Budget 2024: How Sitharaman can steer the trade ship amidst two wars and Red Sea crisis to achieve $2 tn export goal
Red Sea crisis and ongoing war between Ukraine-Russia and Israel-Hamas. E-commerce exports are growing rapidly and those done through the postal and courier routes are pegged at $1.5 billion. Here's a look at the challenges the export sector is facing and its budget wishlist.
India's goods and services exports in FY24 were at an all-time high of $778.2 billion, up 0.23% from $776.4 billion in 2022-23 (goods USD 437.1 billion and services USD 341 billion).
Key issues in India's export saga;
Geopolitical uncertainties
The ongoing Russia-Ukraine war coupled with various major geo-political tensions, including the Red Sea crisis and the Israel-Hamas conflict, has also made the international trade scenario much tougher for the Indian exporters.
India's top five export destinations are the US, the Netherlands, UAE, Malaysia, and the UK — recorded healthy growth in May.
Confident of over $800 billion exports in goods, services this fiscal, says Piyush Goyal
According to the commerce ministry data released in June, the estimated value of services exported in May is USD 30.16 billion as compared to USD 26.99 billion in May 2023.
Imports of services are estimated to have increased to USD 17.28 billion during the month as compared to USD 15.88 billion in May 2023.
Manufacturing push
Boosting manufacturing is crucial for labor-intensive sectors as it can generate substantial employment opportunities, drive economic growth, and reduce poverty. By investing in manufacturing, India can enhance
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