We continuously hear the words import and export, but do we really understand how much it impacts our economy, to understand its impacts let’s know more about import and export.
Import: A good or service bought in one country that was produced in another.
Export: A product or service produced in one country and sold abroad.
A country’s importing and exporting activity can influence its GDP, its exchange rate, and its level of inflation and interest rates. A rising level of imports and a growing trade deficit can have a negative effect on a country’s exchange rate. When we specifically talk about sports export, we can see that 60% of Indian sporting goods are exported and around 500,000 people are employed in the sports goods manufacturing sector in India. We can see how much our sports exports impacts the economy of India. We can also observe how the sports sector generates employment opportunities.
The Sports Market of India
The sports goods industry of India is nearly a century old and holds a prominent position in the global market. The industry has flourished, driven by a skilled workforce hence known for its role in creating employment and contributing to the country's economy. India currently manufactures more than 300 sports-related goods such as toys, video game consoles and articles, festive and carnival articles, gymnastics and sportswear goods, fishing articles, outdoor games, toys, etc. Uttar Pradesh, Punjab, Maharashtra, Delhi, Tamil Nadu, Jammu, and West Bengal are among India's top sports goods-producing states. Among these, Jalandhar City in Punjab, and Meerut City in Uttar Pradesh account for about 75-80% of the total production in the country.
The equipment that is exported the most and their characteristics:
Cricket bats: Indian manufacturers like SG, Gray-Nicolls, and Kookaburra produce high-quality cricket bats using premium willow wood.
Cricket balls: Indian-made cricket balls meet international standards, offering consistent performance and durability.
Yoga mats: Eco-friendly, non-slip, and durable yoga mats from Indian brands like Yoga House and Bharat Thakur are gaining popularity worldwide.
Fitness equipment: Indian manufacturers offer a range of fitness equipment, including treadmills, exercise bikes, and strength training machines.
Footballs: Indian-made footballs, like those from Nike and Adidas, meet FIFA standards, ensuring consistent performance and durability.
Volleyballs: High-quality volleyballs from Indian manufacturers like Cosco and Nivia are popular among players and teams.
Smart sports equipment: Indian startups are developing innovative, technology-enabled sports equipment, like smart cricket bats and balls with sensors and tracking features.
India is one of the leading international sourcing destinations for inflatable balls and other sports goods for global brands such as Mitre, Lotto, Umbro, and Wilson. During 2022-23, gymnasium/athletic requisites, and cricket equipment each contributed 4% to exports, while football equipment and water surfing boards accounted for 2% and 1% of exports. During the last decade (2010-2020), India has grown its competitiveness in exports of articles and equipment for table tennis, tennis, badminton, and similar rackets, with a thirty-fold increase in exports. In 2019, India's share in the global market for tennis products increased to 1.2%.
Sports Goods Export Promotion Council (SGEPC)
The SGEPC is a government of India-sponsored organisation that works towards the promotion of the export of Indian sports goods and toys. The council represents the leading manufacturers and exporters in the country. The main activities of the SGEPC are trade promotion, information dissemination, export statistics tracking and projection. SGEPC organises trade promotion activities like Indian participation in international trade fairs, visits of business delegations, promotional campaigns in international markets, etc.
India, the third-largest manufacturer in Asia, has become a big participant in the athletic goods market and has made great strides in enhancing its soft power. India exports a wide range of athletic items to over 200 nations, including the US, China, the UK, and Australia. Items include inflatable balls, general exercise equipment, cricket gear, clothing, and more. Sports goods exported to the USA in 2022-23 amounted to US$ 192.4 million, compared to US$ 198.8 million in the previous year. Exports to the Netherlands, South Africa, and Denmark increased by 32%, 23%, and 16%, reaching US$ 21.4 million, US$ 9.1 million, and US$ 10.7 million in 2022-23, respectively. From April 2023-January 2024, exports to the US stood at US$ 165.2 million, the UK stood at US$ 57.6 million, Australia stood at US$ 28.2 million, Germany stood at US$ 27.3 million, and the Netherlands stood at US$ 21.3 million.
As per India Exim Bank analysis, the UK is the largest importer of India's export of Tennis balls, inflatable balls, and other balls (excl. golf balls, and table tennis balls), followed by Australia and UAE in the same order of exports. For festive article exports, the USA is the major importer with a significant share of the overall exports. UAE is one of the key importers of articles and equipment for table tennis, tennis, badminton, and similar rackets commanding a major share of the total exports. India's exports of water sports equipment are in significant demand from countries like Spain and Sri Lanka. India's exporters actively tap developing countries like Brazil, Mexico, South Africa, Chile, Columbia, Argentina, Nigeria, Peru, and Ecuador, which have significant demand for sports equipment and supplies.
The sports equipment export market of India is gradually developing. The sports market is also a large contributor to the Indian economy.
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