The exports of India during the month of April have increased to up to 197 % due to the low base effect. A Low base effect is a small change from an initial amount which would be translated into a large percentage change.

The Covid-19 lockdown during the previous year had temporarily stopped the economic activity which has led to the merchandise export of India which nearly increased three times to USD 30.21 billion over the same period year.

The exports have seen an increase of 16.03 % compared to the previous year that is 2019. This indicated that the low base was also supported by an increased demand in the first month of the fiscal year.

The increase in exports during April was mainly increased due to the demand for products such as petroleum, gems, jewellery and engineering products. The latest data has shown that the increase in the cases due to the second wave of Covid-19 and the lockdowns in the country in different regions have not affected the demand for the products.

In the month of April, the value of exports from non-petroleum goods has increased by 200.62 % of up to USD 26.85 billion when compared to April 2019 which was USD 19.44 %. There has been an increase in the value of non-petroleum, gems and jewellery products compared to April 2019 of about 19.89 % which led to an increase of 164.28 %. The imports have amounted to USD 23.51 billion.

Sharad Kumar Saraf who is the President of the Federation of Indian Export Organizations (FIEO) has conveyed that the impressive growth in exports has made it clear that the order booking position of the exporters of the country is extremely good and it is estimated that the gradual improvement of the situation of the country is expected to increase the exports.

He added that even though there is an increase in exports, the increase in imports and the huge widening of the trade deficit is a concern that should be looked into.

Mahesh Desai who is the chairman of the Engineering and Export Promotion Council of India (EEPC) has said that the recent increase in the Covid-19 cases has increased the risks on the growth and said that the country remains hopeful for the recovery during the year.

India ranks 19^th in country with most number of exports and India’s major exports included petroleum products, gems and jewelry, and drug formulations.