Services exports to surpass merchandise trade in next 5 years: SEPC
New Delhi, May 26 (KNN) The services exports of India are likely to leap ahead of merchandise exports in the next five years driven by above-par growth in emerging areas of service economy, said the Service Export Promotion Council (SEPC) on Thursday.
Explaining the projection, director general of the council Abhay Sinha said “Our projections show that by 2027-28 services exports would touch USD 780 billion, a tad above goods exports that year.”
For the current financial year the council has set a target of USD 400 billion for services exports, a 23 per cent growth from FY23, when the exports totalled USD 325 billion, reported FE.
Last year services exports grew 27 per cent while merchandise exports were up 6.7 per cent on year to USD 450 billion.
According to the estimates by the Federation of Indian Export Organisations (FIEO) merchandise exports will grow to USD 500 billion this fiscal.
Services exports will be USD 100 billion less than goods exports this year.
Government has set a target of USD 2 trillion exports by 2030 with both merchandise and service exports contributing equally.
For merchandise exports to reach the target of USD 1 trillion growth of 14.5 per cent per year will be required. (KNN Bureau)