Hindi English Translation || Editorial || Tripping trade: on India and its trade stance

Tripping trade: on India and its trade stance

India must not rely on a few large markets, but opt for integration with global value chains (वैश्विक मूल्य श्रृंखला)

This financial year is off to a subdued (low, dim, dull, gloomy; restrained, controlled, toned down) start on the trade front. Goods exports slumped (मंदी, गिरावट) to $34.6 billion in April, the lowest since last October — the worst month for outbound (travelling/going away from a particular place/country) shipments in 2022-23. This was the third successive (क्रमिक, निरंतर) contraction (संकुचन) in exports, and 12.7% below last April’s numbers. Imports shrank by a sharper 14% to trip (fall, slip, slid, tumble, stumble) to a 15-month low of under $50 billion. A slowing global economy had been hurting exports through the second half of 2022-23, with declines in four of six months. But April’s initial estimates are troubling not just because they represent the steepest fall in recent months but also signal a sudden shift in sequential (अनुक्रमिक) momentum (गति) akin (similar, comparable, equivalent, parallel) to the use of emergency handbrakes. This March, despite lingering (सुस्त, दीर्घकालीन) global demand weakness, exports had hit (reach, attain (a level/stage)) a nine-month high of nearly $42 billion while imports were $60 billion. The new Foreign Trade Policy (विदेश व्यापार नीति) enunciated (pronounce, articulate; express, state) a two trillion-dollar export goal to be achieved in seven years. Its first month of implementation (कार्यान्वयन, आरोपण) could not have been off to a shakier start. The prospects (संभावना) of last year’s healthy 14.7% growth that lifted total exports to about $776 billion being replicated (दोहराना, अनुकरण) in 2023-24 look bleak (unpromising, unfavourable, disadvantageous, discouraging, disheartening) already.

One may draw (खींचना, प्राप्त करना) some succour (राहत, सहायता करना) from the trade deficit (व्यापार घाटा) easing (reduce, moderate, lessen, decrease) to a 20-month low. But managing the trade deficit cannot be the goal for policymakers. Falling imports also indicate that domestic demand, India’s proclaimed (घोषणा करना) insulation (protection, shelter, shield) against global headwinds ((in business) situations or conditions that make growth harder/difficult. Whereas tailwinds describe a situation or condition that will move growth, revenues, or profits higher), is ebbing (decrease, decline, diminishing, lessening, waning, dwindling, fading away). Moreover, when imports of petroleum (down 14%), and gems and jewellery plummet (decrease, drop, decline, slump, tumble), they also affect exports of value-added (the extra value created over and above the original value of something) end products. Petroleum exports shrank 17.5% in April, while jewellery shipments slipped at 30%, marking the seventh contraction in 10 months even as other job creators such as textiles have been hit hard. That commodity prices have cooled (reduce, lessen, diminish, moderate; soothe, assuage) from last year is only one reason for the shrinking trade basket (a group of something (taxes, investments, commodities, etc.)). Officials concede (admit, accept, agree) there does not seem to be any immediate respite (rest, break, interval, intermission, halt) likely from faltering (delaying, uncertain, unsteady/weak, precarious, irresolute, hesitant) global demand. China’s opening up (become present, become available, or become accessible) of the economy may have prompted (cause, bring about, give rise to) a global trade growth forecast (prediction, indication, projection, prognosis, speculation, calculation (of future events or trends)) hike (from 1% to 1.7%) for 2023 from the WTO, but recent Chinese data have been underwhelming (unsatisfactory, not exciting, disappointing) about the recovery momentum. Reluctant (unwilling, disinclined, resisting, opposed, hesitant) European and North American markets are only expected to speed up (accelerate, increase, intensify) goods orders by September for the festive season, while services exports that have held up through the recent trade turmoil (disorder, turbulence, confusion, trouble, chaos), may slow too. India must use this slack (inactive, slow, inefficient) period to review its overall trade stance, the reliance on (confidence in, dependence, belief in) a few large markets, and pursue (engage in, take part in, be occupied in, participate in (an activity)) greater integration with global value chains and multilateral (involving many different countries (in which all WTO member countries are party to the agreement)) trading arrangements. These would yield (give, provide, bring in, generate, produce) better outcomes than fresh measures (action, step, procedure) to hold down (to keep something at a low level) the import bill.

Courtesy: The Hindu

Important Word List With Meaning

1.global value chains (GVC) (noun)

Hindi Meaning - वैश्विक मूल्य श्रृंखला
English Meaning - International production, trade and investments are increasingly organised within so-called global value chains (GVCs) where the different stages of the production process are located across different countries. (also known as the global supply chain).

2.slump (verb)

Hindi Meaning - मंदी, गिरावट
English Meaning - slide, fall, slip, drop, decrease.

3.successive (adjective)

Hindi Meaning - क्रमिक, निरंतर
English Meaning - continuous, back to back, straight.

4.contraction (noun)

Hindi Meaning - संकुचन, सिकुड़न
English Meaning - In economics, it refers to a decline in national output as measured by gross domestic product.

5.sequential (adjective)

Hindi Meaning - अनुक्रमिक
English Meaning - happened in sequence/order/succession.

6.momentum (noun)

Hindi Meaning - गति
English Meaning - the increase in the rate of growth of something; strength, impetus.

7.lingering (adjective)

Hindi Meaning - सुस्त, दीर्घकालीन
English Meaning - long-drawn-out, protracted, prolonged, persisting.

