News Bureau

India’s export to China moves positively!

India’s export to China is moving positively from 2016-17 when it grew by 13% followed by 31% growth in 2017-18. India’s exports to China grew up by about 17% in the first six months of 2018-19, more or less in line with general trend in India’s exports.

However, the sharp decline in exports of non precious metals shows that India’s exports are moving towards value added exports. India’s exports of marine products grew up by over 100%, organic chemicals by 40%, plastic & plastic products by 70%, gems & jewellery by 60% and mechanical machineries and appliances by 20%.

The address of market access issues by agriculture and processed food products would help in increasing India’s exports to China. The temporary truce between China and US is good for world economy and trade as it has reduced the uncertainties which will help in further growth of global trade. The existing tariffs on a large number of products provide opportunity to other countries in their exports to US and China.

Further Mr Ganesh Kumar Gupta reiterates that India’s exports to Iran grew by about 22% in first six months of 2018-19. However, the imposition of sanction has definitely impacted India’s exports as three months window provided by the US got over in August, 2018.

In past six months, India has shown good growth in exports. FIEO says, “We have been given to understand that UCO bank is working on necessary modalities to start the Rupee Payment. This should apply to all exports except those in OFAC list or those under sanctioned entities. Insurance and shipping remain a challenge for exports to Iran as both European and US based insurance/shipping companies are reluctant to take such business.

Since most of the courier companies have also boycotted Iran, sending of exports documents is also a challenge particularly with the unavailability of SWIFT. India Post should look into the opportunity to fill the gap.

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