India's engineering exports to western countries decline: EEPC
India's engineering exports to western countries decline: EEPCNew Delhi, Dec 27 (KNN) India’s engineering exports to the western countries such as US and Germany have declined during April-November this fiscal, with exports to US, one of India’s biggest destinations, dipping by about 10 per cent to USD 3.90 billion.
"The shipments to the US dropped by 9.19 per cent to 3.90 billion during April-November this fiscal from USD 4.3 billion and the country is among India's largest destination," Engineering Export Promotion Council (EEPC) said in a statement today.
Similarly, the exports to Germany fell by about six per cent to USD 1.3 billion during the period.
"The signs of recovery in some of the key western countries like the US are hazy. This way, there was a drop in the overall engineering exports by over 14 per cent in November," EEPC India chairman Anupam Shah said.
EEPC further said that engineering exports to some of the key countries with which India has Free Trade Agreements (FTAs) or preferential trade pacts have shown a healthy growth with the exception of Singapore during April-November, 2013-14.
The sector's shipment to Japan have recorded a growth of 17 per cent during the eight month of the current fiscal to USD 568 million from USD 485 million in the same period last year, EEPC said.
The exports to South Korea grew by over 13 per cent to USD 739 million during the period, it said.
"The Japanese economy is doing rather well, while the manufacturing base in South Korea kept the momentum alive despite problems in the west," Shah said.
He said that a similar trend was seen in the trade among the neighbouring countries like Bangladesh, Sri Lanka and Nepal with which India has some kind of liberalised trading regime.
Engineering shipments to Sri Lanka went up by 18.57 per cent to USD 1.34 billion during the period from USD 1.13 billion a year ago. Likewise, the exports to Nepal were up 20.84 per cent to USD 577 million.
However, he said that engineering exports to Singapore, with which India has implemented FTA in 2005, have registered a decline.
"Exports of the engineering goods to this island nation in the April-November month saw a drop of 2.11 per cent to USD 1.99 billion," he added.
“Iran and Kenya are the two countries that compete to remain among the top 25 countries of engineering export destination. In April- November 2013 Kenya has dropped in removing Iran from the top 25 countries. The top 25 countries contribute over 72 per cent of engineering exports from India,” EEPC statement added.
The basket of exports of engineering goods is quite wide which include high –tech items like nuclear reactor parts , aerospace parts to automobile (motor vehicles, two-three wheelers, components), bicycles and parts, steel and iron products, non-ferrous metals, transport equipment ….etc. (KNN/SD)