Exports in

India
Economic
History of
India
Mughal Empire
 1525 – 1550
second largest economy in the world.
GDP about 40 per cent that of China.
 1550 – 1575

GDP about 50 per cent that of China.

 1575 - 1600

The annual revenue of Emperor Akbar's

treasury was at £17.5 million
 Contd…..
 1650 - 1675
GDP - 90 per cent that of China
 1625 - 1650
Emperor Shah Jahan's treasury reported annual revenues
exceeding £25 million and GDP - 80 percent that of China.
 1650 - 1675
GDP - about 90 per cent that of China
 1675 - 1700
Emperor Aurangzeb's exceeded £100 million in 1700 (twice
that of Europe then).
India emerged as the world's largest economy followed by
China and France.
 1700 - 1725
Collapse of the central authority of the
Mughal Empire and the resultant chaos triggered
India's long but slow decline on the world stage
Nawabs, Marathas & Nizams

 1725 – 1750
Mughals was replaced. China was the world's largest
economy followed by India and France.
GDP - about 80 per cent that of China.
 1750 - 1775
The Maratha empire expanded to almost 250 million
acres while the Nizam's dominion expanded to almost
125 million acres.
GDP - about 70 per cent that of China.
British East India Company
 India's share of the world income went from 24.4%
in 1700 comparable to Europe's share of 23.3%, to a
low of 3.8% in 1952
British Crown Rule
 1850 – 1875
The GDP -30 per cent that of China British cotton
exports reach 55 per cent of the Indian market
 1875 – 1900
GDP- 20 per cent that of the USA.
The Crown treasury reported annual revenue of £122
average annual growth of merely 0.1 per cent.
 1925 - 1950
The GDP of India-7 per cent that of the USA.
Contd…..
Year GD P US Dollar Exchangein (Rs.)
1950 99,340 4.79
1955 108,730 4.79
1960 171,670 4.77
1965 276,680 4.78
1970 456,770 7.56
1975 832,690 8.39
 Contd…..
Year GDP Exports Imports US Dollar
Exchange in (Rs.)

1980 1,380,334 90,290 135,960 7.86

1985 2,729,350 149,510 217,540 12.36

1990 5,542,706 406,350 486,980 17.50

1995 11,571,882 1,307,330 1,449,530 32.42

2000 20,791,898 2,781,260 2,975,230 44.94

Export in India
 What do you mean by Exports ?
 Why Exports ?
Present situation
Introduction
 Export VS GDP (exports have grown over 11% per annum
while growth in GDP is about 5%)
 Export and Domestic demand and
supply.
 Export and FDI
EXPORT items and its compositions
 Primary
(i) Agriculture
(ii) Mining
(iii) Petroleum
(i) Food and beverages
 Secondary (ii) Textile
(iii) Machinery & machine tools
(iv) Transport equipment
(v) Metal & metal products
(vi) Electrical goods
(vii) Chemical & chemical products
(viii) Paper & paper products
(ix) Rubber goods
(x) Other Manufacturing
Contd…..
 Tertiary (i) Telecommunication
(ii) Power generation
(iii) Services
Another composition
 Agricultural & Allied products
 Ores and minerals
 Manufactured goods
 Petroleum products
 Other commodities
Export items composition
 Agricultural Products
 Textiles and allied Products
 Chemical and allied Products
 Metals and Minerals
 Fish, Dairy and Animal Products
 Handicrafts
 Capital Goods
 Other Products
 Service export
Agricultural
Products
Agricultural products (some facts)

