This is a research paper regarding the trade relations between India and Japan. It includes trade of goods, foreign direct investment and it also shows the difference between GDP of both countries.

1. Bilateral Trade Relation Between India and Japan: A
Contemporary Analysis
Disha Srivastava Nikhil Pratap Singh
B.com (H) B.com (H)
Techno Groups of Institution Techno Group of Institution
Lucknow Lucknow
Srivastavadisha81@gmail.com Pratapnikhil524@gmail.com
ABSTRACT
India and Japan share powerful culture and economic bond. India is the largest democracy in Asia and Japan the most prosperous
democracy and most significantly both the economies are complementary each other. Economic relation between India and Japan have
enhanced in the recent years and with signing of Comprehensive Economic Partnership Agreement, 2011 (CEPA), which enhanced the
bilateral trade and investments India and Japan.
KEYWORDS- bilateral trade, India and Japan trade, GDP, Commodities composition, Export and Import Intensity.
METHODOLOGY
The study is purely based on secondary data and it is collected from RBI bulletin, economic survey, journals, articles, paper etc. The
analysis was done from the period 2011-2022.
Introduction
India Japan shares a strong spiritual affinity they have been prospering together. They share a good culture of economic bond since World
War II, and it has only grown better due to the healthy political and ethical ideas they share.
Even today firmly standing on their tactful relation they shared in the past which has made their ideologies even more empowering
whether it is democracy, freedom, or the judiciary in both the countries. The two of them had created immense global impact through
their values and principles they behold.
Their association has become even more revolutionary due to the changing scenario of power and growth across Asia and its rapid
spreading towards the east. They are also growing together due to their striking beliefs and investment in political and economic targets.
They both have shown an active participation in the summits of the year 2005 along with some other huge programs like strategic
dialogue meets consultations on disarmament, ministerial – level economics dialogue partnership summits and above all agreement of
comprehensive Economics co-operation Agreement (CEPA) signed in the year 2011, which have uplifted both mutually in a more
bureaucratic manner. Apart from being available politically Japan has been an important booster for India in being a part of APEC and

2. some other great organizations the nuclear supplier group, the missile technology control Regime, Wassenaar arrangement and The
Australia Group.
The volume of trade between India and Japan has increased meticulously as Japan has been an inventible investor for India probably the
fourth one with a trade value of USD 14513 million (2015-16) and even bigger figure has been registered in total during 2000 to 2015.
Today India and Japan share a global vision of peace and stability based on sustainable development.
Objective of the Research
1. To access the trade intensity between India and Japan from 2011 to 2021.
The intensity of trade between India-Japan has increased during 2011 to 2021. Exports of both countries are more in 2022 as
compared to 2011. India was the 13th
largest trading partner for Japan and Japan was the 22nd
largest trading partner for India in
2021.
2. To study the competition of trade between India and Japan.
India-Japan bilateral trade highly concentrated in a narrow range of products with India’s export dominated by minerals and raw
materials from 2011-12 to 2020-21 except in the year 2019-20 and 2020-21 whereas Japan’s export dominated by capital and
knowledge intensive goods i.e., nuclear reactors during the period of 20011-12 to 2020-21.
3. To analyze the trend and pattern of growth of India’s trade with Japanese economy.
India economy has problems such as poor infrastructure and Japanese economy is fighting with ageing population. There is a
complementary relationship between both the countries – through foreign trade, foreign direct investment, and economic
operation. The inflow of FDI in both the countries has also increased in 2020-21 as compared to 2011-12.
Literature Review
Mullen and Arora (2017)find that India and Japan being the Asia’s two largest economies with oldest democracies in Asia and would
benefit from complementing each other. Japanese aging economy contingent young Indian economy.
Jain (2017) finds that the early post-war period and the current ODA (Official Development Assistance) and except the economic
objective, the ODA of Japan has a pre-planned political objective not only for India but for all Asian countries.
Business Line (2018) says that India and Japan shared long bearing strategic and economic partnership which further hoisted “special
strategic and global partnership” status since past four years. This study also says that Japan has been expanding bilateral loans and aid
grants since years 1958 and has been performing a essential role in financing the reproving infrastructure to label the social and
environmental causes.
Salley and Sen (2012) interject that India’s trade with Japan shrinking when compared with India’s total global trade, apart from a
downfall in Japan’s important in India.
Dr. Mathur Vibha and Doley Shankar Jyoti (2022) finds that with the rapid-growing economies and political alliances between India
and Japan the opportunities for both nations relating to businesses and commerce are restrained to present meaningfully in forming India
and Japan’s international business story.

