Engineering exports register 3.6% growth in July amid global challenges

The Engineering Export Promotion body EEPC India chairman Arun Kumar Garodia said the engineering goods exports were USD 9.04 billion in July 2024, compared to USD 8.72 billion a year ago month

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Despite a challenging global environment, India's engineering goods exports continued their upward trajectory in July with a 3.6 per cent year-on-year growth, reflecting the sector's resilience, EEPC said on Friday.

The Engineering Export Promotion body EEPC India chairman Arun Kumar Garodia said the engineering goods exports were $9.04 billion in July 2024, compared to $8.72 billion a year ago month.

However, exports to countries like Bangladesh and Russia recorded a decline during the month under review.

"The sector's cumulative exports for the April-July period also witnessed a healthy 4.18 per cent increase to $36.97 billion," Garodia said.

Engineering exports to Bangladesh fell 11.8 per cent year-on-year to $153.78 million in July 2024, as against $174.35 million in the year-ago month, EEPC said in a statement.

The value of engineering exports to Russia declined 26.8 per cent in July this year to $90.39 million from $123.55 million in the same month last year, it said.

While acknowledging the headwinds such as high freight rates, protectionism, and weak demand in certain markets, Garodia expressed optimism about the industry's ability to navigate these challenges.

He expressed optimism about the government's supportive measures, including the Union Budget's focus on MSMEs and exports, as well as the ongoing negotiations for free trade agreements with key partners like the UK and the EU.

"These initiatives will provide significant impetus to the engineering exports sector," Garodia added.