 Growth of India's agriculture sector during the 50

years of independence remain impressive at 2.7 %
per annum
 An impressive growth (increased around four times during
the planned area of development from 51 million tons in 1950-
51 to 199.1 million tonnes in 1997-98)
 Accounts for employs around 65 % of the population.
 The total turnover of Indian food market is
approximately Rs.250000 crores (US $ 69.4 billion.
Contd…..
 Presently - 2nd largest rice producer
after China and the 3rd largest net-
exporter after Thailand and Vietnam.
 GDP contribution
 30% in Nineties
 17.6% in 2006
Agricultural products
1. COFFEE, TEA, MATE AND SPICES.
2. RESIDUES AND WASTE FROM THE FOOD INDUSTRIES;
PREPARED ANIMAL FODER.
3. CEREALS.
4. EDIBLE FRUIT AND NUTS; PEEL OR CITRUS FRUIT OR MELONS.
5. RUBBER AND ARTICLES THEREOF.
6. OIL SEEDS AND OLEA. FRUITS; MISC. GRAINS, SEEDS AND
FRUIT; INDUSTRIAL OR MEDICINAL PLANTS; STRAW AND
FODDER.
7. TOBACCO AND MANUFACTURED TOBACCO SUBSTITUTES.
8. SUGARS AND SUGAR CONFECTIONERY.
9. EDIBLE VEGETABLES AND CERTAIN ROOTS AND TUBERS.
10. LAC; GUMS, RESINS AND OTHER VEGETABLE SAPS AND
EXTRACTS.
 Agricultural Products( graphical
representation)

agriculture products 1996-97

1997-98

25000 1998-99
1999-00
20000 2000-01
exports (in Rs.)

2001-02
15000
2002-03
10000 2003-04
2004-05
5000
2005-06
0 2006-07
2007-08
2008-09
2009-10
years
2010-11
Future trends
1996-97 4911.6
1997-98 4992.1
1998-99 4462.55
1999-00 4566.77
2000-01 6178.5
2001-02 6354.84
2002-03 7583.48
2003-04 9338.09
2004-05 11983.56
2005-06 14732.98
2006-07 18251.22
2007-08 15242.41
2008-09 17064.73621
2009-10 18858.55889
2010-11 20714.98293
 export value in Rs.

10000
15000
20000
25000

0
5000
1996-97
1997-98
1998-99
1999-00
2000-01
2001-02
2002-03
2003-04

years
Future trends

2004-05
2005-06
2006-07
agricultural products

2007-08
2008-09
2009-10
2010-11
agricultural products
Textile and
allied products
Textile and allied Products
 Exports increased from US$ 14 million (2004-05) to
US$ 17 million (2005-06) – 21.77 % increase.
 With continuing growth, the total exports has
increased to – US$ 19.62 billion (2006-07).
 Current share in world export of textiles – 3.5 - 4 %.
 Current share in world clothing export – 3 %.
 Major export market – Europe (22% share in textiles
& 43% share in apparel).
 Single largest buyer – US ( 10% share in textiles and
32.65 share in apparel).
Contd…..
 Other major export markets include - UAE,
Saudi Arabia, Canada, Bangladesh, China,
Turkey and Japan.
 Largest export segment – Readymade
Garments (45% share in textile exports and
8.25% share in India's total exports).
 Exports of readymade garments - expected to
US$ 14.5 billion with a cumulative annual
growth rate of 18-20%.
Indian Leather Exports
 India is the largest livestock holding country - 21% large
animals and 11% small animals
 A source for 10% world leather requirement
 About 2.50 million workforce (30% women)
 Annual production value is over U$ 4 billion
 Annual export value is over U$ 2 billion
 Export growth CAGR 8.20% (2000-04)
 Promising technology inflow and FDI
 High priority to occupational safety and work environment
 Compliance to environmental standards
 Immense potential for future growth (domestic as well as
export)
Textiles products composition
 ARTICLES OF APPAREL AND CLOTHING ACCESSORIES, NOT
KNITTED OR CROCHETED.
 COTTON.
 ARTICLES OF LEATHER,SADDLERY AND HARNESS;TRAVEL
GOODS, HANDBAGS AND SIMILAR CONT.ARTICLES OF ANIMAL
GUT(OTHR THN SILK-WRM)GUT.
 OTHER MADE UP TEXTILE ARTICLES; SETS; WORN CLOTHING
AND WORN TEXTILE ARTICLES; RAGS
 CARPETS AND OTHER TEXTILE FLOOR COVERINGS.
 CARPETS AND OTHER TEXTILE FLOOR COVERINGS.
 SILK
 KNITTED OR CROCHETED FABRICS.
 Leather goods
 Textiles products
(graphical representation)
textiles and allied product

35,000.00

30,000.00
export value(in R s.)

