According to official figures, engineering exports from India rose by 29% in May to $3.2bn, as the US makes up for the loss in orders from ‘crisis-ridden’ Europe.
A year earlier, engineering exports totalled $2.4bn, and growth in these areas was pretty much in line with the total Indian merchandise exports of $16.1bn in May 2010.
Engineering Export Promotion Council (EEPC) Executive Director, Mr. Suranjan Gutpa, commented: “We are receiving good number of orders from the US, but very few orders from the European market.”
Of the $32.5bn engineering exports in 2009-2010, the EU accounted for around 30%. Exporters believe the increasing trend will continue, but the weak European market may impact this.
To reduce the effect weaker markets may have on exporting, other options are now being explored – such as the Middle East and Latin America.
Engineering exports, as mentioned here, include heavy engineering goods (transport vehicles, capital goods, machinery), and light engineering such as forgings, castings and fasteners.