Lok Sabha Question No. 4812 (UNSTARRED), answered on 2021-03-24
Subject: Export of Cars
Ministry: COMMERCE AND INDUSTRY
Asked by: Dhanush M Kumar, Gajanan Chandrakant Kirtikar, C.N. Annadurai, Gautham Sigamani Pon, Rebati Tripura

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 4812 TO BE ANSWERED ON 24 th MARCH, 2021

## EXPORT OF CARS

4812.  SHRI DHANUSH M. KUMAR:

SHRI GAJANAN KIRTIKAR:

SHRI C.N. ANNADURAI:

SHRI GAUTHAM SIGAMANI PON:

SHRI REBATI TRIPURA :

Will the Minister of COMMERCE & INDUSTRY ( वािण�य एवं उ�ोग मं�ी ) be pleased to state:

- (a) the quantum of automobiles including cars exported from the country during each of the last three years and the current year, country and item-wise;
- (b) whether the Government has taken note of a fall in export of automobiles, particularly cars during the said period;
- (c) if so, the details thereof and the reasons therefor;
- (d) the  challenges  faced  by  the  Government  in  boosting  export  of  automobiles  from  the county;
- (e) whether  the  Government  has  extended  any  incentives  to  the  exporters  for  enhancing exports of automobiles and if so, the details thereof; and
- (f) the steps taken by the Government to boost export of automobiles, particularly cars?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SHRI HARDEEP SINGH PURI)

(a) to (c): The quantity of India's export of automobiles including cars during last three years and current year and its percentage change are as follows:

## (Quantity in Thousands)

|         | Automobiles /Cars   | Automobiles /Cars   |
|---------|---------------------|---------------------|
| Years   | Qty                 | % Change            |
| 1222.7  | --                  | 2017-18             |
| 1360.9  | 11.3                | 2018-19             |
| 1242.3  | -8.7                | 2019-20             |
| 1121.5  | --                  | 2019-20 (Apr-Jan)   |
| 2020-21 | 1054.7 -6.0         | (Apr-Jan)*          |

Source: DGCI&S, Kolkata (*: Provisional)

India's export of Automobiles/Cars in terms of quantity decreased by 6.0% during 2020-21 (AprilJanuary) as compared to the corresponding period of the previous year. The top 30 country-wise quantity of India's exports of Automobiles/Cars is at Annexure . The reasons for the decline in such export are mainly global economic slowdown and supply chain disruptions due to covid-19 pandemic.

(d) to (e): From time to time Government has taken measures like the following to boost export of automobiles/auto-components:

1. Various incentives/duty remission schemes  like Advance Authorisation, Export Promotion Capital Goods Scheme and Interest Equalisation Scheme etc have been provided.
2. Foreign Trade Policy (2015-20) has been extended by one year i.e. upto 31-3-2021 in view of COVID-19 pandemic situation.
3. Interest Equalization Scheme on pre and post shipment rupee export credit has been extended by one year i.e. upto 31-3-2021.
4. With a view to creating a conducive manufacturing eco system and to enable integration with global  supply  chains,  the  Union  Cabinet  on  11  November  2020  has  given  approval  to introduce  the  Production-Linked  Incentive  (PLI)  Scheme for  Automobiles  and  Auto components, with a financial outlay of ₹57,042 crore over a five-year period, to make the Indian Automotive Industry more competitive.
5. Wholesale and retail trade and repair of vehicles has been brought under the ambit of MSMEs.

***

## Annexure

## Statement referred to in reply of part (a) to (c) of Lok Sabha Unstarred question no. 4812 for answer on 24 th March 2021

## Quantity of India's export of Automobiles/Cars to top 30 countries

(Quantity in Thousands)

| S. No.         | Countries       |   2017-18 |   2018-19 |   2019-20 |   2020-21 (Apr-Jan) (P) |
|----------------|-----------------|-----------|-----------|-----------|-------------------------|
| 1              | Mexico          |    226.01 |    178.94 |    171.55 |                  147.94 |
| 2              | South Africa    |     95.52 |     92.42 |    122.33 |                  106.4  |
| 3              | U SA            |     40.98 |     73.65 |     69.38 |                   54.44 |
| 4              | Saudi Arab      |     29.04 |     37.01 |     78.54 |                   61.84 |
| 5              | UArab Emts      |     20.26 |     24.07 |     35.75 |                   29.92 |
| 6              | Nepal           |     41.33 |     52.23 |     48.14 |                   44.16 |
| 7              | Bangladesh Pr   |     61.5  |     69.7  |     48.5  |                   44.31 |
| 8              | Nigeria         |     73.73 |    147.71 |    162.84 |                  141.52 |
| 9              | Indonesia       |     32.58 |     25.96 |     22.32 |                   17.19 |
| 10             | Chile           |     35.48 |     36.25 |     27.85 |                   23.2  |
| 11             | Italy           |     25.21 |     22.51 |     12.8  |                   12.71 |
| 12             | Peru            |     49.03 |     36.97 |     43.39 |                   37.16 |
| 13             | U K             |     19.01 |     15.44 |      6.19 |                    5.71 |
| 14             | Algeria         |     27.45 |     27.27 |      6.92 |                    6.92 |
| 15             | Sri Lanka Dsr   |     35.43 |     34.07 |     22.48 |                   18.02 |
| 16             | Kuwait          |      3.53 |      6    |      8.06 |                    7.34 |
| 17             | Israel          |      8.15 |      1.42 |      7.04 |                    7.04 |
| 18             | Vietnam Soc Rep |      1.16 |      0.57 |      0.98 |                    0.73 |
| 19             | Canada          |      4.99 |      9.23 |      4.78 |                    3.58 |
| 20             | Qatar           |      1.96 |      4.37 |      6.4  |                    5.7  |
| 21             | Ethiopia        |     23.91 |     23.1  |     30.69 |                   28.12 |
| 22             | Japan           |      3.16 |      3.39 |      2.49 |                    2.05 |
| 23             | France          |     16.28 |     11.3  |      4.39 |                    4.24 |
| 24             | Bhutan          |      4.49 |      6.59 |      5.82 |                    4.6  |
| 25             | Tunisia         |      6.89 |      9.71 |      6.82 |                    5.97 |
| 26             | Germany         |     15.45 |      8.22 |      4.65 |                    4.61 |
| 27             | Oman            |      3.53 |      2.93 |      4.99 |                    3.54 |
| 28             | Cambodia        |      6.37 |     30.63 |     25.94 |                   25.28 |
| 29             | Panama Republic |      6.2  |      5.74 |      5.08 |                    4.5  |
| 30             | Iraq            |     11.18 |     25.95 |     28.24 |                   23.29 |
| Total of Above | Total of Above  |    929.81 |   1023.35 |   1025.32 |                  882.03 |
| %Share         | %Share          |     76.05 |     75.19 |     82.53 |                   83.63 |
| Total Export   | Total Export    |   1222.67 |   1360.94 |   1242.29 |                 1054.74 |

Source: DGCI&S, Kolkata (P: Provisional)    ********