3. Choudhury (2018) observes that Japanese assistance eased infrastructure development of health, water and sanitation programs of India
and its investments blow into the automobile and electronics.
Naoki Ono (2014) finds that the genuine strive to boost bilateral cooperation between the two countries had started during the first
decade of 21st
century and there are many possibilities for future cooperation.
Jay Maniya (2021) says that there remains aspiration for more operations between the two devoted partner’s India and Japan to keep the
lead of the India-Japan vital strategic and global partnership and develop it additional.
Bilateral trade between India and Japan
Comparison of Export and Import of India to Japan from 2011-12 to 2020-21
Table 1
Value in Rs.
Crores
Sr. No. Years Export Import Balance of Trade
1 2011-2012 30,51,134.40 57,67,103.11 -27,15,968.71
2 2012-2013 33,21,415.89 67,54,720.77 -34,33,304.88
3 2013-2014 41,25,345.29 57,21,168.94 -15,95,823.65
4 2014-2015 32,83,568.79 61,99,039.65 -29,15,470.86
5 2015-2016 30,43,466.66 64,49,314.69 -34,05,848.03
6 2016-2017 25,78,624.43 65,41,452.47 -39,62,828.04
7 2017-2018 30,50,599.46 70,74,524.84 -40,23,925.38
8 2018-2019 34,01,029.03 89,27,838.13 -55,26,809.10
9 2019-2020 32,00,287.14 88,03,362.83 -56,03,075.70
10 2020-2021 32,81,818.06 80,81,915.37 -48,00,097.31
0.00
1,000,000.00
2,000,000.00
3,000,000.00
4,000,000.00
5,000,000.00
6,000,000.00
7,000,000.00
8,000,000.00
9,000,000.00
Value
in
Rs.
Crores
Financial Years
Export and Import of India to Japan
Export
Import

4. The economic cooperation between India and Japan has improve over the past few years. The export and import of India and Japan with
each other were calculated for the period 2011-21. Here, Table-1 explains India's total export and import and trade deficit with Japan
from 2011 to 2021. The total export of India to Japan increased from Rs. 30,51,134 in 2011 to Rs. 32,81,818 in 2021. After 2014 there
was a peak in export Rs. 41,25,345 but in 2015 there was a sudden fall Rs. 32,83,568 and this became declining in 2016 and 2017 from
Rs. 30,43,466 and Rs. 25,78,624 respectively. After this, there was a fall in 2018 the export goes to increase in Rs. 30,50,599 and a fall
arise in 2020 Rs. 32,00,287 which tend to increase in 2021 Rs. 32,81,818. India export to Japan showed a maximum growth in the year
2013-14 Rs.41,25,345.29 at all-time high. The growth of import from Japan has been more rebuts against export. The total import
increased from Rs.57,67,103.11 in 2011-12 to Rs.80,81,915.37 in 2020-21. Imports from Japan shows increasing trend over a period
expect 2013-14, 2014-15 and 2015-16 where it was reduced Rs.57,21,168.94; Rs.61,99,039.65 and Rs.64,49,314.69. Thus, rising import
led to huge trade deficit balance with Japan.
EXPORT OF GOODS
India’s Exports to Japan from 2011-12 to 2020-21
Table2 (value in crores)
Trade with Japan as a proportion of India's global trade had been declining. Table-2 shows India's exports to Japan during 2011-12 to
2020-21. Here, we can observe that India's total export increases year after year except 2014-15, 2015-16, 2016-17 and 2017-18 but
percentage of share of Japan exported by India tend to be falling 2.0813% in 2011-12 and 1.52% in 2020-21 where India's total export in
2011-12 Rs.14,65,95,939.96 and in 2020-21 Rs.21,59,04,322.13. It also shows the growth in 2011-12 by 31.63% and 2021-21 by 2.55%
i.e., growth decline as well.
Exported Commodities
S.
N
HS
Co
COMMODIT
IES
2011-
2012
2012-
2013
2013-
2014
2014-
2015
2015-
2016
2016-
2017
2017-
2018
2018-
2019
2019-
2020
2020-
2021
2021-
2022
Sr. No. Years India’s Total Export Export to Japan %Share of Japan
(Export/Total
Export)
% Growth
1 2011-2012 146,595,939.96 3,051,134.40 2.0813 31.63
2 2012-2013 163,431,828.96 3,321,415.89 2.0323 8.86
3 2013-2014 190,501,108.86 4,125,345.29 2.1655 24.20
4 2014-2015 189,634,841.76 3,283,568.79 1.7315 -20.40
5 2015-2016 171,638,440.44 3,043,466.66 1.7732 -7.31
6 2016-2017 184,943,355.34 2,578,624.43 1.3943 -15.27
7 2017-2018 195,651,452.80 3,050,599.46 1.5592 18.30
8 2018-2019 230,772,619.38 3,401,029.03 1.4738 11.49
9 2019-2020 221,985,418.10 3,200,287.14 1.4417 -5.90
10 2020-2021 215,904,322.13 3,281,818.06 1.5200 2.55

