Consider the following statements with respect to performance of the merchandise export of India in FY - 2024:

1. Share of capital goods such as machinery, equipment and other durable goods decreased substantially.

2. Share of consumer goods and intermediate goods increased.

Which of the statements given above is/are correct?

The correct answer is Neither 1 nor 2.

Key Points

• India's merchandise export performance in FY 2024 witnessed a mixed trend across product categories.
• The share of capital goods in exports, such as machinery and equipment, showed stability rather than a substantial decrease.
• Consumer goods exports, including textiles and electronics, faced challenges due to global economic uncertainties, limiting significant growth in their share.
• Intermediate goods exports, such as chemicals and raw materials, maintained a steady contribution, without significant increases.
• Comprehensive data from official sources like the Ministry of Commerce and Industry highlights no substantial shifts as mentioned in the statements.

Additional Information

• Capital Goods: Refers to physical assets used by companies to produce goods and services, including machinery, tools, and equipment.
• Consumer Goods: Products bought by individuals for personal use, such as clothing, electronics, and household items.
• Intermediate Goods: Goods used as inputs in the production of other products, such as chemicals, raw materials, and semi-finished products.
• Merchandise Export Trends: India's export performance is influenced by global demand, trade policies, currency fluctuations, and domestic production capabilities.
• Data Sources: Export data is monitored and reported by agencies like the Ministry of Commerce and Industry and the Directorate General of Foreign Trade (DGFT).