India’s engineering exports crossed $ 8 billion through May of this fiscal year, growing for the third consecutive month.
Global markets for 30 of 33 categories of mechanical products remained strong, but exports of lead (21%) and zinc (2%) and ships and boats (16%) products declined during the period. The share of engineered products in total merchandise exports rose to 25.44% in May, from 24.83% in April and 25.36% in March. Growth on a cumulative basis was 25.23% in April-May.
Even compared to May 2019, when economic activities were normal, engineered item shipments grew 14.65% in May this year, EEPC India said.
Of the top 25 key markets for Indian engineered products, 22 recorded positive growth, but shipments and export volumes to China, Indonesia, Malaysia and Saudi Arabia declined. The United States tops the list, with a 56% increase in export shipments valued at $ 1,022 million. The United Arab Emirates came in second, growing 70% year-on-year in May. The European Union accounted for 21%, North America 16.8% and ASEAN 15.7% of India’s total engineering exports between April and May.
“To keep the momentum going, India needs to immunize most of the citizens as soon as possible,” said EEPC India President Mahesh Desai. The EEPC expects the government to provide targeted support to the industry as there are forecasts of repeated waves of the pandemic, he said.