5. o. de
1 27 MINERAL
FUELS,
MINERAL
OILS AND
PRODUCTS
OF THEIR
DISTILLATIO
N;
BITUMINOUS
SUBSTANCE
S; MINERAL
WAXES.
1,273,73
1.79
1,342,27
0.88
1,817,09
2.12
1,124,76
7.14
767,63
2.46
378,42
9.76
557,28
3.03
377,31
8.78
303,70
0.80
364,71
4.66
730,02
3.33
2 71 NATURAL
OR
CULTURED
PEARLS,
PRECIOUS
OR
SEMIPRECIO
US STONES,
PRE.METALS
, CLAD WITH
PRE.METAL
AND ARTCLS
THEREOF;
IMIT.JEWLR
Y; COIN.
178,600.
66
188,617.
10
211,430.
07
172,910.
32
163,36
5.65
208,00
9.62
179,20
0.18
304,31
2.86
285,12
5.95
281,36
8.56
293,95
3.10
3 3 FISH AND
CRUSTACEA
NS,
MOLLUSCA
AND OTHER
AQUATIC
INVERTABR
ATES.
194,703.
62
187,017.
86
240,821.
82
263,817.
36
258,93
6.61
256,75
5.01
286,07
9.23
283,20
6.85
289,93
1.56
296,39
5.71
322,42
2.99
4 23 RESIDUES
AND WASTE
FROM THE
FOOD
INDUSTRIES;
PREPARED
ANIMAL
FODER.
229,520.
17
182,779.
41
89,483.4
9
26,679.5
5
19,018.
10
58,273.
55
36,805.
98
57,440.
53
24,171.
09
27,450.
70
40,392.
62
5 29 ORGANIC
CHEMICALS
127,205.
69
158,461.
00
189,456.
87
210,567.
89
245,36
3.47
277,19
1.61
263,68
3.07
369,22
7.39
396,55
4.57
454,61
2.26
518,82
0.80
6 26 ORES, SLAG
AND ASH.
157,469.
35
137,558.
10
185,779.
00
132,609.
06
23,031.
71
44,803.
40
148,01
4.02
95,712.
70
155,42
1.50
172,33
1.55
19,452.
78
7 72 IRON AND
STEEL
96,949.7
9
132,816.
54
166,069.
58
149,806.
12
92,764.
42
104,00
4.16
162,76
9.58
164,17
2.97
133,15
7.69
111,91
8.13
264,05
3.07

