India Engineering Exports in July up by 187pct.

FE reported that India’s engineering exports saw a whopping growth of 187% to USD 8.2 billion in July year on year on the back of rising demand, mostly from new markets like Latin America and Africa.

According to the data released by the Engineering Export Promotion Council, in July last year, the exports stood at USD 2.88 billion.

An EEPC official said that “The increase in orders is mainly from emerging markets like Brazil, Mexico, Argentina and Columbia. But the demand is sluggish in Western markets like the US and Europe.”

To reduce dependence on traditional markets, exporters are now exploring these new markets. There are also fears that the eurozone debt crisis is spreading to Italy and Spain.

Exporters are worried that the debt crisis in the Western world would hit demand and lead to a payments problems.

US and European markets account for about 55% to the country’s total engineering exports.

During April to July this fiscal, engineering exports jumped 114.3% to USD 31.6 billion from USD 14.74 billion in the same period last year.

In the government’s strategy to double the country’s exports to USD 500 billion by 2013-2014, engineering exports are set to play a major role.

During 2010-11, India’s exports grew 37.5% to USD 245.9 billion.

Source : steelguru.com