The document provides information about trade relations between India and Saudi Arabia. It discusses the countries' geography, governments, top exports and imports, reasons for trade fluctuations, and trade agreements. Key points include: - Mineral oil, fuel and organic chemicals are highly traded commodities, with India importing more organic chemicals. - Top exports from India to Saudi Arabia include cereals, machinery and vehicles. Top imports to India are mineral oil, organic chemicals and plastics. - Trade between the two countries was $48 billion in 2013-14 but dropped to $39 billion in 2014-15, with Saudi Arabia being one of India's top trading partners. - Recent agreements focus on investment, taxation,

1. Submitted by: Vaishali Rani, M.COM
Department of commerce , KUK.
Submitted to : Dr. J.K. Chandel, KUK

2. Content:-
 Geography
 Government
 Trade tends
 Reasons for trade cycles
 Top 10 Export items
 Top 10 Import items
 Interpretation
 Trade relations
 FDI from Saudi Arabia
 Top 5 Saudi Arabian companies in India
 Top 5 Indian companies in Saudi Arabia
 Tourism

3. Geography Location
Middle eat Boardering with Red Sea
North of yemen.
 Area: 21,49,690 sq/km
 Land :21,49,690
 Water: 0
 Natural resources:
Petrolrum, Natural gas, iron ore,
gold , copper
Known for: Birthplace of “Islam”
Holy places: Mecca and Madina
Largest city: Riyad and jeddah

4. Government
 Type: Absolutely Monarchy
 National colour: Green and white
 National symbol: two crossed swords with
a palm tree in the space
above and between the blades.
 Capital : Riyad
 Currency: Riyal
 National holiday: 23rd sept.

6. Sr.
No.
Particulars 2011-2012
(in lacs)
2012-2013
(in lacs)
2013-2014
(in lacs)
2014-2015
(in lacs)
2015-2016
(in lacs)
1 Export 2720819.82 5324443.04 7386393.58 6802968.33 4179644.33
2 %Growth 95.69 38.73 -7.9 -38.56
3 India’s total export 146595939.
96
163431828.
96
190501108.8
6
189634841.
76
171637804.5
8
4 %growth 11.48 16.56 -.45 -9.49
5 %share 1.86 3.26 3.88 3.59 2.44
6 Import 15310994.21 18468480.0
0
22051549.2
8
17122086.51 13257997.9
6
7 %growth 20.62 19.40 -22.35 -22.57
8 India’s total
import
234546324.
45
266916195.
69
271543390.
74
273708657.
84
249029808
.12
9 %growth 13.80 1.73 .80 -9.02
10 %share 6.53 6.92 8.12 6.26 5.32
11 Total trade 18031814.03 23792923.0
4
29437942.8
6
23925054.8
4
17437642.31

7. 12 %growth 31.95 23.73 -18.73 -27.12
13 India’s total trade 381142264.
41
430348024.
65
462044499
.60
463343499.
59
420667612.
70
14 %growth 12.91 7.36 .28 -9.21
15 %share 4.73 5.53 6.37 5.16 4.15
16 India’s Trade
balance
-
87950384.4
9
-
103484366.
72
-
81042281.8
8
-
84073816.0
8
-
77392003.5
4
Continued….

8. Reasons for trade fluctuations
 The biggest reason of contraction of trade is a slump in the
Prices of Oil . This proved as boon and bane as well, Boon
because of decrease in imports and Bane because of
reduction in exports. Because India is big exporter of Oil
products.
 The another biggest reason of contraction of trade is a slump
in the Prices of Gold. As Gold being a luxuries item has +ve
relation with prices made contraction in India’s total export.
India is biggest exporter of jewellery items to UAE.
 The other reason of decrease in total trade of india is that
China devalued its currency that also made huge lose to
India’s Exports.

9. Top 10 export Items
S.
No.
HS
Code
Commodity 2015-2016
(in lacs)
2016-2017
(Apr-June)
(in lacs)
27 27 Mineral fuel, oil, Bituminous substance 9,48,081.49 343110.54
10 10 Cereals 604755.29 376142.42
83 84 Nuclear Reactors, Boiler machinery 288971.97 15371567
29 29 Organic chemicals 258068.49 224460.94
73 73 Articles of iron and steel 193303.90 184004.62
86 87 Vehicles other than railway, Accessories 172038.95 125449.49
2 2 Meat and edible meat 160373.41 101361.84
69 69 Ceramic products 148030.82 116344.83
84 85 Elec machinery, television, sound
recorder
121393.46 77915.83
62 62 Clothing, Not knitted 112653.08 136378.93

10. Top 10 import items
S. No. HS
Code
Items 2015-2016
(in lacs)
2016-2017
(Apr-June)
(in lacs)
15 27 Mineral oil, fuel, waxes, Bituminous
substances
98,94,280.77 83,31,711.36
17 29 Organic chemicals 8,34,514.52 8,59,726.55
25 39 Plastics and articles thereof 5,61,428.14 4,97,114.19
62 88 Aircraft, spacecrafts 5,32,432.07 60,317.13
19 31 Fertilizers 4,47,374.29 2,69,685.91
49 71 Pearl, Stones , Metals, coins 3,71,831.68 2,60,300.59
54 76 Aluminum, Articles 1,19,341.10 1,09,703,80
16 28 Inorganic chemicals, Isotopes 148,831.55 67,821.66
52 74 Copper and articles 87,439.78 61,296.87
24 38 Miscellaneous chemicals 65,316.02 54,573.32

11. Interpretation of Exported and
Imported items……
 The export import commodity table shows that mineral oil
fuel and bituminous substances are highly exported and
imported, but waxes are the only commodity that is only
imported.
 Import of Organic chemicals exceeds its export by
Rs.5,76,449.03 lacs in 2015- 2016 .
 In 2016-2017 There is decrease in the quantity of exports of
top 10 earlier exported commodities .
 In 2016-2017 there is decrease in imports as well in top 10
commodities.

12. Trade relations
 India and Saudi Arabia share robust bilateral trade relations
that have risen steadily since the mid-2000s. In 2010-11, total
trade was $25 billion. Trade reached $48 billion in 2013-14 but
dropped to $39 billion in 2014-15.
 Saudi Arabia has been one of India’s top five trading partners
during the last decade. It is also the largest supplier of crude
oil to India. India imports 90 percent of Indian imports from
Saudi Arabia consist of petroleum.
 In 2012, Saudi Arabia came to India’s rescue by increasing oil
exports to compensate for the deficit caused by sanctions on
the Iranian oil industry.

13.  MOU on establishment of joint business council between council
of Saudi chamber of commerce and industry(CSCCI) and
federation of Indian chambers of commerce and industry(FICCI).
 Agreement of avoidance of double taxation and prevention of tax
evasion(DTAA).
 Agreement on labour cooperation for domestic service workers
recruitment.
Recent Agreements signed in 2016:
 Executive programme for cooperation in the field of handicrafts
between Export promotion council for handicrafts and Saudi
commission for Tourism and National Heritage.
 MOU between financial intelligence unit of India and Saudi
Arabia concerning cooperation in exchange of intelligence related
money Laundering, Terrorism and Related crimes.
 Framework for investment proposal cooperation between invest
India and Saudi Arabian General investment Authority(SAGIA).

14. Cumulative FDI from Saudi Arabia
From April 2000 to 2015 as per DIPP
Name of country Amount of FDI inflow %age Growth
Saudi Arabia
In Rs. crore In $ millions
0.02
270.43 53.37

15. Top 5 Saudi companies operating in
India:
Arabian
bank

16. Top 5 Indian companies operating in
Saudi Arabia

17. Tourism!!!