6. 8 62 ARTICLES OF
APPAREL
AND
CLOTHING
ACCESSORIE
S, NOT
KNITTED OR
CROCHETED.
95,513.3
0
104,565.
53
114,946.
34
103,425.
97
100,46
7.09
98,342.
34
101,56
5.57
128,23
1.66
128,51
6.49
102,28
2.46
99,483.
40
9 84 NUCLEAR
REACTORS,
BOILERS,
MACHINERY
AND
MECHANICA
L
APPLIANCES
; PARTS
THEREOF.
64,074.3
3
86,407.6
4
136,846.
11
139,737.
24
204,41
7.98
179,57
5.38
189,46
7.64
292,26
9.92
197,63
5.39
262,79
7.76
356,45
7.59
10 85 ELECTRICAL
MACHINERY
AND
EQUIPMENT
AND PARTS
THEREOF;
SOUND
RECORDERS
AND
REPRODUCE
RS,
TELEVISION
IMAGE AND
SOUND
RECORDERS
AND
REPRODUCE
RS, AND
PARTS.
42,149.1
6
74,400.7
3
78,238.8
9
76,789.6
6
74,740.
17
66,491.
12
64,406.
96
83,181.
15
79,879.
94
79,713.
58
387,22
6.57
India – Japan bilateral trade is highly concentrated in a narrow range of products with India’s export dominated by minerals and raw
materials.
From 2011-2012, mineral fuels, mineral oils & product of their distillation, Bituminous substance, mineral waxes which comes in the
category of minerals was the maximum exported item to Japan from India Rs. 1,27,373.7 in 2011-2012 and Rs. 7,30,023.3 in 2020-2021.
But in 2019-2020 and 2020-2021 organic chemical was the maximum exported goods to Japan Rs. 3,96,554.57 and Rs. 4,54,612.2
respectively. However, minerals are the maximum exported goods to Japan every year except 2019-2020 and 2020-2021 but the export of
mineral tends to decline year after year from 2014-2015 to 2016-2017, in 2017-2018 increased to Rs.55,7283.0 after that decline occurs
in 2018-2019 Rs. 3,77,318.78 and in 2019-2020 Rs.3,03,700.8. in 2020-2021 this decline phase removed with a rise of Rs.3,64,714.6 in
2020-2021 and Rs.7,30,023.3 in 2021-2022. The top five exports from India to Japan during 2011-2012 to 2021-2022 are -

7. 1) Minerals fuels, mineral oils and products of their distillation, bituminous substance mineral waxes.
2) Organic Chemicals.
3) Fish and crustaceans, Mollusca, and other aquatic invertebrates.
4) Natural or cultural pearls, precious or semiprecious stones, pre-metal, clad with pre-metal and article there of limit. Jewelry,
coin.
5) Nuclear reactor, boilers, machinery, and merchant appearances part thereof.
EXPORT
1) Mineral fuels, Mineral oils and products of their distillation and mineral waxes: -
Minerals are the highest exported goods to Japan from India increased positively during the 2011-12 to 2021-22.
It exported maximum in 2013-14 with 18,17,0921.
2) Natural or cultured pearls, precious or semiprecious stones: -
This commodity is the second highest exported commodity to Japan during 2011-12 to 2021-22. In 2018-19, the import was in
peak with 3,04,312.86.
3) Fish and Crustaceans, Mollusca, and other Aquatic Invertebrates: -
This commodity has complicated growth and decline status over the years during 2011-12 to 2020-21, and its maximum export
made in 2021-22(3,22,422.99).
4) Residues and waste from the food industries, prepared animal fodder: -
The export of this commodity slows down every year from 2011-12 to 2015-16, after this export fluctuate to slowdown from rise
and then rise to slow and so on.
Its maximum export is in 2011-12(2,29,520.17).
5) Ores, Slag and Ash: -
If we compare the export of this commodity in 2021-22 from 20011-12, we observe decline in the value of export in 2021-
22(19,42.78) and in 2011-12(1,57,469.3). this was in peak during 2013-14(1,89,456.8)
6) Organic Chemicals: -
The export of organic chemical increase positively which showed positive growth during 2011-12 to 2021-22 except 2017-
18(2,63,683.0). in 2011-12 export was (1,27,205.69) and in 2021-22(5,18,820.8).
7) Iron and Steel: -
Its maximum export made in 2021-22 with the value of (2,64,053.0). the export of this commodity goes well in initial three
years 2011-12, 2012-13 and 2013-14 but, after this growth slows down except in 2021-22.
8) Articles of apparel and clothing accessories, not knitted or crocheted: -
This commodity increases during 2011-12, 2012-13 and 2013-14 and then start a decline in 2014-15, 2015-16 and 2016-17 and
then again rise in 2017-18, 2018-19, 2019-20 and after that it again start decline in 2020-21 and 2021-22, i.e., the growth
changes in decline and decline changes in growth in every three years.
9) Nuclear Reactors: -
The export of nuclear reactors kept on increasing from 2011-12 to 2016-17 and 2020-21 to 2021-22. Its maximum export in
2021-22 with value of (3,56,457.5). it is the fifth highest exported commodity.

