India's trade grows despite West Asia conflict, says Piyush Goyal

Union Minister Piyush Goyal stated that India's trade has grown despite the West Asia conflict, with exports remaining steady. He expressed confidence in maintaining exports, citing strong growth in the services sector and new FTAs.

Exports Resilient Amid Global Tensions

Union Commerce and Industry Minister Piyush Goyal on Tuesday lauded India's growth in global trade, despite the difficulties caused by the ongoing West Asia conflict. Addressing the Lok Sabha, the Union Minister said growth in exports of goods and services, did not decline in February and positive growth was gradually attained in the second week of March, despite the ongoing global tensions. He further expressed confidence that the country will maintain its exports by the end of the month.

"Amid the adverse situations in the world, anyone could think that ships cannot pass through the Strait of Hormuz, freight has hiked by 3 times, and there is no insurance. Despite that, in the month of February, trade of goods was constant and did not decline, while the growth in services is rapidly increasing. Even in March, while we weakened slightly in the first week, positive growth was attained in the second week. By the end of the month, we will maintain the Indian exports," Goyal said.

Focus on Comprehensive Growth and Competitive Advantage

The Union Minister brought attention to India's comprehensive export growth and said that the government is focused on strengthening its competitive advantage in the global market. "India has made exceptional growth in the services sector in the last 3-4 years. If you combine the merchandise and services sector, then the trade deficit has remained 1-1.25% of GDP. In fact, four years ago, we were in surplus. So instead of looking at one figure, we should look at the comprehensive export growth. Our focus is on those services, things and factors in which we have a competitive advantage in the world," Goyal said.

FTAs to Unlock New Trade Era for India

Furthermore, the Union Minister said that the world's economic powers are enthusiastic in building economic ties with India. Referring to the Free Trade Agreements (FTA) signed with various countries, he said that once operationalised, these deals will create adequate opportunities for Indian farmers, small business owners, and entrepreneurs, among others, painting a picture of India's new trade era. "From an overall analysis, India's economic situation is strong, and the world is enthusiastic about building trade ties with India. In three to four years, we have strengthened our economic ties with 38 developed countries. As the Free Trade Agreements' get operationalised one after the other, floodgates of ample opportunities will be opened for the Indian fishermen, farmers, small-scale businesses, entrepreneurs, products and services, etc. A new era of India is being created in the global trade market," the Union Minister said.

Navigating the Strait of Hormuz

Due to the conflict in the region, Iran has virtually closed the Strait of Hormuz, a critical transit route for global energy supply. However, the representative of Iran's Supreme Leader in India, Abdul Majid Hakeem Ilahi, on Saturday, reiterated that Indian vessels would be allowed to pass through the strategically significant Strait of Hormuz amid the conflict in West Asia. He further claimed that the Iranian leadership had been informed about expressions of sympathy from people in India and said Tehran was mindful of India's energy needs.

Indian Vessels Successfully Transit

Earlier today, an Indian LPG carrier Nanda Devi arrived at the Vadinar port in Gujarat's Jamnagar, carrying 46,500 metric tonnes of LPG for ship-to-ship transfer at the anchorage after successfully passing through the Strait of Hormuz.

On Monday evening, the Indian carrier LPG Shivalik, carrying a total of 46,000 metric tonnes of liquefied petroleum gas, arrived at the Mudra Port. Of this, 20,000 MT will be unloaded at Mundra, while the remaining 26,000 MT is scheduled for Mangalore.

There are now 22 Indian-flagged vessels remaining in the Persian Gulf, carrying a total of 611 seafarers. (ANI)

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