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D.A.V.

SCHOOL OF BUSINESS MANAGEMENT

Committed to Excellence

ATMANIRBHAR BHARAT
By: GEETIKA PATRA (BBA 6TH SEM)
&
SAI GAYATRI (BBA 6TH SEM)
Faculty Mentor: MRS. JAYASHREE SWAIN
EMERGING OPPORTUNITIES AND CHALLENGES OF TRADE IN
INDIA : A PARADIGM SHIFT TO ATMANIRBHAR BHARAT
CONTENTS
1. INTRODUCTION

2. AN OVERVIEW OF TRADE INDICATORS OF INDIAN ECONOMY


     2.1 CAPITAL FLOWS
     2.2 CRUDE OIL PRODUCTION
     2.3 FOREIGN DIRECT INVEST

3. OPPORTUNITIES & CHALLENGES AHEAD

4. REVIVAL STRATEGIES TOWARDS ATMANIRBHAR BHARAT

5. CONCLUSION
INTRODUCTION
•Trade enlarges the market for a country's output.

•The trade impact due to the corona virus for India is estimated to be about
348 million dollars by United Nations Conference on Trade and
Development(UNCTAD).

•Trade impact is most in textiles and apparels, chemical, automotive and


wooden furniture.
AN OVERVIEW OF TRADE INDICATORS OF INDIAN
ECONOMY

• Balance of • Exports • Remittance


Trade • External Debt • Terms of trade
• Capital Flows • Foreign Direct • Terrorism index
• Crude Oil Investment • Tourism
Production • Gold Reserves revenues
• Current • Imports • Tourist arrivals
Account
• Current
Account to
GDP
Source-Tradingeconomics,2021
Capital Foreign
Flows Direct
Investment

Trade
Indicators

Crude Oil
Production
1. CAPITAL FLOWS
• Capital flows refer to the movement of money for the purpose of
investment, trade, or business operations.
CAPITAL FLOWS IN INDIA (IN USD MILLION)

100 17.43 -21.31 -76.35 -100.1 -149.89 -19.36 -88.48 -166.97


0

-100 -42.87
-83.26
-200

-300

-400

-500

-600

-700

-800
-781.52
-900
-822.33
Apr-Jun Jul-Sept Oct-Dec Jan-Mar Apr-Jun Jul-Sept Oct-Dec Jan-Mar Apr-Jun Jul-Sept Oct-Dec Jan-Mar
2018 2018 2018 2019 2019 2019 2019 2020 2020 2020 2020 2021
Capital Flow Ranking of different countries according to World Bank
RANK COUNTRY VALUE(IN USD MILLION)

1 LATIVA 5,94,000

2 MACAU 95,503

3 ICELAND 75,683

4 USA 72,638

5 GERMANY 56,377

116 INDIA -167


2. CRUDE OIL PRODUCTION
Crude Oil Production is defined as the quantities of oil extracted from the
ground after the removal of oil inert matter or impurities.
CRUDE OIL PRODUCTION IN INDIA (IN BBL/D/1K)
649 649
650

640
633 634
629
630 627

620
618 618 618 618
620 615

610

600

590
Jan 2020 Feb 2020 Mar 2020 Apr 2020 May 2020 Jun 2020 July 2020 Aug 2020 Sept 2020 Oct 2020 Nov 2020 Dec 2020
Crude Oil Production Ranking of different counties According World Bank

RANK COUNTRY VALUE (IN BBL/D/1K)

1 USA 9862

2 RUSSIA 9766

3 SAUDI ARABIA 8134

4 CANADA 4671

5 CHINA 3995

20 INDIA 619
3. FOREIGN DIRECT INVESTMENT
A foreign direct investment (FDI) is an investment made by a firm or
individual in one country into business interests located in another
country.
FOREIGN DIRECT INVESTMENT IN INDIA (IN USD MILLION )
17689
18000

16000

14000

12000

10000

8000 6509
5650
6000 4562
3156 3520
4000
2874 2383 2380
1981 2016
2000

-2000 -838
Feb 2020 Mar 2020 Apr 2020 May 2020 Jun 2020 Jul 2020 Aug 2020 Sept 2020 Oct 2020 Nov 2020 Dec 2020 Jan 2021
FDI inflow ranking of different counties according world Bank

RANK COUNTRY VALUE (IN USD MILLION )

