March Export Data Offers Hope of Sustained Recovery Despite Covid Challenges, says EEPC India Chairman

India's merchandise exports touched record high in March 2021 and reached US$34.45 billion, up 60.29% over the same month a year ago. Engineering goods exports recorded 71.3% jump during this period. While the high percentage growth is largely on account of low base effect, the rise does signal a rebound in the country's external trade, said EEPC India Chairman Mr Mahesh Desai.

He, however, said that the second wave of pandemic has posed fresh challenges to the recovery process which has been underway in the last few months.

“Many states have imposed restrictions which would certainly impact the flow of goods including outbound shipments. But given the experience from last year, the government is now in a better position to manage the situation. The government has already stated that a complete lockdown is not a solution to deal with the problem,” said Mr Desai.

He noted that besides well measured steps to prevent the spread of virus the government recently gave a big push to vaccination by allowing emergency use of foreign vaccines.

“We see a large part of the population getting covered by the vaccination drive. This will considerably lift business sentiments,” he said.

Approvals to multiple vaccines by various countries would certainly add to the momentum in global trade which plummeted to record low in the wake of pandemic last year. In the last 2-3 quarters, the recovery has been seen and it is projected to continue. We remain hopeful of a sustained recovery in coming quarters, stated EEPC India Chairman.