25,000.00

20,000.00
textiles and allied product
15,000.00

10,000.00

5,000.00

0.00

years
Future Trends…
1996-97 8563.84
1997-98 8646.31
1998-99 8049.42
1999-00 8632.86
2000-01 9941.66
2001-02 9176.52
2002-03 10970.92
2003-04 12828.22
2004-05 18148.93
2005-06 25902.95
2006-07 32153.56
2007-08 28035.56
2008-09 28923.092
2009-10 32151.116
2010-11 35547.22
 Future trends
textiles

40000
35000
30000
exports value in Rs.

25000
20000 textiles
15000
10000
5000
0

years
Product-wise Export Share
 Commodities 2005-06 (Million US$)
Readymade Garments 6038.69
Cotton Textiles 3290.31
Man-made Textiles 1948.72
Wool & Woolen Textiles 66.57
Silk Textile 406.82
Total 11751.11
Add handicraft, Coir & Coir Manufacturers and Jute
Total 13065.24
Metals
and
Minerals
Metals and Minerals
 89 minerals
 4 fuel minerals
 11 metallic
 52 non-metallic

22 minor minerals
 India is the world's largest producer of mica blocks and
mica splittings.
 India ranks third rank among the chromite producers of
the world
 India ranks 3rd in production of coal & lignite and barytes .
Contd…..
 India ranks 4th in iron ore
 India ranks 6th in bauxite and manganese ore
 10 in aluminium and 11 th in crude steel in
the World
Metals and Minerals
 IRON AND STEEL
 ARTICLES OF IRON OR STEEL
 ORES, SLAG AND ASH.
 MINERAL FUELS, MINERAL OILS AND PRODUCTS OF
THEIR DISTILLATION; BITUMINOUS SUBSTANCES;
MINERAL WAXES.
 ALUMINIUM AND ARTICLES THEREOF.
 SALT; SULPHUR; EARTHS AND STONE; PLASTERING
MATERIALS, LIME AND CEMENT.
 ARTICLES OF STONE, PLASTER, CEMENT, ASBESTOS,
MICA OR SIMILAR MATERIALS.
 COPPER AND ARTICLES THEREOF.
 Metals and Minerals export
metals and minerals

12000
export values in Rs.

10000

8000

6000 metals and minerals

4000

2000

years
Future trends
1996-97 3315.29
1997-98 3362.19
1998-99 2994.25
1999-00 3377.76
2000-01 4151.54
2001-02 4128.05
2002-03 4938.94
2003-04 5754.85
2004-05 6950.4
2005-06 8800.66
2006-07 10392.12
2007-08 9245.25
2008-09 9995.513
2009-10 10966.44
2010-11 11967.32
 Future Trends (graphical representation)
metals and minerals

14000
12000
10000
export value in Rs.

8000
metals and minerals
6000
4000
2000
0

years
Chemicals
and allied
products
Chemicals and allied Products
 7 % of the Indian GDP
 Worth of Indian chemicals industry during
2005-06 was US$30.59
 Growing at an average rate of 12.5%
 The industry presently produces around
70,000 commercial products, which range
from toiletries and cosmetics, to plastics and
pesticides.
Indian Chemical Sector
Chemical Products Composition
 ORGANIC CHEMICALS
 PHARMACEUTICAL PRODUCTS
 TANNING OR DYEING EXTRACTS; TANNINS AND THEIR DERI.
DYES, PIGMENTS AND OTHER COLOURING MATTER; PAINTS
AND VER; PUTTY AND OTHER MASTICS; INKS.
 MISCELLANEOUS CHEMICAL PRODUCTS.
 SOAP, ORGANIC SURFACE-ACTIVE AGENTS, WASHING
PREPARATIONS, LUBRICATING PREPARATIONS, ARTIFICIAL
WAXES, PREPARED WAXES, POLISHING OR SCOURING PREP.
 FERTILISERS.
 INORGANIC CHEMICALS; ORGANIC OR INORGANIC
COMPOUNDS OF PRECIOUS METALS, OF RARE-EARTH METALS,
OR RADI. ELEM. OR OF ISOTOPES.
 Graphical representation
chemicals and allied products

12000
10000
export value in Rs.

