 3.1% |
| UK | 9.78 | 3.1% | Germany | 7.21 | 2.6% |
| Netherland | 8.00 | 2.5% | Vietnam | 6.81 | 2.5% |
| Germany | 7.52 | 2.4% | Bangladesh | 6.73 | 2.4% |
| Japan | 6.81 | 2.2% | Belgium | 5.67 | 2.1% |
| Top Ten Export | 154.05 | 49% | Top Ten Export | 142.55 | 51.6% |
| Rest of the world | 160.36 | 51% | Rest of the world | 133.73 | 48.4% |
| Total Ex | 314.41 | 100% | Total Trade | 276.28 | 100% |
Source: PHD Research Bureau, compiled from Ministry of Commerce & Industry