Representative image | Illustration: Ajay Mohanty
India’s reliance on imports of SME goods such as leather goods, toys and musical instruments from China is steadily declining, reflecting the country’s efforts to diversify import sources and strengthen domestic production capabilities, an official said on Monday.
On the other hand, the dependence of other countries such as Brazil on imports of these goods from China is increasing.
Citing data, the official said the concentration of China’s musical instrument imports has decreased from 77.58 percent in 2013 to 51.51 percent in 2023.
The share of imports of essential oils, cosmetics and toiletries from China has also decreased from 16.33 percent in 2013 to 11.86 percent in 2023.
Similarly, inbound shipments of toys and games from the neighboring country have declined from 76.7 percent in 2013 to 70.97 percent in 2023.
“India’s trend towards reducing its dependence on Chinese imports, particularly in categories such as leather goods, ceramic products, toys and musical instruments, contrasts with trends seen in other major markets, where dependence is stable or increasing.
“This indicates a strategic shift by India towards diversifying its import sources or strengthening domestic production capabilities,” the official added.
A report by GTRI think tank on September 1 highlighted that rising imports of goods such as umbrellas, toys, certain fabrics and musical instruments are severely hurting MSMEs as many of these products are also manufactured by domestic companies.
According to GTRI analysis, China supplies 95.8 percent of India’s umbrellas and parasols ($31 million) and 91.9 percent of its artificial flowers and human hair products ($14 million).
(Only the headline and image of this report may have been reworked by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
First published: September 2, 2024 | 21:26 IS
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