The Economic Survey 2021 on Friday suggested that India can take some "lessons" from Bangladesh, a strong exporting nation, and focus on specialising in products in which it is competitive.
It said that Bangladesh seems poised to emerge as a dominant exporter as its outbound shipments posted an impressive compounded annual growth rate (CAGR) of 8.6 per cent during 2011-2019, compared to 0.9 per cent for India and 0.4 per cent for the world.
Bangladesh's share in world exports has increased from 0.1 per cent in 2011 to 0.3 per cent in 2019.
The top five export commodities (from labour intensive sectors such as textiles, apparels and footwear) account for more than 90 per cent of the total exports of Bangladesh since 2015, it said.
In case of India, on the other hand, export performance is more broad-based as the top five export commodities jointly constitute around 40 per cent of total exports and these goods are capital and technology-intensive, it added.
Quoting the data of Bangladesh, the survey stated it "holds lessons for India to build specialization in products in which it is competitive".
According to trade experts, Bangladesh being a least developed country (LDC) enjoys duty concession in several global markets.
These concessions help LDCs in registering healthy growth rates in exports as compared to India in most of the developed economies, Federation of Indian Export Organisations (FIEO) Director General Ajay Sahai said.
The total trade between the two countries decreased to USD 9.46 billion in 2019-20 from USD 10.25 billion in 2018-29.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.