India posted record goods exports of $95 billion in the first quarter of the financial year 2021-22, raising hopes of further improvement for the rest of this year. The quarterly performance improved with June’s exports of $32.5 billion. Exports during the quarter grew by 85% over a year ago and 18% from the same period in FY20, Commerce and Industry Minister Piyush Goyal said on Friday.
Union Minister Piyush Goyal said that despite the ferocity of Covid, record exports were achieved. “It gives us a glimpse of things to come. All of us will now make concerted efforts to achieve the target of $400 billion in merchandise exports in FY22,” Piyush Goyal said.
During the press conference, the Commerce Ministry stated the plan for further improvement in exports
India set the target for exports of $400 billion in FY22
Commerce Secretary B.V.R. Subramaniam said India’s exports in the financial year 2019 were the highest in any year at $330 billion. India is preparing a detailed action program to achieve the $400 billion export target for FY22 by setting targets for sectors and countries.
India set the target for exports of $1.5 trillion in next six years
The government has set a merchandise export target of $500 billion for FY23 and $1 trillion over the next five years. “Therefore, over the next six years, services exports will be $500 billion, and merchandise exports $1 trillion. With total exports of $1.5 trillion annually, India will have a significant share in world trade,” Commerce Secretary Subramaniam said.
Simplification of SEZ rules
Piyush Goyal said his ministry is looking at further simplification of special economic zone (SEZ) rules. “We are in discussion with the revenue department to allow SEZs to do business with the domestic tariff area. We have to note that given the advantages of SEZs, there should be no undue disadvantage to the industry in the domestic tariff area. Revenue and commerce are both in constructive discussions on how to find a balance between the two,” Piyush Goyal said.
FDI inflow record $81.72 billion in FY21
Foreign direct investment (FDI) inflows registered $81.72 billion for the financial year 2020-21, the minister further mentioned. The top investors contributing to India’s high FDI inflows in FY21 include Singapore (29 per cent), followed by the US (23 per cent) and Mauritius (9 per cent).
DPIIT recognises 50,000 start-ups
The number of start-ups that have been recognized by the Department of Promotion of Industries and Internal Trade (DPIIT) now stands at around 50,000 businesses, which are spread across a total of 623 districts. Out of these start-ups, 10,000 of them have been added in the span of 180 days and 1.8 lakh formal jobs have been created by around 16,000 start-ups in FY21 alone.
National Single Window System is set to take place
The government wants to ensure that around 10,000 of the existing compliance procedures for both government agencies and businesses are eased by August 15. Keeping this in mind, the National Single Window System is about to be launched in a few weeks, Piyush Goyal said.