8.Foreign Trade Policy (noun)

Hindi Meaning - विदेश व्यापार नीति
English Meaning - Foreign Trade Policy is a set of guidelines and instructions established by the Directorate General of Foreign Trade (DGFT) in matters related to the import and export of goods in India. The Government of India, Ministry of Commerce and Industry announces Export Import Policy every five years.

9.implementation (noun)

Hindi Meaning - कार्यान्वयन, आरोपण
English Meaning - imposition, enforcement, execution, carrying out.

10.prospects (noun)

Hindi Meaning - संभावना
English Meaning - chances, possibilities, expectations, outlook, future.

11.replicate (verb)

Hindi Meaning - दोहराना, अनुकरण
English Meaning - emulate, recreate, reproduce, copy.

12.draw (verb)

Hindi Meaning - खींचना, प्राप्त करना
English Meaning - obtain, get, derive, deduce, infer, gather.

13.succour (noun)

Hindi Meaning - राहत, सहायता करना
English Meaning - (financial) help, aid, assistance, relief.

14.trade deficit (noun)

Hindi Meaning - व्यापार घाटा
English Meaning - a trade deficit (a deficit in the balance of trade) occurs when the value of a country’s imports exceeds that of its exports. It is also called a trade gap.

15.proclaimed (adjective)

Hindi Meaning - घोषणा करना
English Meaning - indicated, shown, announced, declared, trumpeted.

16.tripping (adjective)

English Meaning - falling, slipping, sliding, tumbling, stumbling.

17.trip (verb)

English Meaning - fall, slip, slid, tumble, stumble.

18.rely on (phrasal verb)

English Meaning - depend on; bank on, count on, resort to, have recourse to.

19.opt (verb)

English Meaning - select, choose, decide on, go for.

20.be off to a good/bad start (phrase)

English Meaning - to be good/bad at the starting of something.

21.subdued (adjective)

English Meaning - low, dim, dull, gloomy; restrained, controlled, toned down.

22.front (noun)

English Meaning - a particular area of operation.

23.outbound (adjective)

English Meaning - travelling/going away from a particular place/country.

24.shrank past of shrink (verb)

English Meaning - lessen, reduce, decrease.

25.steepest superlative adjective of steep (adjective)

English Meaning - sudden, sharp, rapid.

26.akin (adjective)

English Meaning - similar, comparable, equivalent, parallel.

27.hit (verb)

English Meaning - reach, attain (a level/stage).

28.enunciate (verb)

English Meaning - pronounce, articulate; express, state.

29.bleak (adjective)

English Meaning - unpromising, unfavourable, disadvantageous, discouraging, disheartening.

30.ease (verb)

English Meaning - reduce, moderate, lessen, decrease.

31.insulation (noun)

English Meaning - protection, shelter, shield.

32.headwinds (noun)

English Meaning - (in business) situations or conditions that make growth harder/difficult. Whereas tailwinds describe a situation or condition that will move growth, revenues, or profits higher.

33.ebbing (noun)

English Meaning - decrease, decline, diminishing, lessening, waning, dwindling, fading away.

34.ebb (verb)

English Meaning - diminish, decrease, lessen, decline, fade away, wane, dwindle, disappear .

35.plummet (verb)

English Meaning - decrease, drop, decline, slump, tumble.

36.value-added (noun as modifier)

English Meaning - the extra value created over and above the original value of something.

37.cool (verb)

English Meaning - reduce, lessen, diminish, moderate; soothe, assuage.

38.basket (noun)

English Meaning - a group of something (taxes, investments, commodities, etc.).

39.concede (verb)

English Meaning - admit, accept, agree.

40.respite (noun)

English Meaning - rest, break, interval, intermission, halt.

41.faltering (adjective)

English Meaning - delaying, uncertain, unsteady/weak, precarious, irresolute, hesitant.

42.open up (phrasal verb)

English Meaning - become present, become available, or become accessible.

43.prompt (verb)

English Meaning - cause, bring about, give rise to.

44.forecast (noun)

English Meaning - prediction, indication, projection, prognosis, speculation, calculation (of future events or trends).

45.World Trade Organization (WTO) (noun)

English Meaning - an intergovernmental organization that is concerned with the regulation of international trade between nations.

46.underwhelming (adjective)

English Meaning - unsatisfactory, not exciting, disappointing.

47.reluctant (adjective)

English Meaning - unwilling, disinclined, resisting, opposed, hesitant.

48.speed up (phrasal verb)

English Meaning - accelerate, increase, intensify.

49.hold up (phrasal verb)

English Meaning - delay, prevent, obstruct, impede, hinder, hamper, inhibit.

50.turmoil (noun)

English Meaning - disorder, turbulence, confusion, trouble, chaos.

51.slack (adjective)

English Meaning - inactive, slow, inefficient.

52.reliance on (noun)

English Meaning - confidence in, dependence, belief in.

53.pursue (verb)

English Meaning - engage in, take part in, be occupied in, participate in (an activity).

54.multilateral (adjective)

English Meaning - involving many different countries (in which all WTO member countries are party to the agreement).

55.yield (verb)

English Meaning - give, provide, bring in, generate, produce.

56.measure (noun)

English Meaning - action, step, procedure.

57.hold down (phrasal verb)

English Meaning - to keep something at a low level.