The recent decades have witnessed India developing into a large exporting country, which has enormously benefited the Indian economy. The market has expanded significantly and the number of export products manufactured in India has also experienced steady growth over time. Markets across borders are highly dependent on India to import certain commodities. The top export products in India are pharmaceuticals, petroleum products, jewellery, automobiles, and sugarcane, among many others.
The export businesses in India are beneficial. If you aspire to get into the export-import business in India, this might be helpful for you. Here we will be talking about the import markets of India and what goods and services you may sell them to have a profitable international trade business.
What exactly is Export Business About?
The term ‘export’ is used to refer to the conceptual purpose of shipping goods and services across the borders of different nations. The one who sells such goods and services is denoted as the ‘exporter’ who operates in the country of export whereas the one who is buying these commodities from a foreign market is referred to as an ‘importer’.
Simply put, an export business signifies the goods and services produced in one country to be sold in the international market for consumption. Thus, ‘export’ refers to the process of selling the products manufactured or produced in the home country to buyers in the international arena.
Top 5 Import Markets of India
Here we have mentioned the leading importers of Indian products in the global trade industry. The import countries are not mentioned in accordance with their rankings.
- The United States of America, USA
- Hong Kong
- China
- The United Arab Emirates, UAE
- Bangladesh
In addition to these, we also have Singapore, Netherlands, the United Kingdom (UK), and Nepal among the countries to whom Indian exports are processed.
What can You Sell to the Importers
There are numerous entities that India is efficient in producing and these products have a huge profitable market in the international trade arena. Here we have put forth the best 10 entities that are high in demand by the importers.
- Mechanical Equipment
India has secured a significant position among the leading manufacturers of mechanical appliances. Countries in Asia, the Middle East, South America, as well as Africa, tend to import tractor-driven and self-propelled harvesters that are manufactured in India. The experts anticipate that the demand for mechanical equipment will further expand in the near future.
- Petroleum Products
India is an exporter of various petroleum products such as petrol, diesel, liquid petroleum gas (LPG), gasoline, jet fuel, lubricants, and many more. The country is considered among the top five exporters of refined petroleum products. It mainly caters to the global markets in the UAE, China, the Netherlands, the US, and Singapore.
India has become the second largest exporter and refiner in Asia with China leading the pack.
- Drugs and Pharmaceuticals
India is counted among the largest bases for skilled labour and raw materials. Considering the volume, the country is the third-largest pharmaceutical market.
Around 20 per cent of the global genetic drug exports are Indian products. In addition, India has become the largest producer of vaccines.
- Jewellery
With jewellery, we are referring to gemstones, gold, and other similar entities. Around 70per cent of the amount generated through global gold production goes into jewellery making and 20 per cent is what India consumes.
This industry is backed by numerous government policies and schemes, and the banks also support it so that it does not collapse into ruins.
The USA alone imports about 30 per cent of the jewellery produced in India. Other import markets include the UAE, Hong Kong, Belgium, and Singapore.
- Electronic Devices
India is referred to as an importing nation when considering the manufacturing of electronic equipment. However, the country’s role as an exporter in this industry operates in silence but in a significant manner.
India acquires the third-largest pool of engineers and electronic scientists. Also, the demand in the domestic market of the country contributes to its growth, making exports hold a more prominent position.
- Cereals
India is the second-largest producer of rice and a leading export of cereals. Being an agro-based country, India is highly dependent on its agricultural production, mainly cereals. Countries that do not have a geographical location that enables them to practice agriculture depend on Indian exports. Among such countries, we have, Bangladesh, Saudi Arabia, the UAE, Indonesia, and Iran.
- Textile Products
Being the second largest producer of cotton, India alone exports around 23 per cent of the world’s cotton. The country has a huge area devoted to cotton cultivation.
The Indian exile industry is majorly dependent on cotton, around 40 per cent of India’s total textile export contains cotton.
- Dairy Products
The exports of dairy products are highly profitable for India. The Western market has a huge demand for milk from Indicine cattle. Thus, the products produced from these kinds of milk are sold at a price four times higher than what domestic dairy products cost.
Cheese, ghee, and curd are some of the primary dairy products that are exported in bulk. Dairy products are very lucrative export entities. However, you will have to ensure that the dairy product for export is going through high-quality controls, packaging, and refrigeration because they have a short shelf life.
- Readymade Clothing
The Readymade garments industry of India includes products made with natural fibres such as wool and cotton combustion, man-made fibres, and synthetic fibres. As mentioned above, cotton is considered the major raw material for producing readymade garments in India.
Being the fifth largest exporter of readymade garments, India has import markets in the UK, the UAE, the USA, and Germany.
- Organic Chemicals
Organic chemicals hold a prominent position among the most exported products in India. These entities have an impressively huge market. The wider the market is, the higher the growth opportunity for the exporters and importers.
Right now, India is exporting organic chemicals, inorganic chemicals, and agrochemicals to countries in Asia, Europe, South America, and Africa.
To Sum Up
Those exporters and importers in the trade industry who have an EPCG License under the Export Promotion Capital Goods (EPCG) scheme can gain numerous benefits. This scheme aims to simplify the process of importing capital goods to be used as inputs in producing finished goods or services for export.
With an EPCG license you can import capital items that are manufactured high-quality products, thus enhancing India’s export performance and competitiveness in the international arena.