India needs sector-specific export strategies to reach $2 trn target
Competitiveness across the exports value chain is the key to India's exports growth and its sustainability, says IIPMB Director
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New Delhi There is a need to develop sectoral strategies for enhancing export competitiveness, especially for electronics, engineering, pharmaceutical, and high-tech industries with a view to increase India's outbound shipments to $2 trillion by 2030, a trade expert said on Tuesday.
To achieve the target of $2 trillion in services and goods exports by 2030, India requires an export growth of 14.5 per cent per annum. "Competitiveness across the exports value chain is the key to India's exports growth and its sustainability. In addition to generalised strategies, India needs to evolve sectoral strategies for export competitiveness, especially for engineering goods, pharmaceutical, electronics, and high-tech industries," Indian Institute of Plantation Management Bengaluru (IIPMB) Director Rakesh Mohan Joshi said.
Sectors like polished diamonds, jewellery, passenger cars, telecommunication equipment would help in increasing the shipments. In terms of countries, tremendous unexplored potential is there in China, the UAE, Hong Kong, Germany, Vietnam, the UK, Indonesia, Malaysia, Saudi Arabia, France, Italy, Thailand, Türkiye, Japan, South Korea, Mexico, and Belgium. He said that adopting modern technology in the collection, assimilation, processing, and disseminating real-time information across stakeholders is extremely important to bridge the information gap between the exporters and the various government departments.
Joshi also said that effective strategic response is required to ever-evolving non-tariff barriers especially by developed countries such as technical barriers, quality, sanitary and phytosanitary (related to plants and animals) requirements, sustainability, and labour issues in bilateral and multilateral negotiations, besides taking effective remedial measures at the domestic front. "India needs to closely monitor the re-emergence of protectionist policies in the developed countries such as the Chips Act to facilitate semiconductor manufacturing in the US and the European Union," he added.
Roadmap for $2 trn export target
• India requires an export growth of 14.5% per annum to achieve 2 trn export target
• Sectors like polished diamonds, jewellery, passenger cars, and telecommunication equipment would help in increasing the shipments
• Adopting modern tech extremely important to bridge the info gap between the exporters and the various govt depts
• Effective strategic response is required to ever-evolving non-tariff barriers
• India needs to cautiously negotiate and monitor its free trade agreements (FTAs)
