The economy will get support of exports this time, consumption of goods in India decreased but export demand increased.
The growth rate of the first quarter (April-June) of the current financial year 2021-22 is expected to be supported by exports this time.
Due to the corona, the consumption of many commodities domestically is decreasing, but the export demand for commodities continues to grow.
Exports for the first week of May increased by nine percent over the same period of May 2019. In April this year, the exports had increased by 16 percent as compared to the year of April 2019.
According to exporters, large economies such as the US, China, and the UK, which have been able to overcome the corona due to the vaccine campaign, are expected to increase demand for goods this year, which is going to benefit Indian exports.
According to a recent estimate by the World Trade Organization (WTO), global trade in commodities will increase by eight percent this year. In 2021, the demand for goods from North America will increase by 11.4 percent.
Europe and South America imports are estimated to increase by eight percent. The WTO says that most of the demand for global imports will be met by countries in Asia. India can be its major shareholder.
According to Sharad Kumar Saraf, president of the Federation of Indian Export Organizations (FIEO), exporters are not short of orders.
Exports could set a new record in the current financial year. Exporters said that the economy of major trading partner countries of India like the US, UK, China is showing a strong recovery.
According to the latest United Nations report, the growth rate of America in 2021 will be 6.2 percent, which will be the highest since 1966.
At the same time, China’s growth rate is estimated to be 8.2 percent. The strong growth rate of both the countries will give a boost to Indian exports as now India’s exports to China are also increasing.
The economy will get support: The growth rate of Europe is also estimated to be 4.1 percent in 2021.
India is also seen to have an export advantage due to damage to the global image of China due to Corona.
The Ministry of Commerce and Industry has been trying to strengthen exports further in view of the improved performance of exports in the adverse situation so that manufacturing continues and employment is not affected.
It is only by increasing the export of goods that manufacturing’s share in GDP can be increased, which is most important for the creation of employment.
Indian exports have been hovering around $ 300 billion for the last four-five years. Efforts have begun to take the export of goods to a record level of $ 400 billion in the current financial year