Question: Which item is the largest foreign exchange earner of India?

The tourism industry in India has become one of the largest Foreign Exchange Earners with earnings of $29.962 billion over Jan 2019 – Dec 2019, equating a growth of 4.8% over the previous year.

Which is the largest foreign exchange earner of India?

Complete answer: Out of the given options, the industry in which India earns its maximum foreign exchange is Iron industry. The value of iron metal traded from India added up to almost 186 billion rupees in the financial year 2020.

Which crop is the largest foreign exchange earner?

Detailed Solution. Tea is the major foreign exchange earner crop for Sri Lanka garnering approximately 1.5 billion dollars through export.

What is the second largest foreign exchange earner in India?

Indian Economy

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At present, gems and jewellery is the second largest foreign exchange earner in the country surpassing even what was earned by the textile and apparel sector.

What is contributing to India’s foreign exchange earning the most through exports?

It is generally believed that services is driving India’s exports and also net foreign exchange earnings.

Who are India’s biggest trading partners?

India top 5 Export and Import partners

Market Trade (US$ Mil) Partner share(%)
United States 54,288 16.79
United Arab Emirates 29,539 9.14
China 17,279 5.35
Hong Kong, China 11,478 3.55

Which country has highest forex reserve?

Currently, China has the largest forex reserves followed by Japan and Switzerland. In July 2021, India overtook Russia to become the fourth largest country with foreign exchange reserves.

Which industry has been a major foreign exchange earner?

The industry that has earned our country a major, sizeable share of foreign exchange, is the Information Technology industry. In the last two decades, the contribution to India’s GDP from Information Technology, has grown by 6.5%.

Which is an important foreign exchange earning commercial crop of India?

There is a huge demand for cash crops abroad. For e.g. India exports 80% of the coffee it produces earning precious foreign exchange. So, statement 1 is correct. Processing of crops like tobacco, cotton, jute, cashew, etc is generating large forward and backward linkages in the food processing industry.

What is foreign exchange earner?

Foreign exchange earnings are profits made from selling goods and services in a global marketplace, though in some cases, currency is simply exchanged in order to make these earnings without goods or services being sold. … Individuals can also make foreign exchange earnings by trading in the Forex market.

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For which items India spends more foreign exchange reserve on imports?

Most of the Foreign exchange reserves of India are used for import Oil and petroleum products.

Which fruit earns highest foreign exchange?

Grapes occupy the premier position in fresh fruit exports followed by Mango, Pomegranate, Banana, and Oranges.

Which contributes a major share of foreign exchange in the total Indian service exports?

The sector accounts for two-thirds of total foreign direct investment (FDI) inflows into India and about 38 per cent of India’s exports. The survey said the services sector saw 33 per cent jump in the gross FDI equity inflows during April to September 2019, touching 17.58 billion dollars.

What are the sources of foreign exchange in India How is it useful for Indian economy?

Two sources of supply of foreign exchange are: (i) Export of goods and services from domestic country to foreign country. (ii) Foreign direct investment. (i) Payment of loans and interest to international organisations.

Which mineral does India depends largely on imports?

The mineral in which India depends largely on imports is Mercury. India has taken over the position of World leader in mercury consumption after beating US.