Question : Export of Cars

(a) the quantum of automobiles including cars exported from the country during each of the last three years and the current year, country and item-wise;
(b) whether the Government has taken note of a fall in export of automobiles, particularly cars during the said period;
(c) if so, the details thereof and the reasons therefor;
(d) the challenges faced by the Government in boosting export of automobiles from the county;
(e) whether the Government has extended any incentives to the exporters for enhancing exports of automobiles and if so, the details thereof; and
(f) the steps taken by the Government to boost export of automobiles, particularly cars?

Answer given by the minister

THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY
(SHRI HARDEEP SINGH PURI)

(a) to (c): The quantity of India’s export of automobiles including cars during last three years and current year and its percentage change are as follows:

(Quantity in Thousands)

Years Automobiles /Cars
Qty % Change
2017-18 1222.7 --
2018-19 1360.9 11.3
2019-20 1242.3 -8.7
2019-20 (Apr-Jan) 1121.5 --
2020-21 (Apr-Jan)* 1054.7 -6.0
Source: DGCI&S, Kolkata (*: Provisional)
India’s export of Automobiles/Cars in terms of quantity decreased by 6.0% during 2020-21 (April-January) as compared to the corresponding period of the previous year. The top 30 country–wise quantity of India’s exports of Automobiles/Cars is at Annexure. The reasons for the decline in such export are mainly global economic slowdown and supply chain disruptions due to covid-19 pandemic.
(d) to (e): From time to time Government has taken measures like the following to boost export of automobiles/auto-components:
1. Various incentives/duty remission schemes like Advance Authorisation, Export Promotion Capital Goods Scheme and Interest Equalisation Scheme etc have been provided.
2. Foreign Trade Policy (2015-20) has been extended by one year i.e. upto 31-3-2021 in view of COVID-19 pandemic situation.
3. Interest Equalization Scheme on pre and post shipment rupee export credit has been extended by one year i.e. upto 31-3-2021.
4. With a view to creating a conducive manufacturing eco system and to enable integration with global supply chains, the Union Cabinet on 11 November 2020 has given approval to introduce the Production-Linked Incentive (PLI) Scheme for Automobiles and Auto components, with a financial outlay of ?57,042 crore over a five-year period, to make the Indian Automotive Industry more competitive.
5. Wholesale and retail trade and repair of vehicles has been brought under the ambit of MSMEs.

***
Annexure
Statement referred to in reply of part (a) to (c) of Lok Sabha Unstarred question no. 4812 for answer on 24th March 2021
Quantity of India’s export of Automobiles/Cars to top 30 countries

(Quantity in Thousands)
S. No. Countries 2017-18 2018-19 2019-20 2020-21 (Apr-Jan) (P)
1 Mexico 226.01 178.94 171.55 147.94
2 South Africa 95.52 92.42 122.33 106.4
3 U S A 40.98 73.65 69.38 54.44
4 Saudi Arab 29.04 37.01 78.54 61.84
5 U Arab Emts 20.26 24.07 35.75 29.92
6 Nepal 41.33 52.23 48.14 44.16
7 Bangladesh Pr 61.50 69.70 48.50 44.31
8 Nigeria 73.73 147.71 162.84 141.52
9 Indonesia 32.58 25.96 22.32 17.19
10 Chile 35.48 36.25 27.85 23.2
11 Italy 25.21 22.51 12.8 12.71
12 Peru 49.03 36.97 43.39 37.16
13 U K 19.01 15.44 6.19 5.71
14 Algeria 27.45 27.27 6.92 6.92
15 Sri Lanka Dsr 35.43 34.07 22.48 18.02
16 Kuwait 3.53 6.00 8.06 7.34
17 Israel 8.15 1.42 7.04 7.04
18 Vietnam Soc Rep 1.16 0.57 0.98 0.73
19 Canada 4.99 9.23 4.78 3.58
20 Qatar 1.96 4.37 6.4 5.7
21 Ethiopia 23.91 23.1 30.69 28.12
22 Japan 3.16 3.39 2.49 2.05
23 France 16.28 11.3 4.39 4.24
24 Bhutan 4.49 6.59 5.82 4.6
25 Tunisia 6.89 9.71 6.82 5.97
26 Germany 15.45 8.22 4.65 4.61
27 Oman 3.53 2.93 4.99 3.54
28 Cambodia 6.37 30.63 25.94 25.28
29 Panama Republic 6.2 5.74 5.08 4.5
30 Iraq 11.18 25.95 28.24 23.29
Total of Above 929.81 1023.35 1025.32 882.03
% Share 76.05 75.19 82.53 83.63
Total Export 1222.67 1360.94 1242.29 1054.74
Source: DGCI&S, Kolkata (P: Provisional) ********

Download PDF Files