8000
6000 chemicals and allied products
4000
2000
0

years
Future trends
1996-97 2657.58
1997-98 3074.13
1998-99 3033.6
1999-00 3278.24
2000-01 4107.5
2001-02 4160.08
2002-03 4974.93
2003-04 5911.65
2004-05 7959.45
2005-06 9112.77
2006-07 11031.53
2007-08 9634.69
2008-09 10757.23
2009-10 11773.24
2010-11 12848.12
 export value in Rs.

2000
4000
6000
8000
10000
12000
14000

0
1996-97
1997-98
1998-99

1999-00
2000-01
2001-02
2002-03
2003-04
Future trends

years
2004-05
2005-06
chemical products

2006-07

2007-08
2008-09
2009-10
2010-11
chemical products
Handicrafts
Handicrafts (Gems and jewellery)
 leading foreign exchange earner
 US$ 13.5 billion
 11 % in the 5 year period
 employment to more than 1.3 million
people directly and indirectly
 supported by Government policies and
the banking sector (50 banks providing about US$ 3
billion credit to the Indian diamond industry )
Handicrafts and Gifts
 highly labor intensive and decentralized
 as the second largest employment-
generating sector after agriculture
 offers employment to over 6 million
artisans
 a perfect example of assimilation
between the traditional designs and
modern techniques
Handicraft products composition
 NATURAL OR CULTURED PEARLS
 PRECIOUS OR SEMIPRECIOUS STONES
 PRE.METALS,CLAD WITH PRE.METAL
AND ARTICLES,COIN.
 HANDICRAFTS AND GIFTS
 Handicrafts (graphical representation)
handicrafts ( Gems and Jewellery)

20,000.00
18,000.00
16,000.00
exports value in Rs.

14,000.00
12,000.00
handicrafts ( Gems and
10,000.00
Jewellery)
8,000.00
6,000.00
4,000.00
2,000.00
0.00

years
Future trends
1996-97 4771.72
1997-98 5147.57
1998-99 5954.15
1999-00 7583.64
2000-01 7427.5
2001-02 7339.95
2002-03 9092.26
2003-04 10761.55
2004-05 14436.22
2005-06 15857.96
2006-07 18889.74
2007-08 14012.85
20034.08
2008-09 19855.97
2009-10 21700.62
2010-11 23554.22
 Future trends (graphical representation)
FUTURE TRENDS

25000
EXPORT VALUES IN Rs.

20000

15000
FUTURE TRENDS
10000

5000

YEARS
Fish, Dairy and
Animals Products
Fish, Dairy and Animal products
 FISH AND CRUSTACEANS, MOLLUSCS AND OTHER
AQUATIC INVERTABRATES.
 DAIRY PRODUCE; BIRDS' EGGS; NATURAL HONEY;
EDIBLE PROD. OF ANIMAL ORIGIN, NOT
ELSEWHERE SPEC. OR INCLUDED.
 ANIMAL OR VEGETABLE FATS AND OILS AND THEIR
CLEAVAGE PRODUCTS; PRE. EDIBLE FATS; ANIMAL
OR VEGETABLE WAXEX.
 MEAT AND EDIBLE MEAT OFFAL.
 RAW HIDES AND SKINS (OTHER THAN FURSKINS)
AND LEATHER
 Fish, dairy and Animal Products
fish, dairy and animals product

9,000.00
8,000.00
export value in Rs.

