Lok Sabha Question No. 1561 (UNSTARRED), answered on 2021-02-10
Subject: Export Targets
Ministry: COMMERCE AND INDUSTRY
Asked by: Ajay Nishad

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

## LOK SABHA UNSTARRED QUESTION NO. 1561 (H) TO BE ANSWERED ON 10 th   FEBRUARY, 2021

## EXPORT TARGETS

## 1561(H). SHRI AJAY NISHAD:

Will  the  Minister of COMMERCE & INDUSTRY ( वा�ण�य  एवं  उ�योग  मं�ी ) be pleased to state:

- (a) the details of the export targets and achievements during the last three years;
- (b) the details  of  the  targets  fixed  for  export  of  various  items  from  SEZs/EOUs  and  the achievements made during the last two years and the current year;
- (c) whether the exports, particularly to Europe and other western countries have registered a decline during the last three years and if so, the details thereof;
- (d) the  sectors  in  which  global  demand  has  receded  and  whether  it  is  affecting  the  export capacity of the country; and
- (e) if  so, the  action plan of the Government to improve the exports and achieve the export targets?

## ANSWER

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

- (a) India's exports during the last three years are as under:

| Year    |   Exports (Merchandise +Services) (USD Billion) |   Growth (%) |
|---------|-------------------------------------------------|--------------|
| 2017-18 |                                          498.61 |        13.31 |
| 2018-19 |                                          538.08 |         7.91 |
| 2019-20 |                                          526.55 |        -2.14 |

Source: DGCI&S& RBI

- (b) No export targets are set for Special Economic Zones (SEZs)/Export Oriented Units (EOUs).  The SEZ units/EOU units are under obligation to achieve positive Net Foreign Exchange (NFE) earning to be calculated cumulatively for a period of 5 years from the commencement of production. The total exports from SEZs and EOUs during the last two years and the current year is as under:

(Rs.in crore)

| Year                      | SEZs export   | EOUs export   |
|---------------------------|---------------|---------------|
| 2018-19                   | 7,01,179      | 87371.74      |
| 2019-20                   | 7,96,669      | 102492.92     |
| 2020-21 (upto 31.12.2020) | 5,53,396      | 65602.04*     |

- (c) Merchandise exports to Europe and other major western countries (USA, Canada and Mexico) exhibited a positive growth trend in 2017-18 and 2018-19. Year-wise exports during the last three years are as under:

(in USD Billion)

| Countries               | 2017-18                 | Growth%                 | 2018-19                 | Growth%                 | 2019-20                 | Growth%                 |
|-------------------------|-------------------------|-------------------------|-------------------------|-------------------------|-------------------------|-------------------------|
| Europe                  | 60.35                   | 13.16                   | 64.38                   | 6.68                    | 60.56                   | -5.93                   |
| Other Western Countries | Other Western Countries | Other Western Countries | Other Western Countries | Other Western Countries | Other Western Countries | Other Western Countries |
| USA                     | 47.88                   | 13.42                   | 52.41                   | 9.46                    | 53.09                   | 1.30                    |
| Mexico                  | 3.78                    | 9.30                    | 3.84                    | 1.55                    | 3.62                    | -5.67                   |
| Canada                  | 2.51                    | 25.05                   | 2.85                    | 13.78                   | 2.85                    | 0.01                    |
| Total                   | 54.17                   | 13.61                   | 59.10                   | 9.10                    | 59.56                   | 0.79                    |

Source: DGCI&S

- (d) As per World Bank data, some of the major sectors that  showed a decline in global demand during  2019  (latest  data  available) include  chemicals,  fuels,  textiles  & clothing, machinery & electricals, metals and transportation. Of these, India's exports showed a decline in respect of fuels, textiles & clothing and metals during the same period.
- (e)   The following are some of the key steps taken by Government to increase exports:
- i. Foreign Trade Policy (2015-20) extended by one year, i.e., upto 31-3-2021 due to the COVID-19 pandemic situation.
- ii. Interest Equalization Scheme on pre and post shipment rupee export credit has also been extended by one year, i.e., upto 31-3-2021.
- iii. A new Scheme, Remission of Duties and Taxes on Exported Products (RoDTEP), has been launched with effect from 01.01.2021.
- iv. Common Digital Platform for Certificate of Origin has been launched to facilitate trade and increase FTA utilization by exporters.
- v. A comprehensive 'Agriculture Export Policy' to provide an impetus to agricultural exports related to agriculture, horticulture, animal husbandry, fisheries and food processing sectors, is under implementation.
- vi. Promoting and diversifying services exports by pursuing specific action plans for the 12 Champion Services Sectors.
- vii. Promoting districts as export hubs by identifying products with export potential in each district, addressing bottlenecks for exporting these products and supporting local exporters/manufacturers to generate employment in the district.
- viii. Active role of Indian missions abroad towards promoting India's trade, tourism, technology and investment goals has been enhanced.
- ix. Package announced in light of the Covid pandemic to support domestic industry through various banking and financial sector relief measures, especially for MSMEs, which constitute a major share in exports.

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