India's goods, services exports likely to cross $800 bn in 2024: GTRI

India's overall exports of goods and services in 2024 has estimated to cross $814 billion, an increase of 5.58 per cent, according to a report by economic think tank Global Trade Research Initiative (GTRI).

In 2023, the country's merchandise and services exports stood at $768.5 billion.

This year, the report estimated that in 2024, merchandise exports are expected to reach $ 441.5 billion, showing a modest 2.34 per cent increase over $ 431.4 billion in the previous year. 

In contrast, the services exports are estimated to grow by 10.31 per cent to $ 372.3 billion, up from $ 337.5 billion in 2023.

 

"India's total exports, encompassing merchandise and services, are projected to exceed $ 814 billion in 2024, reflecting a 5.58 per cent growth compared to $ 768.5 billion in 2023," it said.

GTRI Founder Ajay Srivastava said India's export landscape is undergoing a transformation that highlights both opportunities and vulnerabilities.

Sectors such as machinery and electronics are gaining prominence, with machinery's share in the export basket rising to 6.9 per cent in 2024 from 3.8 per cent in 2014 and electronics climbing to 7.9 per cent in 2024 from 3.3 per cent in 2014, he added.

"These trends underscore India's growing capabilities in higher-value sectors, a necessary shift for long-term export resilience," Srivastava said.

Traditional sectors of exports, however, are witnessing a decline.

Textiles and garments, which accounted for 21.1 per cent of exports in 2004, now represent just 8 per cent, while gems and jewellery have dropped from 16.9 per cent in 2004 to 7.5 per cent in 2024.

"These declines not only reflect changing global demand but also point to India's struggle to remain competitive in labour-intensive industries," he said.

The coming year poses significant challenges for Indian exports, he cautioned, adding that the global trade growth remains sluggish, hampered by slow economic recovery in developed markets and geopolitical tensions like the Russia-Ukraine war and the Israel-Hamas conflict.

Disruptions in Red Sea shipping routes further exacerbate supply chain vulnerabilities.