8. 10) Electrical machinery and equipment and thereof: -
The export of this commodity slow down from 2014-15 to 2017-18 and 2019-20 to 2021-22. In 2018-19 the export increased to
(83,181.15). The maximum export of electrical machinery in 2018-19 (83,181.15).
IMPORT OF GOODS
India’s Import from Japan from 2011-12 to 2020-21
Table 3 (value in crores)
In the previous year’s India's total import also increases year by year. Here table-3 shows India's import from Japan during 2011-12 were
Rs.57,67,103.11 and in 2020-21 were Rs.80,81,915.37 with the increase in the India's total import 2011-12 Rs. 23,45,46,324.45 and in
2020-21 Rs.29,15,95,770.04. The percentage share of Japan imported to India seems to increase in 2011-12 it was 2.4588% and in 2020-
21 it was 2.7716% which tends to increase in except in 2013-14 and 2014-15 with 2.1069% and 2.2648% respectively. Here the growth
rate also declines in 2011-12 by 46.71% and in 2020-21 by (-8.20%).
Imported Commodities
S.
N
o.
H
S
Co
de
COMMODI
TIES
2011-
2012
2012-
2013
2013-
2014
2014-
2015
2015-
2016
2016-
2017
2017-
2018
2018-
2019
2019-
2020
2020-
2021
2021-
2022
GRO
WTH
%
1 84 NUCLEAR
REACTORS,
BOILERS,
MACHINER
Y AND
MECHANIC
1,855,3
32.71
1,985,2
12.78
1,567,9
53.59
1,508,4
36.41
1,569,3
24.26
1,867,0
70.17
1,720,9
47.18
2,382,0
10.84
2,147,2
03.51
1,590,6
76.14
2,012,4
53.68
Sr. No. Years India’s Total
Import
Import from
Japan
%Share of Japan
(Import/ Total
Import)
%Growth
1 2011-2012 234,546,324.45 5,767,103.11 2.4588 46.71
2 2012-2013 266,916,195.69 6,754,720.77 2.5307 17.13
3 2013-2014 271,543,390.74 5,721,168.94 2.1069 -15.30
4 2014-2015 273,708,657.84 6,199,039.65 2.2648 8.35
5 2015-2016 249,030,553.78 6,449,314.69 2.5898 4.04
6 2016-2017 257,767,536.68 6,541,452.47 2.5377 1.43
7 2017-2018 300,103,343.35 7,074,524.84 2.3574 8.15
8 2018-2019 359,467,461.19 8,927,838.13 2.4836 26.20
9 2019-2020 336,095,445.61 8,803,362.83 2.6193 -1.39
10 2020-2021 291,595,770.04 8,081,915.37 2.7716 -8.20

9. AL
APPLIANCE
S; PARTS
THEREOF.
2 85 ELECTRICA
L
MACHINER
Y AND
EQUIPMEN
T AND
PARTS
THEREOF;
SOUND
RECORDER
S AND
REPRODUC
ERS,
TELEVISIO
N IMAGE
AND
SOUND
RECORDER
S AND
REPRODUC
ERS, AND
PARTS.
649,13
4.55
695,44
8.60
638,73
5.27
587,03
3.75
724,47
9.66
765,63
7.88
861,07
7.46
984,20
2.90
961,42
3.60
773,77
0.95
982,56
7.73
3 72 IRON AND
STEEL
617,30
5.95
891,31
8.84
776,97
7.87
890,42
6.77
972,59
5.65
623,79
1.01
753,81
6.48
879,66
1.63
748,39
2.61
503,85
5.33
753,71
9.75
4 87 VEHICLES
OTHER
THAN
RAILWAY
OR
TRAMWAY
ROLLING
STOCK,
AND PARTS
AND
ACCESSORI
ES
THEREOF.
310,22
7.52
322,56
4.46
319,34
3.54
337,35
3.68
341,14
0.60
384,36
4.49
410,73
8.63
343,07
2.53
315,96
3.72
309,38
6.86
569,01
7.76
5 98 PROJECT
GOODS;
SOME
SPECIAL
USES.
300,47
6.29
210,48
8.29
87,767.
48
176,46
7.83
159,42
9.88
110,13
5.54
148,42
7.11
68,782.
38
128,55
9.13
82,544.
47
68,498.
53
6 90 OPTICAL,
PHOTOGRA
PHIC
CINEMATO
294,26
4.62
335,80
4.26
330,40
8.48
333,26
8.39
374,66
5.86
428,83
0.56
451,92
2.79
527,07
6.15
499,42
2.58
413,54
4.76
521,33
5.39

