Nuclear reactors, boilers, and generators have performed particularly well in India’s high and medium-high (HMH) technology manufactured exports, according to a World Bank report.
Over the last decade, the share of HMH technology in India’s total goods exports grew by almost 10 percentage points. India’s share in global high technology exports also inched up from 0.6% in 2012 to 0.8% in 2019.
While the proportion of low-technology goods exports remained stable over the past ten years, medium-low technology exports declined from 48% in 2012 to 42% in 2022. However, the standout category was HMH technology exports, which were the fastest-growing over the period.
Categories such as railway transport, inorganic and organic chemicals, chemical products, and electrical machinery joined nuclear reactors, boilers, and generators in leading this growth.
Despite the notable volatility of medium-low and low technology goods exports over the past decade, they remain a significant contributor to overall export growth. This fluctuation is mainly due to resource-based products like minerals, ores, and precious stones, which are influenced by global commodity price shifts.
Furthermore, India continues to demonstrate a “revealed comparative advantage” in low and medium-low technology exports. Although the advantage for many of these products declined between 2010 and 2020, India still maintains a comparative advantage in several segments, positioning itself well as supply chains for these goods shift away from China.