During our discussions on the renewal of the trade agreement between Austria and India, I had asked austria to commit to extending to India the import liberalisation that Austria has granted to E.E.C countries. I pointed out that India, a member of the Sterling region, makes its trade with Austria the EU in the same way as Austria`s trade with the United Kingdom and its dependent companies. , who are already benefiting from the liberalisation, and a number of other O.E.C members of imports from India, a treatment similar to that of imports from OM countries. C E. For these reasons, I expressed the hope that your government would be able to comply with this request. As part of the ongoing trade negotiations, I took the opportunity to draw attention to Austria`s particular interest in the supply of electrical equipment, machinery and equipment as well as costumes to India. It was explained to me that the issuance of import certificates against applications by Indian companies for products in accordance with applicable Indian rules depends exclusively on the compliance of applications submitted to the technical specifications set from time to time by the Central Water and Energy Commission and the Ministry of Food and Agriculture and , for this reason, that a guarantee for minimum imports from Austria does not matter practically. The Austrian economy is heavily dependent on foreign trade, accounting for 105.4% of GDP (World Bank, 2018). Trade with EU countries accounts for almost 70% of total trade.
The country`s main export products are machinery, iron and steel, vehicles, and cork and wood. Its main imports are machinery, vehicles and oil. Germany is by far Austria`s preferred partner for imports and exports. In 2018, Austrian exports to Germany accounted for 30% of total exports, while imports accounted for 35.5%. With the exception of the United States (Austria`s second largest export destinations) and China (third main supplier), the country negotiates mainly with its neighbouring countries, Italy, Switzerland, France and the Czech Republic. The manufacturing industry is well integrated into the German value chain. Austria therefore remains dependent on economic conditions in Germany and other Central and Eastern European countries. Austria is part of the harmonised european union (EU) trading system and imports and exports are covered by EU regulations. Austria imports more goods than it exports, $193.7 billion compared to $184.8 billion in 2018 (WTO data), but its current account has been in surplus since 2002 and will improve further thanks to services exports, which amounted to $73.6 billion, while imports amounted to $61.5 billion. In 2018, imports of goods and services accounted for 52% of GDP, while exports of goods and services accounted for 55.8% of GDP. According to OECD data, imports of goods reached $170.1 billion between January and November 2019 and exports amounted to $164.3 billion, representing a deficit balance of $5.8 billion. However, services exports are less volatile than exports of goods and therefore have a stabilizing effect on Austrian foreign trade.