Lok Sabha Question No. 61 (UNSTARRED), answered on 2022-12-07
Subject: Export of Automobiles
Ministry: COMMERCE AND INDUSTRY
Asked by: Prataprao  Jadhav, Ravi Kishan Shukla, Ravindra Kushawaha, Subrata Pathak, Shrirang Appa Barne, Sanjay Sadashivrao Mandlik, Sudheer Gupta, Sambhajirao Mane Dhairyasheel, Bidyut Baran Mahato, Manoj Kumar Tiwari

## GOVERNMENT OF INDIA MINISTRY OF COMMERCE & INDUSTRY

## (DEPARTMENT OF COMMERCE)

## LOK SABHA UNSTARRED QUESTION NO. 61 TO BE ANSWERED ON 07 th   DECEMBER, 2022

## EXPORT OF AUTOMOBILES

## 61. SHRI PRATAPRAO JADHAV:

SHRI RAVI KISHAN:

SHRI RAVINDRA KUSHWAHA:

SHRI SUBRAT PATHAK:

SHRI SHRIRANG APPA BARNE:

SHRI SANJAY SADASHIVRAO MANDLIK:

SHRI SUDHEER GUPTA:

SHRI DHAIRYASHEEL SAMBHAJIRAO MANE:

SHRI BIDYUT BARAN MAHATO:

SHRI MANOJ TIWARI:

Will the Minister of COMMERCE & INDUSTRY ( वाणिज्य एवं उद्योग मंत्री ) be pleased to state:

- (a) whether the Government has taken note of a fall in export of automobiles, particularly cars during the last three years;
- (b) if so, the details thereof and the reasons for the same;
- (c) the quantum of automobiles including cars exported from the country during each of the last three years and the current year, automobile-wise;
- (d) the challenges faced by the Government in boosting export of automobiles from the country;
- (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  other  steps  taken/being  taken  by  the  Government  to  boost  the  export  of automobiles?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (SMT. ANUPRIYA PATEL)

(a) to (c): India's export of a utomobiles including cars during the last three years  and current year are given below:

(Number of Vehicle)

| Category                  | 2019-20   | 2020-21   | 2021-22   |
|---------------------------|-----------|-----------|-----------|
| Passenger Cars            | 4,75,801  | 2,64,907  | 3,74,986  |
| Utility Vehicles          | 1,83,468  | 1,37,842  | 2,01,036  |
| Vans                      | 2,849     | 1,648     | 1,853     |
| Total Passenger Vehicles  | 6,62,118  | 4,04,397  | 5,77,875  |
| M&HCVs                    | 22,333    | 17,548    | 32,181    |
| LCVs                      | 38,046    | 32,786    | 60,116    |
| Total Commercial Vehicles | 60,379    | 50,334    | 92,297    |
| Three Wheelers            | 5,01,651  | 3,93,001  | 4,99,730  |
| Scooters                  | 3,69,998  | 2,32,020  | 3,50,330  |
| Motorcycles               | 31,35,548 | 30,42,453 | 40,82,442 |
| Mopeds                    | 13,859    | 8,313     | 10,246    |
| Total Two Wheelers        | 35,19,405 | 32,82,786 | 44,43,018 |
| Quadricycle               | 5,185     | 3,529     | 4,326     |
| Grand Total               | 47,48,738 | 41,34,047 | 56,17,246 |

(Source: SIAM)

The data in the above table reveals that export of total number of automobiles increased from 41,34,047 in 2020-21 to 56,17,246 in 2021-22, registering a positive growth of 35.9%. Out of this, export of Passenger vehicles including cars increased from 4,04,397 in 2020-21 to 5,77,875 in 2021-22, registering a positive growth of 42.9%.

- (d): In view of the supply disruptions post Covid and Ukraine- Russia conflict there was  a shortage of chips/ semi- conductor.
- (e) & (f): Government of India has been taking various proactive measures to boost export of automobiles, which include:
- (i) Foreign  Trade  Policy  (2015-20)  has  been  extended  upto  31-03-2023  in  view  of  the Covid-19 pandemic situation.
- (ii) Various schemes like Advance  Authorisation, Export Promotion Capital  Goods Scheme, Remission of Duties and Taxes on Export Products (RoDTEP) etc have been provided.

- (iii) Active  role  of  Indian  Missions  abroad  towards  promoting  India's  exports  have  been enhanced and access to NIRYAT portal for export monitoring has been provided.
- (iv) RBI  has  decided  to  set  up  additional  arrangement  for  invoicing,  payment,  and  trade settlement in Indian Rupees.
- (v) Government  of  India  has  recently  signed  Free  Trade  Agreements  (FTAs)  including trade  agreements  with  UAE  and  Australia  to  get  favourable  market  access  for  the automobile industry among others.
- (vi) Government  of  India  has  approved  Production  Linked  Incentive  (PLI)  Scheme  for Automobile and Auto Component  Industry with budgetary outlay of Rs  25,938 crore over the period of five years.
- (vii) Government  has  notified  various  regulations  from  time  to  time  to  harmonize  Indian motor vehicle standards with global standards.

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