New Delhi: Commerce and Industry Minister Piyush Goyal on Friday said efforts are underway to balance bilateral trade between India and Japan by increasing exports.
India’s exports to Japan during April-January this fiscal rose by 21.12 per cent to USD 5.1 billion, while imports grew by 9.1 per cent to USD 15.92 billion, leaving a trade deficit of USD 10.82 billion in favour of Japan.
In 2023-24, the country’s export to Japan was USD 5.15 billion and imports were USD 17.7 billion. The trade gap was USD 12.55 billion.
“Efforts are being made to balance trade between India and Japan, with a focus on increasing Indian exports to ensure reciprocal benefits,” the commerce ministry said in a statement quoting the minister.
This was stated by Goyal in his keynote address at the India-Japan Economy and Investment Forum.
He also invited Japanese firms to increase collaboration in areas such as green energy, renewable energy, high-tech manufacturing of semiconductors, electronic goods, and artificial intelligence.
The two countries signed a comprehensive free trade pact, officially dubbed as Comprehensive Economic Partnership Agreement (CEPA) in 2011.
Over 1,400 Japanese companies are operating in India and 11 industrial townships across eight states hosting Japanese enterprises.
Goyal pointed out that major infrastructure projects such as the Mumbai-Ahmedabad High-Speed Rail and metro systems in Delhi, Ahmedabad, Bengaluru, and Chennai reflect Japan’s active participation in India’s development.
He expressed optimism about the commencement of the Shinkansen bullet train service between Mumbai and Ahmedabad in the near future.
India has received over USD 43 billion foreign direct investment (FDI) from Japan between 2000 and 2024, making it India’s fifth-largest source of foreign investment.
Further, the minister said the two countries are collaborating to build globally competitive brands, citing the example of Maruti exporting vehicles to various countries, including Japan.
He reiterated the objective of increasing the share of manufacturing in India’s GDP to 25 per cent (from the current about 16-17 per cent), with Japan playing a crucial role in achieving this target.
