Kolkata, Jan 23 (UNI) Despite looming uncertainties, India’s engineering goods exports recorded the eighth month of positive growth in December 2024 with total shipments value crossing $10 billion for the second time during the year, according to EEPC India.
While the US remained the top destination for engineering goods exports in December 2024, West Asia and North Africa (WANA) emerged as the top region for exports for the first time during this period.
Significantly, the WANA region’s share in India’s total engineering exports was 20.8 percent in December 2024 followed by North America (19.1 pc) and European Union (17.1 pc).
Significantly high growth in engineering exports was noted in France, Saudi Arabia, South Africa, and Sri Lanka on a year-on-year basis during December 2024.
December was the second month in fiscal 2024-25 after October when India’s engineering exports crossed US$10 billion. Still, a high base effect pulled down the growth as shipment was also above US$10 billion in December 2023.
In December 2024, engineering exports were recorded at US$10.84 billion as against US$10.01 billion during the same month last fiscal thus registering a growth of 8.35 pc year-on-year.
Engineering goods exports to the US registered 5 pc year-on-year growth to US$1.64 billion in December 2024. On a cumulative basis, exports to the US during the April-December period of FY25 rose 7 pc to US$13.97 billion as compared to US$13 billion in the corresponding period a year ago.
Commenting on trade data EEPC India chairman Pankaj Chadha said, ” While the growth continues there is growing uncertainty and the same has been highlighted by UNCTAD in
its recent report. Going forward, global trade trends are expected to be largely influenced by protective measures by the developed nations, especially the USA, and the threat of possible trade wars.”
“In the wake of this challenging environment, we need to diversify our trade presence in new markets, especially those in Latin America, Africa, and even Oceania.
The government’s support will be crucial in this. Additionally, government support is needed in importing critical raw materials where domestic supply at affordable cost is not adequate,” he said on Thursday.
In December 2024, as many as 24 out of 34 engineering panels witnessed positive year-on-year growth. Like previous months, exports in aircraft, spacecraft, and parts recorded tremendous growth of 150 pc year-on-year. Growth was also noted in industrial machinery,
electrical machinery, automobiles and auto components, medical devices, etc.
On a cumulative basis, growth in engineering exports is spiraling up. Engineering exports during April-December 2024-25 is recorded at US$87.21 billion as against US$79.33 billion
during the same period of the last fiscal, registering a growth of 9.94 pc.
As many as 27 out of 34 engineering panels recorded positive growth during the April-December period of 2024-25 and the remaining 7 engineering panels including iron and steel, some non-ferrous sectors including copper, aluminium, and zinc products, office equipment, and mica products recorded negative growth.
According to the quick estimates of the Department of Commerce, Government of India, the share of engineering in India’s total merchandise exports was recorded at 28.53 pc in December 2024 as against a lower 26.07 pc in December 2023. The share was recorded at
27.71 pc in November 2024 and 28.72 pc in October 2024. On a cumulative basis, the share was recorded at 27.11 pc during April-December 2024-25.
