ECONOMICS

Introduction

IMPORT
•Goods & Services consumed in one country
which has been bought from another country

EXPORT
• Goods and services that are produced
domestically and sold to buyers in another
country
Balance of Trade

It represents a difference in value for

import and export for a country
Balance of Trade

A country has demand for an import when

domestic quantity demanded exceeds
domestic quantity supplied,
Else when the price of the good (or service)
on the world market is less than the price on
the domestic market

NX = X − I, where NX represents Balance of

Trade, X is Exports and I is Imports
As in 2010
Ministry of Commerce & Industry

Directorate General of Foreign

Trade

Central Board of Excises

Customs
As in 2010

India has identified 16 sectors where we believe

there are real opportunities for Foreign companies

 Aerospace (Civil)
 Automotive
 Agri-business (incl. Food & Drink)
 Biotechnology & Pharmaceuticals
 Construction (incl. Sports & Leisure Infrastructure)
 Creative & Media
 Education, Skills & Leisure
As in 2010

 Engineering (incl. Mining, Metals & Metallurgical

Process Industries)
 Financial & Legal Services
 Healthcare & Medical
 ICT - Software/Computer Services & Residual
Electronics and Communications
 Oil & Gas (incl. Petro & Non-petrochemicals)
 Power
 Transport (incl. Airports, Ports, Railways and
Security)
 Water
 Software, Engg goods

Agricultural products
Major
Exported Textile goods, Chemicals
Goods
Leather manufactures

Gems and Jewellery

 Crude oil

Electronics & Electrical

Major goods
Imported Several Commodities,
Machinery
Goods
Medicine & medical
equipment
Aircraft spare parts
Main Export Partners
Countries

China US
5.09% 12.59%

UAE
12.87%
Main Import Partners

Germany
China
Singapore 10%
26%
10%
Iran
10%

UAE Saudi Arabia

12% 17%
US
15%
EPCG Scheme

Export Promotion Capital Goods

Allow import of capital goods for pre-

production, production and post-production
at 5% CD

Relaxation in… Units pertaining to agro, SSI,

BIFR etc
 3
Special Economic Zone
2
Free Trade and Warehousing Zone
1 Scheme

Export Oriented Unit Scheme

Where India Stands Today

India has one of the fastest growing economies

in the world

India's share in the global trade, including trade

in merchandise and services sector, has
increased from 1.5% in 2006 & 2% in 2009 &
will cross the 2.5% in 2012

Foreign trade, as a percentage of GDP (in rupee

terms) was over ~24% in 2010