Rs. 43,38,500 crore (US$ 500 billion) trade target with US to help boost India's exports: Exporters

India aims to boost bilateral trade with the United States to Rs. 43,38,500 crore (US$ 500 billion) by 2030, supported by plans to negotiate a bilateral trade agreement. Exporters believe this target, focusing on technology, defence, and green energy, will enhance India's export sectors and global competitiveness. President of the Federation of Indian Export Organisations (FIEO), Mr. Ashwani Kumar, highlighted the need to eliminate trade barriers and streamline processes to achieve these goals. Chairman of Hi-Tech Gears, Mr. Deep Kapuria, emphasised the significance of this target, particularly after Prime Minister Mr. Narendra Modi's high-level visit to Washington.  

In 2023, India’s trade with the US totalled Rs. 16,49,324 crore (US$ 190.08 billion), with a trade surplus in goods of Rs. 3,78,751 crore (US$ 43.65 billion) and a surplus of Rs. 56,140 crore (US$ 6.47 billion) in services. However, experts from the Global Trade Research Initiative (GTRI) caution against a comprehensive India-US free trade agreement (FTA). GTRI Founder Mr. Ajay Srivastava noted the US's preference for specific tariff deals over broad FTA-driven reductions and the limited expansion of business visas. India is also a member of the Indo-Pacific Economic Framework (IPEF), which covers many trade issues. Despite these challenges, he suggests focusing on sector-specific deals rather than a full FTA. 

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