Export Worries Grow As Respiratory Illness Surges In China, Posing Challenges For Pharma, Electronics And Other Industries

In a development raising alarms in the Indian export sector, a significant increase in respiratory illnesses in China, India's fourth-largest export market, has sparked concerns over potential disruptions to both consumption demand and critical raw material supply chains.

This includes essential components such as active pharmaceutical ingredients (APIs) and electronic integrated circuits (EICs), crucial for India's rapidly growing electronic and pharmaceutical manufacturing industry.

Against the backdrop of a challenging economic year, marked by a decline in India's goods exports due to weakened demand from Europe and the United States, the surge in respiratory illnesses in China adds a new layer of uncertainty to the global trade landscape.

Exporters, including Ajay Sahai, head of the Federation of Indian Export Organisation (FIEO), emphasise the urgency of containing the spread of respiratory illnesses in China to safeguard existing trade relationships.

The potential impact on the declining exports, especially in the engineering sector, adds to industry apprehensions, reported Indian Express.

While concerns loom over potential disruptions in the supply chain for APIs, Atul Kumar Saxena, President of the Indian Importers Association (IIA), assures that imports remain unaffected for the time being.

Meanwhile, China's National Health Commission attributes the surge in respiratory illnesses to the circulation of various pathogens, notably influenza.

However, World Health Organization has not detected any unusual or novel pathogens.

The Union Health Ministry in India has reassured that there is "no need for alarm" but advises state governments to assess hospital readiness.