Slovenia-India Exports: A Comprehensive Analysis

The Growing Economic Partnership of Slovenia and India through Slovenia-India Exports

The Economic Complexity Index (ECI) assesses a country's productive output, export volume, and unique product manufacturing, revealing its economic complexity and knowledge embedded in its economy. The ECI encompasses a diverse range of products, including highly specialised goods, intermediate goods, and low-complexity goods, all of which require advanced knowledge and skills. Products are sorted into different hierarchical classification systems, with the most prevalent being updated versions of the Harmonized System (HS). This internationally standardised system assigns a unique code to each traded product, facilitating uniformity in customs procedures, trade documentation, and the assessment of duties and taxes.

India is a key player in international trade, with a diverse and rapidly growing economy spanning various sectors (employment is forecasted to be 51.6% in 2024). Slovenia, a Eurozone member, is a small, export-oriented economy with a tertiary sector dominating its GDP and employing 62% of its workforce.

Let us have a look at the trade between Slovenia and India.

Gross Domestic Product

In 2022, the tertiary sector was the largest contributor to India's GDP, accounting for almost half of it in 2022, followed by the secondary sector, which includes industries like manufacturing, and the primary sector, mainly agriculture, with a smaller share in GDP.

In 2022, the services sector (57.71%) was the largest contributor to Slovenia's GDP, followed by the industrial sector (28.48%), while the primary sector, including agriculture (1.69%), had a smaller contribution.

Slovenia-India Exports in 2021

Slovenia exports were valued at $240M to India. The main products that Slovenia exported to India are Nucleic Acids ($32.5M), Cars ($18.3M), and Antibiotics ($12.5M). During the last 26 years, Slovenia's exports to India have increased at an annualised rate of 8.05%, from $32M in 1995 to $240M in 2021.

India exports were assessed $497M to Slovenia. The main products that India exported to Slovenia were Packaged Medicaments ($69.3M), Nitrogen Heterocyclic Compounds ($63.7M), and Raw Aluminium ($41M). During the last 26 years, India's exports to Slovenia have increased at an annualised rate of 14.1%, from $16.2M in 1995 to $497M in 2021.

Economic Complexity Index

Slovenia ranked 12th in the Economic Complexity Index (ECI 1.42) and 57th in total exports ($46.7B). The same year, India ranked 41 in the Economic Complexity Index (ECI 0.61) and 14 in total exports ($403B).

Countries That Imported More

Countries that imported more from Slovenia than India were Croatia ($3.64B), Switzerland ($4.98B), and Austria ($3.05B).

Countries that imported more from India than Slovenia were the United States ($71.2B), United Arab Emirates ($25.4B), and China ($23.1B).

Net Trade

Slovenia had a large net trade with India in the exports of Machines ($67.6M), Chemical Products ($59M), and Metals ($32.9M).

India had a large net trade with Slovenia in the exports of Chemical Products ($191M), Metals ($88.6M), and Machines ($72.4M).

Services

Slovenia exported services to India worth $9.14M, with Insurance services ($3.77M), other business services ($2.17M), and Transportation ($1.83M) being the largest in terms of value. 

A fascinating picture emerges when examining the economic ties between Slovenia and India through the lens of the Economic Complexity Index (ECI). The ECI serves as a powerful tool, unravelling the intricacies of a country's economic landscape and showcasing the diversity of its products and the depth of knowledge embedded within its industries.

India, a juggernaut in international trade, boasts a rapidly growing economy spanning various sectors. The diversity of its economic activities is reflected in the tertiary, secondary, and primary sectors, each contributing significantly to its Gross Domestic Product (GDP). Slovenia, on the other hand, with its position in the Eurozone, stands as a small yet dynamic player in global trade, with a dominant tertiary sector shaping its economic landscape.

A noteworthy exchange of goods and services marks the trade relationship between these two nations. Slovenia's exports to India, encompassing products like Nucleic Acids, Cars, and Antibiotics, highlight the intricacies of its economic output. Conversely, India's exports to Slovenia, including Packaged Medicaments, Nitrogen Heterocyclic Compounds, and Raw Aluminium, showcase the breadth of its industrial prowess.

The Economic Complexity Index for both nations provides additional insight into their economic structures, with Slovenia at 12th place globally and India at 41st. These rankings underscore the diverse and sophisticated nature of their respective economies.

As we delve into the specifics of trade volumes, it becomes evident that the bilateral trade relationship is thriving. Over the past 26 years, both countries have witnessed substantial growth in exports, with India's exports to Slovenia increasing at an annualised rate of 14.1%, reaching $497 million in 2021.

Looking beyond the numbers, the net trade figures shed light on the specific sectors driving this economic dance. Slovenia and India engage in substantial trade in areas such as Machines, Chemical Products, and Metals, each nation benefiting from the unique strengths of the other.

In the services sector, Slovenia's export of services to India, valued at $9.14 million, further underscores the depth of their economic collaboration. Insurance services, other business services, and Transportation stand out as key contributors to this vibrant exchange.

In conclusion, the economic dynamics between Slovenia and India are complex, multifaceted, and promising. As these nations continue to strengthen their trade ties, the Economic Complexity Index remains a crucial guide, unravelling their economic partnership, signalling not just the exchange of goods and services but the exchange of knowledge, innovation, and prosperity.