- First it was the UAE, then China and America became our largest trading partner from 2018-19
- Our trade balance with China is always negative, but always positive with the US
May 17, 2020, 09:40 AM IST
new Delhi. When Prime Minister Modi addressed the country on 12 May, his focus was on one word and the word was 'Self-reliant India'. That is, an India that does not need to depend on others for anything. At the moment we buy more from other countries and sell less. In the language of business, it is called export-import. But, when we buy more and sell less, then our trade balance goes into negative, that is, there is loss.
– Narendra Modi (@narendramodi) May 12, 2020
We have lost more than 56 lakh crores in 6 years, loss of 20 lakh crores from China alone
For India's export-import data, we looked at the data on the Ministry of Commerce's website. Accordingly, between April 2019 to January 2020, we exported 18.60 lakh crore rupees. Whereas, an import of 28.40 lakh crore rupees. In this way, our trade balance was -9.79 lakh crores.
Between 2014-15 to 2019-20 (April to January), we exported 115.85 lakh crore rupees. Whereas, 172.39 lakh crores was imported. This caused us a loss of 56.54 lakh crore rupees during this 6 years.
Similarly, between 2014-15 to 2019-20 (April to January), we sold goods worth Rs 5.04 lakh crore to China alone, while bought goods worth Rs 25.76 lakh crore from it. That is, we lost 20 lakh crore rupees in 6 years from China.
Most buy electrical machinery and equipment from China
India bought goods worth more than Rs 4.92 lakh crore from China in 2018-19. This is down 0.3% from 2017-18.
We buy electronic items the most from China. In 2018-19, India had purchased more than 1.44 lakh crores of electric machinery and equipment from China. However, it too declined by about 22% compared to 2017-18.
During 2017-18, India purchased electric machinery and equipment worth Rs 1.84 lakh crore.
Apart from these, items like nuclear reactors, organic chemicals, plastic articles and fertilizers are among the top-10 commodities imported from China.
Not only this, in 2018-19, we had purchased toys worth more than Rs 3 thousand 162 crore from China. However, items like soap, washing detergent were also purchased for Rs 784 crore.
The UAE used to be our largest trading country until 2011-12. But, China was replaced by UAE after that. China remained our largest trading country from 2011-12 to 2017-18. During this time, business between the two countries also increased.
India-China had a turnover of 3.52 lakh crore rupees in 2011-12. Which increased to Rs 5.78 lakh crore in 2017-18. Trade with China increased by more than 60% in 2017-18 as compared to 2011-12.
However, in 2018-19, the US was replaced by China and the US became India's largest trading partner. There was a turnover of 4.80 lakh crore rupees between India and America in 2017-18. Whereas, in 2018-19 there was a turnover of 6.15 lakh crores.
Between April 2019 and January 2020, more than 5.30 lakh crore rupees have been traded between India and America. The good thing is that our trade balance with China is always in the negative, but with the US it is always in the positive. Trade balance with America has always been more than Rs 1 lakh crore in the last 6 years.