India suffered a broad-based slowdown in import-export trade in 2019. Last year’s global dip in container demand, combined with domestic challenges to India’s economy, impacted the country. This is aligned closely with weak domestic demand, tight liquidity and working capital as well as a reflection of the overall cyclical weakening of the economic environment in all the main global economies. India’s year-on-year import-export trade was flat compared with global growth of 1.5 per cent.

While imports witnessed subdued growth, the overall fiscal impact was nullified by an identical contraction in exports. India’s retail, apparel and textile industries are also facing strong headwinds. The trade war, Brexit and flat economic growth in major economies are creating a challenging export market. Key competitors, such as Pakistan, Bangladesh and Vietnam, are given preferred access in northern Europe, which is India’s biggest textile market.

Bucking the trend was an 11 per cent jump in exports to Africa, led by appliances and kitchenware, vehicles and seeds, beans, cereals and flour. And reefer exports to the Mediterranean saw growth, too, primarily fuelled by meat, fish and shellfish. Exports of seafood and other reefer cargo to China also increased. Initiatives such as the Digital India policy have the potential to propel the logistics and shipping industry forward.