India's engineering exports likely to cross US$ 60 billion

Chennai: Union minister for commerce and industry Nirmala Sitharaman on Thursday said India's engineering exports are likely to cross $60 billion in fiscal 2016-17 on the back of revival of demand in the US and for select products like iron. "Just between April and January, our engineering exports touched $50.87 billion, exceeding the total shipments of $49 billion in 2015-16. Only for the month of January, we've seen aggregate exports of $5.29 billion; that's a 12% increase compared to the same period last year," said Sitharaman on the sidelines of the sixth edition of the International Engineering Sourcing Show (IESS) held in Chennai.

There was enormous potential for India and Russia to enhance bilateral trade, which is presently at $6.62 billion, said the minister, adding that she had held fruitful discussions with Denis Manturov, minister of industry and trade of the Russian Federation who was here leading a 120-member delegation.

"We were particularly interested in the North South Transport Corridor (INSTC) as it will cut time and costs for transporting goods between both countries," said the minister. The INSTC aims at increasing trade by creating a land, air and ship route among India, Russia, Iran, Europe and Central Asia -- touching cities like Mumbai, Moscow, Tehran, Baku, Bandar Abbas, Astrakhan and Bandar Anzali.

The minister said they were also looking at other measures, including the proposed FTA between India and the Eurasian Economic Union, which includes Russia.

"We need to finale the revised version of the Bilateral Investment Treaty. We've invited my counterparts to be a partner country at the India International Jewellery Show 2017 in Mumbai in July and the Advantage Healthcare India in October," said the minister.

The department of commerce is keenly supporting technology upgrades for engineering manufacturers for boosting exports in line with the objectives of EEPC. "We are looking at R&D Labs and identified industrial clusters, so that our products are world class," she said.

The International Engineering Sourcing Show held in Chennai saw 400 exhibitors from India and abroad.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.