The import of laptops, PCs slipped 23.1 per cent to $4.1 billion and that of cellphones got here down by 4.1 per cent to $857 million in final monetary 12 months as in comparison with 2021-22.
The fall in imports is notable in digital objects the place the PLI scheme is operational
India’s imports of digital items reminiscent of laptops, private computer systems (PCs), built-in circuits and photo voltaic cells from China declined throughout 2022-23, in accordance with a report by financial suppose tank GTRI.
The fall in imports is notable in digital objects the place the PLI (manufacturing linked incentive) scheme is operational, the report by Global Trade Research Initiative (GTRI) stated.
Import of medical gear declined 13.6 per cent to USD 2.2 billion final fiscal 12 months as in comparison with 2021-22. Similarly, import of photo voltaic cells, components, diodes slumped 70.9 per cent to USD 1.9 billion in 2022-23.
The report acknowledged that import of laptops, PCs slipped 23.1 per cent to USD 4.1 billion and that of cellphones got here down by 4.1 per cent to USD 857 million in final monetary 12 months as in comparison with 2021-22.
Inbound shipments of built-in circuits contracted by 4.5 per cent to USD 4.7 billion. Import of urea and different fertilizers declined 26 per cent to USD 2.3 billion in 2022-23.
However, import of lithium-ion batteries surged about 96 per cent to USD 2.2 billion final fiscal 12 months, it stated including the adoption of electrical automobiles could improve such imports steeply.
“India’s imports from China have shown signs of slowing down, with three data points indicating a decline. Firstly, India’s electronics imports from China have decreased from USD 30.3 billion in FY22 to USD 27.6 billion in FY23. Secondly, India’s total goods imports from China grew at a lower rate of 4.2 per cent during FY23, compared to global imports, which grew at a higher rate of 16.1 per cent,” GTRI co-founder Ajay Srivastava said.
Lastly, China’s share in India’s merchandise import decreased from 16.4 per cent in FY18 to 13.8 per cent in FY23, a decline of 15.7 per cent.
Product categories where the country’s imports from China have registered growth include machinery, chemicals, steel, PVC resin and plastics.
It also said China’s share in India’s merchandise imports decreased from 16.4 per cent in 2017-18 to 13.8 per cent in 2022-23.
Despite the decline, China remains India’s top import supplier, and India is critically dependent on China for various products, the report said, adding “Imports from China are high for most countries and India is not an outlier”.
India’s total goods import from China during 2022-23 touched about USD 91 billion. It was USD 94.6 billion in 2021-22.
Further at the exports front, China is India’s fourth largest export destination, with the US, UAE, and Netherlands as the top three partners.
Indian exports grew to all these three nations but declined for China in the last fiscal. The country’s outbound shipments to China declined 36 per cent to USD 13.6 billion in 2022-23.
Srivastava said India’s fate in electronics and computer hardware production was sealed with India’s signing of the Information Technology Agreement (ITA) in 1997 that made importing any import duties on such products illegal.
“PLI is trying to undo the damage in a limited way. Positive results are visible in the decrease in importing electronic products from China,” he said adding that to move at a faster pace, India must invest in deep manufacturing.
“For EV batteries, we must produce Lithium-ion cells; for laptops, we must make PCB; for mobile phones, we must make components and not merely the outer shell of the final product,” he said.
(This story has not been edited by News18 employees and is revealed from a syndicated information company feed)
