India's engineering exports are likely to miss the $60 billion target set for 2012-13 fiscal owing to weak demand in western markets like the US and Europe.
"Given the current engineering exports trend, it looks difficult to meet the target for this fiscal. We expect these exports to be in the range of $52 billion to $55 billion in this fiscal," an Engineering Export Promotion Council (EEPC) official said.
In the beginning of the current financial year, the council had set a target of $72 billion. However, later, it was revised downwards to $ 60 billion keeping in view the decline in demand from the traditional markets.
"There has been less demand for engineering items from major markets like the US and Europe," the official said.
The US and Europe together account for over 60% of India's total engineering exports.
During April-November 2012, engineering exports dropped 7.5% to $36 billion compared to the same period last year.
The decline in engineering exports is in sync with the country's overall exports that fell by 5.95% year on year to $ 189.2 billion in the first eight months of the current fiscal.
Engineering exports include transport equipment, capital goods, other machinery/equipment and light engineering products like castings, forgings and fasteners.
During 2011-12, engineering exports grew 17% to $58.2 billion, compared to $49.7 billion in the previous fiscal.
