Lok Sabha Question No. 315 (STARRED), answered on 2016-08-08
Subject: Export of Services
Ministry: COMMERCE AND INDUSTRY
Asked by: SHRIKANT EKNATH SHINDE, ANANDRAO  ADSUL

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

## LOK SABHA STARRED QUESTION NO. 315 TO BE ANSWERED ON 08 TH   AUGUST, 2016

## EXPORT OF SERVICES

## *315.  DR. SHRIKANT EKNATH SHINDE: SHRI ANANDRAO ADSUL:

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

- (a) the details of exports of services during the last three years and the current year;
- (b) the  contribution  of  service  sector  exports  to  the  Gross  Domestic  Product  and  its share in global exports of services during the said period;
- (c) whether the Government has taken or proposes to take steps to make India a global services hub;
- (d) if so, the details thereof along with the steps taken by the Government in this regard; and
- (e) the extent to which it is likely to improve India's share in global exports of services?

## ANSWER

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THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY (INDEPENDENT CHARGE) (SMT. NIRMALA SITHARAMAN)

a) to  e):  A Statement is laid on the Table of the House.

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## STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (e) OF LOK SABHA STARRED QUESTION NO. 315  FOR ANSWER ON 08 TH   AUGUST, 2016 REGARDING 'EXPORT OF SERVICES'

- (a) The details with regard to services exports from India during last three years as recorded in India's balance of payments statistics are given in the table below.
- (b) The contribution of Service Sector exports to the Gross Domestic Product (GDP) during 2013-14, 2014-15 and 2015-16 was 8.2%, 7.7% and 7.4% respectively. As per WTO database, India's share in global commercial services exports was 3.2% from 2012 to 2014.
- (c), (d) & (e): Services sector has emerged a key driver of India's economic growth contributing  substantially  to  Gross  Value  Added,  employment  &  trade.  The  sector plays a vital role in the success of Make in India initiative. Further, the surplus on services exports finances more than 50% of merchandise trade deficit. In view of the important role played by the services exports in our economy, Government of India follows  a  multi-pronged  strategy  for  enhancing  services  exports.  These  include negotiating meaningful market access through multilateral, plurilateral and bilateral negotiations,  trade  promotion  through  participation  in  international  fairs/exhibitions and focussed strategies for specific markets and sectors. Further, there are domestic sectoral  challenges and difficulties. These are identified and sought to be addressed through  consultations  with  stakeholders.  Government  of  India  also  provides  some fiscal  benefits  through  Services  Exports  from  India  Scheme  (SEIS)  for  some identified  sectors  as  per  budget  availability.  These  initiatives  are  expected  to enhance services exports from India.

Table:  Services Exports from India (US$ Million)

| Year               | Services Exports   |
|--------------------|--------------------|
| 2013-14            | 151,813            |
| 2014-15            | 158,107            |
| 2015-16            | 154,311            |
| 2016-17 (Apr-May)* | 26,368             |

Source

: Balance of payments statistics, RBI.

*Provisional, RBI website

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