1 USA 45,262

2 SINGAPORE 30,329

3 HONG KONG 15,665

4 BRAZIL 6860

5 CHINA 6162

63 INDIA -2881
SHARE OF TOP INVESTING COUNTRIES IN FDI INFLOWS (IN US $ MILLION)
CUMULATIVE % TO TOTAL
RANK(S) COUNTRY 2019-20 INFLOWS INFLOWS
(APRIL-
    MARCH) (APRIL,20-MARCH,20) (IN TERMS OF US $)
1 MAURITIUS 8,241 142,710 30%
2 SINGAPORE 14,671 97,670 21%
3 NETHERLANDS 6,500 33,852 7%
4 JAPAN 3,226 33,499 7%
5 U.S.A 4,223 29,779 6%
6 U.K 1,422 28,211 6%
7 GERMANY 488 12,196 3%
8 CYPRUS 879 10,748 2%
9 FRANCE 1,896 8,539 2%

10 CAYMAN ISLANDS 3,702 7,536 2%

TOTAL FDI INFLOWS FROM ALL COUNTRIES 49,977 470,119 .

Source: RBI,2020      
SECTORS ATTRACTING HIGHEST FDI INFLOWS TO INDIA (IN US $ MILLION)
RANK(S) SECTOR 2019-20 CUMULATIVE INFLOWS % TO TOTAL INFLOWS

    (APRIL-MARCH) (APRIL,20-MARCH,20) (IN TERMS OF US $)


1 SERVICE SECTOR 7854 82003 17%
COMPUTER SOFTWARE &
2 HARDWARE 7673 44911 10%
3 TELECOMMUNICATIONS 4445 37271 8%
4 TRADING 4574 27595 6%

5 CONSTRUCTION & DEVELOPMENT 617 25662 5%


6 AUTOMOBILE INDUSTRY 2824 24211 5%
CHEMICALS (OTHER THAN
7 FERTILIZERS) 1058 17639 4%
CONSTRUCTION
8 (INSTRUCTURE)ACTIVITY 2042 16847 4%

9 DRUGS & PHARMACETICALS 518 16501 4%


10 HOTEL & TOURISM 2938 15289 2%
Source: RBI,2020      
STATE-WISE FDI INFLOWS FROM OCTOBER 2019 TO MARCH 2020

STATE NAME FOREIGN DIRECT INVESTMENT % WITH INFLOWS


INFLOWS (IN US$ MILLION)

MAHARASHTRA 7262.56 30.35

KARNATAKA 4288.56 17.92

DELHI 3972.77 16.6

GUJARAT 2591.08 11.05

ODISHA 13.05 0.05

Source : RESERVE BANK OF INDIA, 2020


ODISHA GOVERNMENT INITIATIVES

• Odisha’s Foreign Direct Investment (FDI) equity inflows have soared 330 per


cent during April-September period of financial year 2020. FDI inflows into
the state rose from $10 million to $43 million.

• State-owned Oil India Ltd (OIL) launched a Rs 220 crore seismic campaign to
locate oil and gas in the Mahanadi basin in Odisha, as it is boosting the
country's hydrocarbon resource base.
OPPORTUNITIES

Production Linked Schemes To Increase FDI

FDI into India hit a record high in Q2 2020-


2021
30
28.1
25
20 21.3
17.7 18.3
15 15.9
14.1
11.5
10
5
0

Source-The Print
OPPORTUNITIES
Oil field Refineries

Foundation stone laying ceremony for the Cauvery Basin Refinery


expansion project at Panangudi near Nagapattinam on Wednesday |
Express News Service
CHALLENGES
• Focus on limited sector.
FDI flow
• Uneven FDI distribution among the
states.
• Volatility in the market.
Capital flow
• Change in investment behaviour.

• Aging Oil fills.


Crude oil Production
• Long setup time.
REVIVAL STRATEGIES FOR SUSTAINABLE
& SELF SUFFICIENT GROWTH

• Upgrade schemes and up-skilling human


capital

• Making India digital giant

• Modernize the supply chain


CONCLUSION

•“When there is the is a way”. The lockdown inspired us to be self reliant


and self sufficiency.

• The Prime Minister’s ‘Atma Nirbhar Bharat’ movement is a clear


indicator of the government’s willingness to push self-reliance and
capability building in Indian industry in the coming years.

•The Defense Ministry headed by  Rajnath Singh on 9th august stated that over 100
military items will be banned for import, in a big push for Prime Minister Modi's
Atma Nirbhar Bharat (self-reliant India) programme.
Thank You

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