India Emerges as Fourth Largest Exporter of Digitally Delivered Services: WTO Report

April 11, 2024

According to a report on Global Trade Outlook and Statistics released by the World Trade Organization (WTO), India has now become the fourth largest exporter of digitally delivered services. The country’s share in international trade in services has increased to more than a fifth. In 2023, India’s digitally delivered services exports were estimated at $257 billion, which is 17% higher than the previous year.

This growth has allowed India to surpass Germany in the rankings, but it still lags behind the United States, the United Kingdom, and Ireland. Digitally delivered services, which include professional services in education, gaming, and streaming music and videos, have seen a significant increase over the past two decades.

They now account for over one-fifth of global services trade, compared to 14% in 2005. Despite the decline in goods trade due to the COVID-19 pandemic, exports of digitally delivered services have increased by 50% and are now higher than pre-pandemic levels.

The report also highlights the rapid increase in the use of artificial intelligence (AI) in creating content, such as text, images, music, and videos, which is expected to further boost trade in digitally delivered services.

The WTO expects the global economy and trade to improve, with a forecasted 2.6% increase in goods trade volume in 2024.

About World Trade Organization (WTO)

The World Trade Organization (WTO) is an international organization that regulates and facilitates global trade between nations. Established in 1995, it succeeded the General Agreement on Tariffs and Trade (GATT). The WTO provides a framework for negotiating trade agreements, settling trade disputes, and ensuring that member countries adhere to agreed-upon trade rules. It aims to promote free trade, reduce barriers, and foster economic growth and development. As of 2023, the WTO has 164 member countries.

About Digitally Delivered Services

Digitally delivered services are services provided and consumed through digital channels, such as the internet or mobile applications. These services span various industries, including e-commerce, online banking, streaming, software as a service, online education, telemedicine, and digital marketing. Digital services offer accessibility, cost-effectiveness, scalability, and personalization. However, they also face challenges related to data privacy, security, and the digital divide. As technology advances, the importance and scope of digitally delivered services are expected to grow.

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