Good news for Indian exporters as India records the highest-ever exports in June Quarter. This had been a significant victory for businesses having MSME Registration, APEDA Registration, and FIEO Registration. The reason is the government took many decisions and executed many plans to boost the export business.
In this article, we will know about India records highest-ever exports in June Quarter.
India records highest-ever exports in June Quarter
India recorded the highest-ever exports of $95 billion during April-June. The exports went up 85 percent year-on-year (YoY). In addition, exports had an 18 percent boost higher than the first quarter of the financial year 2019-20.
Merchandise Exports grow significantly
In June, merchandise exports increased by 47% year on year to $32.46 billion, owing to strong foreign demand for engineering items, petroleum products, and gems and jewelry. As a result, the government is now targeting $400 billion in exports by the end of this financial year.
Government’s plans to target $400 billion goal
BVR Subramanian, the Secretary of Commerce, stated that the $400 billion goal will be met by disaggregating the goal by product and industry. In addition, the government plans to hit $500 billion in FY23 and $1 trillion in annual goods exports over the next five years.
Several labor-intensive industries, according to Subramanian, have witnessed strong export development. “Engineering products exports increased by $5.2 billion in the first quarter of FY20. Rice exports, however, have been increasing steadily since May 2020, rising by 37% in Q1FY22 compared to Q1 2019-20,” he added.
Previous records of India’s Imports
India’s goods imports totaled $41.86 billion in June, increasing 96.33 percent year on year and 2.03 percent from June 2019. Imports more than quadrupled to $126.14 billion in the June quarter compared to April-June 2020. However, from $130.1 billion in April-June 2019, it fell 3.05 percent.
As a result, India was a net importer in June, with a trade deficit of $9.4 billion.
Government’s other announcements as India records highest-ever exports
Now the government is working with the tax divisions of the finance ministry to streamline the requirements for Special Economic Zones (SEZs). Furthermore, under the Remission of Duties and Taxes on Export Products (RoDTEP) plan, the government will soon announce the rates and explain how specific industries would be reimbursed for various taxes. However, experts estimate that it is not a subsidy to any exporter, but rather a tax return.
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