Gujarat, India’s leading export state, experienced a marginal decline in its exports during the financial year 2023-24. The state’s total exports stood at Rs 11.12 lakh crore, compared to Rs 12 lakh crore in the previous year.
The downturn was primarily attributed to a combination of factors, including reduced demand in key markets, container shortages, and increased freight costs. These challenges, particularly prevalent in sectors like textiles, engineering goods, and chemicals, impacted the competitiveness of Gujarat’s manufacturers.
Pathik Patwari, chairman of the Gujarat council of the Indian Chamber of Commerce, emphasised that the decline was primarily driven by weakening demand in overseas markets, especially Europe, which was grappling with inflation and economic pressures. Additionally, the ongoing container crisis and soaring freight rates further hindered exports.
Despite the setback, Gujarat maintained its position as the top exporting state in India. Other states with significant export values included Maharashtra, Tamil Nadu, Karnataka, and Uttar Pradesh.
However, there are signs of recovery in the current financial year, FY 2025. Gujarat’s exports in April and May 2024 reached Rs 1.96 lakh crore, a 16.7% increase from the same period in 2023. This indicates a potential rebound in the state’s export performance.