10. GRAPHIC
MEASURIN
G,
CHECKING
PRECISION,
MEDICAL
OR
SURGICAL
INST. AND
APPARATU
S PARTS
AND
ACCESSORI
ES
THEREOF;
7 28 INORGANIC
CHEMICAL
S; ORGANIC
OR
INORGANIC
COMPOUN
DS OF
PRECIOUS
METALS,
OF RARE-
EARTH
METALS,
OR RADI.
ELEM. OR
OF
ISOTOPES.
54,717.
89
57,334.
06
59,972.
14
48,533.
78
90,339.
77
97,450.
95
149,81
0.84
148,95
7.93
244,75
3.34
747,44
8.07
1,236,5
27.15
8 74 COPPER
AND
ARTICLES
THEREOF.
21,182.
60
24,809.
41
35,684.
60
79,715.
27
67,313.
93
47,301.
62
154,88
2.18
346,93
8.89
597,50
7.35
733,14
6.70
888,21
0.37
9 29 ORGANIC
CHEMICAL
S
181,82
6.76
202,43
2.92
233,59
3.47
252,48
8.94
266,30
5.13
281,48
5.21
304,25
9.59
658,69
4.41
494,50
0.39
489,73
7.25
579,86
7.06
1
0
89 SHIPS,
BOATS
AND
FLOATING
STRUCTUR
ES.
63,207.
70
599,19
9.87
262,81
3.84
579,50
6.07
277,18
4.88
300,06
2.79
248,49
7.91
160,30
4.11
217,25
2.67
194,74
5.86
180,78
7.19
The trade between India and Japan is in deficit from the aspect of India. Japan’s exports i.e., import of goods from Japan to India
dominate by highly capital and knowledge intensive manufactured goods, which is nuclear reactors, boilers, machinery and mechanical
appliances, parts thereof during the period of 2011-12 to 2021-22.

