Why the rupee's depreciation cannot help boost India's exports by itself

For one, part of the gains stemming from the rupee's recent decline are offset by similar declines in currencies of other exporting countries

Since the beginning of this year, the Indian rupee has fallen by around 9 per cent against the dollar. Some have argued that this decline in the currency’s value will help improve India’s export competitiveness, thereby boosting its flagging exports.

But is this really the case? Will a weaker currency alone help push India’s exports?

Part of the gains stemming from the rupee’s recent decline are offset by similar declines in currencies of other exporting countries. 

For instance, since the beginning of this year, the Chinese yuan has fallen by 5.2 per cent against the dollar. The Brazilian real is down 19.8 per