Government implements comprehensive measures to boost exports and strengthen domestic manufacturing

The Government of India is actively working to expand the country’s export base, with a strong emphasis on enabling Micro, Small, and Medium Enterprises (MSMEs) to participate in global trade. Recent measures include export incentives, trade promotion events, and the use of digital platforms to streamline regulatory processes. A key thrust has been on expanding market access through Free Trade Agreements (FTAs), highlighted by the signing of the Comprehensive Economic and Trade Agreement (CETA) with the United Kingdom (UK) on July 24, 2025. Negotiations with the European Union for an FTA are also underway, targeted for completion by the end of this year. On the domestic front, the Production Linked Incentive (PLI) schemes, covering 14 key sectors such as electronics, pharmaceuticals, solar PV modules, and automobiles, have boosted local manufacturing and exports while attracting large-scale investments. These schemes have already resulted in job creation, reduced import dependency, and enhanced India’s role in global supply chains.

To strengthen infrastructure and reduce logistics costs, the Government has launched transformative initiatives such as the National Logistics Policy (NLP) and PM Gati Shakti, which focus on developing multimodal connectivity, removing bottlenecks, and integrating technology for smarter supply chain management. The National Industrial Corridor Development Programme (NICDP) complements these efforts by establishing globally competitive manufacturing hubs with robust links to both domestic and international markets. Grassroots initiatives like Districts as Export Hubs (DEH) and E-Commerce Export Hubs (ECEHs) are further enabling small businesses, start-ups, and artisans to access international markets with reduced costs and simplified processes. Notable successes include the sharp rise in mobile phone exports under the electronics PLI scheme, which grew from Rs. 1,500 crore (US$ 172 million) in 2014-15 to over Rs. 2,00,000 crore (US$ 23 billion) in 2024-25, making India the world’s second-largest mobile phone manufacturer. Similarly, the pharmaceuticals PLI scheme has helped India transition into a net exporter of bulk drugs. Together, these measures reflect a comprehensive vision to boost exports, build self-reliance, and strengthen India’s position in the global economy.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.