India Imports & Exports 2007

United States Narrows Indian Trade Surplus

Jul 17, 2008
Daniel Workman

Traffic on an Indian freeway - singhajaykr25@yahoo.com (morguefile 216826)

American exports of civilian aircraft to India soared 310% to US$5.9 billion last year while Indian shipments of materials including iron, steel and plastics fell.

In 2007, India exported an estimated US$151 billion worth of goods onto the international trade marketplace. Indian imports totalled $230 billion, resulting in India’s overall $79-billion trade deficit last year.

India’s largest trade partner, the United States consumes 17% of total Indian exports. Other leading customers for Indian products are the United Arab Emirates (8.3%), China (7.7%), and the United Kingdom (4.3%).

Principal Indian exports include chemicals, engineering goods, jewelry, petroleum products and textile goods.

China accounts for 8.7% of India’s imported products, followed by the U.S. at 6%. Other leading exporters into India are Germany (4.6%), Singapore (4.6%) and Australia (4%).

Major Indian imports include crude oil, fertilizer and machinery.

Indian Trade with U.S.

Despite its overall deficit, India enjoyed a US$6.4-billion trade surplus with its American trade partner in 2007. The most recent surplus statistic is 20% lower than the India-US surplus in 2003 and represents a 45% decrease from India's $11.8-billion surplus in 2006.

Exports from India to U.S.

With a population of 1.14 billion, India exported US$24 billion worth of merchandise to the United States in 2007, a 10% increase from 2006 and up by 84% in 4 years. The following product categories represent about 61% of Indian exports to America.

Gem diamonds … US$3.688 billion – up 13.2% from 2006 (15.4% of India-to-U.S. exports)
Cotton apparel and household goods … $3.686 billion – up 4.7% (15.3%)
Jewelry (including rings and watches) … $2.3 billion – down 4.1% (9.7%)
Medicinal, dental and pharmaceutical preparations … $1.4 billion – up 70.5% (5.7%)
Fuel oil … $748.7 million – up 822.6% (3.1%)
Rugs and other textile floor coverings … $617.7 million – up 2.5% (2.6%)
Drilling and oil field equipment … $548.2 million – up 575.3% (2.3%)
Non-cotton apparel and household goods … $547.6 million – down 18.1% (2.3%)
Other industrial machinery … $505 million – up 17.2% (2.1%)
Industrial organic chemicals … $497.7 million – up 25.7% (2.1%).

In aggregate, India’s top 10 export product categories experienced above-average increased sales to the U.S. in 2007, up 18.1% from 2006.

Fastest-Growing Indian Exports to U.S.

Below are selected Indian exports to America in 2007 with the highest percentage sales increases from 2006.

Fuel oil … US$748.7 million (up 822.6%)
Drilling and oil field equipment … $548.2 million (up 575.3%)
Business machinery and equipment excluding computers … $14.5 million (up 186.1%)
Fruit preparations including orange juice … $15.4 million (up 85.5%)
Medicinal, dental and pharmaceutical preparations … (up 70.5%).

Fastest-Declining Indian Exports to U.S.

Selected Indian exports to America in 2007 with the highest percentage sales decreases from 2006 are listed below.

Zinc … US$17.9 million (down 57.9% from 2006)
Semi-finished iron and steel mill products … $367.9 million (down 49.9%)
Bauxite and aluminum … $22.1 million (down 40.3%)
Plastic materials … $116.3 million (down 39.2%)
Computers … $3 million (down 29.1%).

Indian Imports from U.S.

Indian imports from the U.S. rose by 74.9% to $17.6 billion in 2007, up 353% since 2003.

Of American exports to India in 2007, the following product categories had the highest values and in total represented 60% of all U.S. shipments into India.

Complete civilian aircraft … US$5.8 billion – up 309.8% from 2006 (33.2% of Indian imports from America)
Gem diamonds … $1 billion – up 67.5% (5.9%)
Chemical fertilizers … $818.2 million – up 34.5% (4.7%)
Telecommunications equipment … $602.7 million – up 24.1% (3.4%)
Organic chemicals … $490.7 million – up 30.7% (2.8%)
Non-monetary gold … $381.7 million – up 5,860% (2.2%)
Other petroleum products … $366.7 million – up 8.9% (2.1%)
Steelmaking materials … $348.9 million – up 98.5% (2%)
Other industrial machines … $345.8 million – up 37.7% (2%)
Jewelry … $301.8 million – up 5.6% (1.7%)

Last year, India’s top 10 import product categories from the U.S. grew by 58% from 2006. From 2005 to 2006, the top 10 Indian imports from the U.S. had gained about 33%.

Fastest-Growing Indian Imports from U.S.

Below are selected American exports to India in 2007 with the highest percentage sales increases from 2006.

Non-monetary gold … US$381.7 million (up 5,860%)
Other precious metals … $165.7 million (up 4,018%)
Military aircraft engines and turbines … $59.3 million (up 352.9%)
Complete civilian aircraft … $5.8 billion (up 309.8%)
Vegetables … $68.3 million (up 131.7%).

Fastest-Declining Indian Imports from U.S.

Selected American exports to India in 2007 with the highest percentage sales decreases from 2006 are listed below.

Copper … US$81.6 million (down 15.7% from 2006)
Computer accessories … $276.6 million (down 11.1%)
Metallurgical grade coal … $90.6 million (down 5.7%)
Inorganic chemicals … $90.9 million (down 3.5%)
Wood, glass and plastic … $32.9 million (down 2.2%).

Sources

This analysis is based on latest statistics from the US Census Bureau - Foreign Trade Statistics and CIA World Factbook as of the date of article publication.