SME Times News Bureau | 02 Apr, 2021
Rise in outbound shipments of India's 'engineering goods' in March
pushed the monthly growth of overall merchandise exports to a new record
high.
Accordingly, the 'engineering goods' exports jumped 70 per cent in March.
The
sector was among the major commodity groups of export which recorded
positive growth during March 2021 along with iron ore, electronic goods
and gems and jewellery.
Notably, India's total merchandise
exports during this period were $34 billion as compared to $21.49
billion in March 2020 registering a jump of 58.23 per cent.
According
to EEPC India, the sudden jump in outbound shipments offers hope of a
sustained growth in the sector in coming months on the back of vaccine
roll-out and containment of virus spread.
It expects
international trade could reach pre-Covid level 'sooner than expected'
as major economies of the world including India have taken steps to
boost demand and enhance business activities.
"The strong growth
in exports of engineering goods in the month of March suggests a bright
outlook for the sector but one needs to be cautious before arriving at
any conclusion on the basis of short term surge," said EEPC India
Chairman Mahesh Desai.
"Despite downside risks in view of new
virus strains and possible disruption in trade we remain optimistic
given that the government has taken a number of measures to make India
manufacturing hub and export competitive."
As per EEPC India,
engineering items account for about 25 per cent of India's total global
exports in the goods sector and is one of the largest foreign exchange
earners.
It employs nearly four million skilled and semi-skilled workers.