11. From 2011-12 to 2021-2022, these capital and knowledge-intensive goods, imported from Japan are at the top of the imported list Rs.
18,55,332.71 in 2011-12 to Rs. 20,12,453.68 in 2021-22. However, there is fluctuation in the import of nuclear reactors, boilers,
machinery etc.; comes in the category of capital and knowledge intensive manufactured goods, i.e., there is a rise and fall – rise and fall
in the number of imports. These capital and knowledge intensive manufactured goods alone account for nearly half of India’s imports
from Japan. No doubts, Japan helps India in technology and nuclear energy which make India strong at some point, but it also creates a
deficit in India’s economy. They have consistency ranked as the top imports from Japan in last few years. Here, top 5 imported products
of India from Japan-
1) Nuclear reactors, boilers, machineries, and mechanical appliances parts thereof.
2) Electrical machinery and equipment and parts thereof sound recorders and reproducers, television image and sound
recorders and reproducers and parts.
3) Iron and steel.
4) Optical photographic cinematographic measuring, checking precision medical or surgical institution and apparatus parts
and accessories thereof.
5) Vehicles other than railway or tramway rolling stock, and parts and accessories thereof.
Import
1) Nuclear reactors, boilers, machinery, and mechanical appliances; parts thereof: -
The highest imported item from Japan whose growth increased positively over the period. It was maximum in 2018-
19(2382010.84) in comparison of previous years.
2) Electrical machinery and equipment and parts thereof: -
We analyze the growth of this commodity it can be very well seen from 2015-16(7,24,479.6) to 2018-19(9,84,202.9). In 2019-20
and 2020-21, import slow down to (9,61,423.6) and (7,73,770.9) respectively. But in 2021-22 growth increased (9,82,567.7).
3) Iron and steel: -
As shown in the table the growth of iron and steel fluctuate in everyone and two years from increase to decrease and vice-versa.
It was maximum in 2015-16 (9,72,595.6) during the period of 2011-12 to 2021-22.
4) Vehicles other than railway or tramway rolling stock and parts and thereof: -
Its growth was maximum in 2021-22 (5,69,017.7) but before 2021-22, it decreases down from the year 2018-19 (3,43,072.53) to
2020-22 (3,09,386).
5) Project goods: -
Project goods imported maximum in 2011-12 (3,00,476.29) during the period after which it decreased expect some slight
increase in some selective years.
6) Cinematographic measuring, medical or surgical institutions and apparatus parts and accessories thereof: -
The growth of this commodity is very well on an average like it can be seen it import decline in any year, it would be a slight or
negligible difference.
Its maximum growth was 5,21,335.39 in 2021-22.
7) Organic and Inorganic compounds and chemicals: -
As we analyze the table the import of organic and inorganic compounds and chemicals is pretty good as it only increases from
2011-12(54,717.89) to 2021-22 (12,36,527.1) except 2014-15(48,533.78) and 2018-19(1,48,957.93).

12. 8) Copper and articles thereof: -
The import of this commodity showed positive growth during these 11 years study except in 2015-116 and 2016-17, with
(67,313.93) and (47,301.62). Its maximum import is in year 2021-22(8,88.210.37).
9) Organic Chemicals: -
The value of import of organic chemicals increased year after year except last three years during 2011-12 to 2021-22.In 2018-19,
Organic chemical imported maximum 6,58,694.4.
10) Ships, Boats, and Floating Structures: -
The import of this commodity fluctuates between growth and decline.
Its maximum import is in year 22012-13 with 5,99,199.87.
Economic relation between India and Japan
GDP Growth %
Years India Japan
2011 6.6 0.0
2012 5.5 1.4
2013 6.4 2.0
2014 7.4 0.3
2015 8 1.6
2016 8.3 0.8
2017 6.8 1.7
2018 6.5 0.6
2019 3.7 -0.4
2020 -6.7 -4.6
2021 8.7 1.7

13. INDIA’s GDP GROWTH RATE IN THE PAST 11 YEARS (2011-21)
If we observe the past 11 years trends for the GDP growth rate in India, we can see that India’s GDP growth rate has been a factor of both
country’s internal decisions and external global factors. India’s GDP growth rate in 2011 was (6.6%) which decline to (5.5%) in 2012,
from 2012 the GDP kept growing until 2016 (8.3%). The decreasing trend continued from 2017 (6.8%) till the GDP reached negative in
2020 (-6.7%). The reasons behind this decline were uncontrollable fiscal deficit, government and political unrest, economic disparity,
demonetisation and of course COVID 19 pandemic in 2020 which reached our economy to negative.
However, after this pandemic the scenario has been converted into a positive end in the year 2021, when the India’s GDP growth took a
boost with a rise of 8.9% where healthcare has been a major contributing factor.
Reasons for decline in India’s GDP
The flexibility of India’s growth process was on display in recent years when the country recuperated fastly from the impact of three
major events- demonetization, implementation of goods and service tax (GST) and the pandemic COVID-19.
Demonetization and GST an indirect tax reform, important for economy. We proclaim that the announcement to growth rates below 7%
between 2016-17 and 2017-18 was a deviation, ascribed to temporary representation in economic activity as the economy altered to
demonetization and make businesses ready for the implementation of GST.
After growing at positive rates for years, India’s economy had begun to decline before the COVID-19 pandemic. Between 2017 and 2020
growth slow down from 6.8% to -6.7%, with weakness in all sectors (service and manufacturing), ultimately leads to financial crises in
Indian economy.
In 2021, the economy came on track by 8.7%. In response of COVID-19 shock, the government and RBI took some monetary and fiscal
policy measures to help endangered firms and households, expand health service delivery (by increased spending on health and social
protection) and protect the economy.
-8
-6
-4
-2
0
2
4
6
8
10
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
GDP GROWTH %
India Japan

