The share of India’s exports to developing countries has grown from 28.4% in 2000 to 38.9% in 2021, while the share to developed nations has fallen from 49.2% to 35.9%.
Geographical diversification will reduce India’s dependence on a group of nations to drive exports. Even the exports mix has diversified; the share of engineering goods, drugs has risen while that of gems and jewellery and ready-made garments has shrunk.
It is worth noting that the share of exports in the GDP has fallen from the FY12 level, but improved from FY16.