India Will Be Participate As The 3rd Largest Importer By 2050

Share Us

1266
India Will Be Participate As The 3rd Largest Importer By 2050
11 Feb 2023
4 min read

News Synopsis

Latest Updated on 11 February 2023

Because of the massive growth in the Indo-Pacific area, the economic center of the world has been moving eastward for decades, changing trade patterns along the way.

With a share of 6.8% of global GDP, the survey projected that India will overtake China and the US to take third position in the list of the major economies by 2050.

According to a recent analysis, India's projected position among the world's economies predicts that by 2050 it would be the third largest importer in the world, accounting for 5.9% of all imports, right behind China and the US. With a 2.8% import share currently, India is the eighth-largest importer, and by 2030, it is expected to overtake China as the top importer.

"Through 2030, the US and EU's share of the majority of import sectors is expected to decrease as a growing portion of the world's import demand is catered for by the middle class in Asia. According to the most recent Global Trade Outlook published by the UK's Department of International Trade, this change is particularly apparent in the food, travel, and digital services sectors where larger and increasingly wealthy populations in the Indo-Pacific are expected to consume more discretionary goods and services.

In comparison to the EU and North America put together, the Indo-Pacific region is predicted to account for 56% of global growth between 2019 and 2050. With South Asia's contribution increasing, growth within the Indo-Pacific is also expected to rebalance over time, it was said.

As the largest economy in the world by 2030, China is a key force behind such an eastern economic trend. By the middle of the 2010s, China has already surpassed the US in terms of Purchasing Power Parity, which takes into account regional pricing differences. But the change is expected to occur around 2030 based on Market Exchange Rates, which are more important for commerce. The estimate stated that both nations will then make up around 22% of the world's GDP.

With a share of 6.8% of global GDP, the survey projected that India will overtake China and the US to take third position in the list of the major economies by 2050. India now has the fifth-largest economy in the world, with a 3.3% share. By 2030, India's GDP is expected to surpass that of Germany, making it the world's fourth-largest economy.

The analysis predicted that as developing economies gain importance in the global economy, their participation in the trading system will gradually increase.

By 2050, it is anticipated that the 'E7 Group' of the Seven Largest Emerging EconomiesChina, India, Brazil, Russia, Indonesia, Mexico, and Turkey—will have the same percentage of the world's import demand as the G7. The G7 organization includes the seven richest nations in the world: Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States.

Last Updated on 27 September 2021

India will be the third-largest importer by 2050 in the world. After the pandemic, the Indian government is trying to recover the high economic measure graph. The rapid growth makes India Pacific, causing trade patterns to shift as it moves. Accordingly, it will deliver India to become the world's largest importer by 2050 including a percentage of 5.9% of global imports, undeviating after China and the US. According to the Global Trade Report, India is moving toward the fastest-growing economy in the world. In another way, China has successfully recovered its economic graph after the relaxation of COVID-19 in China. Gradually, China is the massive driver of this eastward economic shift, becoming the world’s largest economy by 2030 in the world.

You May Like

TWN Opinion