India’s exports surge by 14%; services remain strong

India’s total exports in FY 2022-23 are estimated to have grown by 13.84% YoY, while imports to rise by 17.38% YoY. According to data, 45 principal commodities have shown growth in both the value and volume of exports during the year. However, services exports have remained robust, with an expected growth of 26.79% YoY to US$ 323 billion in 2022-23.

Image Source: Shutterstock

According to the Commerce and Industry Ministry’s data, total exports in March 2023 are anticipated to have decreased to US$ 66.14 billion, compared to US$ 71.52 billion in FY22. Total imports are also expected to have declined to US$ 72.18 billion from US$ 78.44 billion YoY.

Overall exports are estimated to have touched a new record, increasing by 13.84% YoY to US$ 770 billion. Imports, on the other hand, are estimated to have grown by 17.38% YoY to US$ 892 billion during the period. Meanwhile, the trade deficit is expected to have widened to US$ 122 billion. However, services exports have remained robust, with an expected growth of 26.79% YoY to US$ 323 billion in 2022-23.

India’s goods exports are expected to have risen by 6.03% YoY to US$ 447 billion. Export growth has undoubtedly been affected due to the ongoing global slowdown, which is denting consumer demand in most developed and emerging economies. Goods imports also grew by 16.5% YoY to US$ 714 billion.

According to data, 45 principal commodities have shown growth in both the value and volume of exports during the year. Export share of petroleum products in total merchandise exports has increased from 15.99% in 2021-22 to 21.12% in 2022-23. On the other hand, there has been a decline of 10.82% in the import share of electronic goods in total goods imports in FY23, compared to 12.02% in FY22.

Notably, China’s share in India’s goods imports has also dropped to 13.79% from 15.43%. Additionally, the US has remained India’s top goods exports destination.