14. FDI INFLOW FOR ALL SECTORS IN INDIA
In spite the impact of COVID-19, the total foreign direct investment inflow into India outstretched new level at nearly 5.9 billion US
dollars in 2022.
The Indian government has been earnestly running towards reaching its target of 100 billion US dollars’ worth of FDI inflows by 2020
various policy and financial reforms in investment procedure. This appeared to be share of FDIs of the country increased by 20% in 2020.
According to UN report in 2019, India was ranked among the top 20 host economies for FDI inflows. Singapore was the leading investors
in the country with FDI equity investments which is amounting to over 100 billion US dollars in 2021, followed by the USA and
Mauritius.
JAPAN’s GDP GROWTH RATE IN THE PAST 11 YEARS (2011-2021)
Japan has one of the highest GDP, one of the lowest inflation rates, and ranks among the top three countries in terms of the largest overall
GDP. Japan is disadvantaged, however, when it comes to natural resources.
Japan’s GDP growth rate in 2011 was (0.0%) which keep rising till 2013 (2.0%), from 2016(0.8%) the GDP kept declining till negative in
2020 (-4.6%) except the year 2015 when the GDP was (1.7%). There is a shrink in Japan’s economy and the reason behind the shrink is
trade deficit, industrial production, and quarterly GDP growth and of course the pandemic called COVID-19, etc.
However, as we can see 2021 ends with a positive note in the perspective of GDP. In 2021, the GDP rise to (1.7%) instead of pandemic.
Reasons for decline in Japan’s GDP
Japan is the world’s third largest economy in the world and the second largest developed economy. The Japanese economy contracted
because of many events, here we discuss three main events- earthquake and tsunami, slow trade friction and COVID-19. In March 2011,
earthquake and tsunami occurred in Japan followed by the nuclear crises are having a huge negative impact on the economy of Japan but
lesser effect on world trade and financial markets. In 2011, the GDP of Japan was 0.02%. Japan lost physical and human capital.
The Japanese economy shrinks as the companies slashed spending, intimidating to chill the investment outlook in 2019 as the export-
relying on nation grasping with slowing global growth and trade agitation. The GDP in 2019 slow down to -0.4% and it became more
worst in 2020 because of COVID-19 infections which lead the economy to -4.6%. COVID hit the economy more than the expectation.
Capital expenditure also fell unexpectedly and export growth
decline sharply, a sign that world’s third- largest economy is struggling to pull it out.
FDI INFLOWFORALL SECTORS IN JAPAN
Inward FDI to world third largest economy has remained low. FDI inflow to Japan increased to 24.65 billion US dollars in 2021,
following a decline during the COVID-19. Japan is among the largest investors in FDI but inflow of FDI in Japan have remained low.
According to ‘Ministry of Finance and Bank of Japan’ the manufacturing industry accounted 3.2% and non-manufacturing industry
accounted for 96.8% in 2020. The highest amount of inward FDI flows came from Hong Kong, the United States and Singapore.
Over the past decade the government of Japan has created a range of incentives to attract investment from foreign land and raise Japan as
an end of the line for FDI. Recently, Japan has followed the example of other economies in screwing the regulations on inward FDI in
definite industries with an altered version of Foreign Exchange and Foreign Trade Act.

15. CONCLUSION
Over the past few years, uniform commitment between both countries- India and Japan has transmitted the bilateral relationship, into
a remarkable, tactical, and extensive one. Both the countries have been keen on reinforcing the ties in both defense and economic
territory and are functioning towards frow as a significant and dominant force in the future Asia-Pacific landscape. Most importantly
both economies have interdependent in their export structure and making the trade attainable between them. There is a need of
thoroughly analysis to examine the turn down in trend in Indo-Japanese trade. This analysis should consider both economic and non-
economic factors, India’s export facing problems due to non-tariff import of Japanese products. India and Japan should survey the
possibility of advantages trading arrangement keeping in view short-term and long-term objective. It should ideally be on the pattern
of open regionalism.
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