Sectors like electronics and pharmaceuticals will drive India’s exports in 2023-24 (April-March), said India EXIM Bank deputy managing director N Ramesh.
“The electronics segment will see a huge thrust. We have seen that 50% of export growth has come in electronic products in FY23. Apple has said that it will move a quarter of its global production to India in coming years,” he said.
Also read: Risks to 6.5% growth forecast for FY24 now evenly balanced: CEA
“Drugs and pharmaceuticals has also been a key export centre. With the PLI scheme coming in, a lot of API manufacturing is going to move into India. Today, we are seeing around $30 billion as total exports. We believe that there is going to be an around 15-20% growth rate there.”
Additionally, speciality chemicals will be a key sector in the current financial year, as addition of new capacities will lead to higher exports. India’s core gems & jewellery and petrochemicals will continue to see traction. “Speciality chemical exports are currently at around $30 billion. Speciality chemicals are being promoted and a lot of shift is happening from China,” Ramesh said, adding that a strong global demand for speciality chemicals may also result in higher imports and widen the trade deficit.
Also read: With normalisation, India on course to lead global growth
Broadly, India’s exports rose 14% to $770.18 billion in 2022-23, data released by the ministry of commerce & industry showed.
While Ramesh did not disclose the growth forecast for 2023-24, he feels that the growth rate in the current financial year will be higher than in 2022-23. “Inflation trends have smoothened out, supply chain disruptions have eased. The automobile industry, which was affected, will now smoothen out,” Ramesh said.