7,000.00
6,000.00
5,000.00
fish, dairy and animals product
4,000.00
3,000.00
2,000.00
1,000.00
0.00

years
Future trends…
1996-97 1840.97
1997-98 1915.91
1998-99 1818.34
1999-00 2060.03
2000-01 2691.62
2001-02 2776.99
2002-03 3189.82
2003-04 4076.85
2004-05 5265.71
2005-06 6494.6
2006-07 7881.55
2007-08 6770.77
2008-09 7563.353
2009-10 8348.473
2010-11 9151.087
 export values in Rs.

10000

1000
2000
3000
4000
5000
6000
7000
8000
9000

0
1996-97
1997-98
1998-99
1999-00
2000-01
2001-02
2002-03
2003-04
Future trends

years
2004-05
2005-06
2006-07
fish,dairy and animals

2007-08
2008-09
2009-10
2010-11
fish,dairy and animals
Capital
Goods
Capitals Goods
 NUCLEAR REACTORS, BOILERS, MACHINERY
AND MECHANICAL APPLIANCES; PARTS
THEREOF.
 ELECTRICAL MACHINERY AND EQUIPMENT
AND PARTS THEREOF; SOUND RECORDERS
AND REPRODUCERS, TELEVISION IMAGE
AND SOUND RECORDERS AND
REPRODUCERS,AND PARTS.
 VEHICLES OTHER THAN RAILWAY OR
TRAMWAY ROLLING STOCK, AND PARTS AND
ACCESSORIES THEREOF.
 Capital Goods
capital goods

12,000.00

10,000.00
exports value in Rs.

8,000.00

6,000.00 capital goods

4,000.00

2,000.00

0.00

years
Future Trends
1996-97 2807.83
1997-98 2850.5
1998-99 2558.56
1999-00 2743.84
2000-01 3691.09
2001-02 3552.23
2002-03 4533.36
2003-04 5456.65
2004-05 7700.24
2005-06 8792.24
2006-07 11002.36
2007-08 9327.15
2008-09 10412.89
2009-10 11524.17
2010-11 12669.26
 Future Trends
capitals good

14000

12000

10000
export value in Rs.

8000
capitals good
6000

4000

2000

years
Others products
 MAN-MADE STAPLE FIBRES.
 MAN-MADE FILAMENTS.
 PLASTIC AND ARTICLES THEREOF.
 OPTICAL, PHOTOGRAPHIC CINEMATOGRAPHIC MEASURING,
CHECKING PRECISION, MEDICAL OR SURGICAL INST. AND
APPARATUS PARTS AND ACCESSORIES THEREOF;
 PAPER AND PAPERBOARD; ARTICLES OF PAPER PULP, OF PAPER OR
OF PAPERBOARD.
 GLASS AND GLASSWARE.
 PRINTED BOOKDS, NEWSPAPERS, PICTURES AND OTHER PRODUCTS
OF THE PRINTING INDUSTRY; MANUSCRIPTS, TYPESCRIPTS AND
PLANS.
 CLOCKS AND WATCHES AND PARTS THEREOF.
 BEVERAGES, SPIRITS AND VINEGAR.
 TOYS, GAMES AND SPORTS REQUISITES; PARTS AND ACCESSORIES
THEREOF.
 Other products
others product

6000

5000
exports value in Rs.

4000

3000 others product

2000

1000

years
 Future Trends
other products

6000

5000
export value in Rs.

4000

3000 other products

2000

1000

years
Service
industry…
Service industry..
 Indian software exports were a mere US $4 millions
in 1980 and rose to US $27.7 millions in
 US $128 millions in 1990
 US $12200 millions in 2003-04.
 Growing at a fast pace and now contributes more
than 50% to the GDP
 India's share in global trade in services was about
1.3%.
 India’s share of consultancy exports is about 0.5% of
global trade in services.
Conclusion..
 More no.of items included in duty drawback
scheme.
 Automobile sector.
 Foreign direct investment
 Engineering goods
 Cashews
 Services export
 SEZ
 Petroleum products