Indian Economy News

India's efforts to diversify trade across geographies and sectors are paying off: Commerce Secretary

According to Commerce Secretary Mr. Rajesh Agrawal, India’s ongoing effort to create a more diverse trade landscape across several sectors and geographies has resulted in increased resilience of India’s external sector. He pointed out that India’s export strategy has evolved from one focused primarily on expanding access to markets traditionally supported by Indian exports, to now including products with greater value-added content. Thus, India’s exports have continued to grow in both merchandise and services despite the volatility of global demand and uncertainties created by geopolitical issues. The use of policy initiatives such as production-linked incentives, specific export promotion programs, and trade facilitation reform has significantly enhanced India’s competitive position in the global economy and improved the ability of India’s manufacturers to integrate into the global supply chain. Mr. Agrawal emphasized that through stronger relations with developed economies and engagement with emerging markets, India is developing a more balanced and diverse trade portfolio.
India's diversification strategy aims to create a strong manufacturing base and further integrate India's local businesses into the global value chain. Improving access to financing for micro, small, and medium-sized enterprises (MSMEs), assisting with Technology Adoption, and improving Logistics, has given exporters new opportunities across numerous sectors. Concurrently, India's proactive trade diplomacy (Free Trade Agreements; Bilateral Partnerships) is creating new opportunities for exporters free from having to be concentrated in any one single market. Even with global challenges facing the Commerce Secretary stated that India's continued policy support, infrastructure improvements, and quality standards are likely to support continued export growth. This new trade environment has demonstrated India's ability to adjust to the changing global landscape and reinforce confidence in prospects. 

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