The United Kingdom pipped China as the fourth-largest market for Indian goods in the first six months of the fiscal for the first time since 2016, according to a data released on October 16.
Singapore is closing the gap with China, the data showed.
In 2023-24, India’s exports to the UK were 29 percent lower than that of its neighbour, while goods outflow to Singapore was 16 percent lower. Exports to Singapore are now just 6 percent lower than China’s, whereas the shipments surged 5.8 percent for the UK.
In 2021-22, India’s exports to China were almost double that of exports to Singapore and the UK.
In the first six months of fiscal 2024-25, India’s exports were 9.4 percent lower compared with the year-ago period. On the other hand, exports to the UK were 12.2 percent higher year-on-year. Singapore recorded a 2.2 percent growth in exports.
What’s shipping?
Smartphones, drugs, and various pharma products made up most of the exports bound for the UK.
In the first four months of the fiscal (April-July), India’s smartphone exports to the UK were 40 percent of the country’s total smartphone exports in 2023-24.
Medicines too claimed a 40 percent share of the 2023-24 exports pie, while turbojet engine exports were almost half.
Petroleum products made up 75 percent of the year’s exports to the UK.
Electronic goods shipments were 21.4 percent higher in the first six months of 2024-25, and drugs and pharmaceutical exports were up 9.5 percent.
However, China’s decline came from a 28 percent slump in iron ore exports as the economy slowed down. Iron ore exports from India were 27 percent lower in April-September 2024.
