Govt unveils Key Measures to Boost Exports, Domestic Manufacturing

• CETA with the UK and EU FTA talks to expand markets for Indian businesses
• Drive investment, jobs, and exports in 14 key sectors
• Logistics policies and export hubs help businesses reach global markets

Recently, the Central Government announced a comprehensive program to increase exports and improve domestic manufacturing in India. Among the steps noted in the announcement by the Ministry of Commerce & Industry, initiatives will include production linked incentive (PLI) programs, new trade deals, upgraded logistics, and lower level export promotion programs designed to support the ability of Indian businesses to compete in global markets.

A main focus of these programs is to expand India's presence in world trade. On July 24, 2023, India signed the Comprehensive Economic and Trade Agreement (CETA) with the United Kingdom. This was a key milestone in facilitating trade between the two nations.

Negotiations with the European Union are also continuing, with the intention of a Free Trade Agreement by the year's end. All these agreements are anticipated to create new markets and opportunities for small and medium enterprises (SME's) and micro-businesses.

The PLI programs have been launched in 14 identified sectors like electronics, IT hardware, pharmaceuticals, solar modules and automotive to promote domestic industry and investment. These initiatives have driven investment, created jobs and boosted exports.

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In 2014-15, India exported Rs. 1,500 crores worth of mobile phones and in 2024-25, India exported over Rs. 2 lakh crores, establishing as the 2nd largest mobile manufacturer in the world. PLI programs in pharmaceuticals has transformed India into a net exporter of bulk drugs, which has lessened India's reliance on imports.

Other components of the government's approach are infrastructural and logistical efficiency. The National Logistics Policy (NLP) aim to reduce costs, remove bottlenecks in transport and increase opportunities for connectivity. The National Industrial Corridor Development Programme (NICDP) hopes to establish globally competitive industrial hubs on domestic and international markets.

Initiatives at the district level like Districts as Export Hubs (DEH) and E-Commerce Export Hubs (ECEHs) are providing small businesses and new ventures opportunities to tap into overseas markets. The Department of Commerce has completed District Export Action Plans for 590 districts, and five ECEH pilot initiatives are expected to start soon with simplified customs, packaging, and warehousing services.

The PLI scheme for medical devices, has reported 21 projects producing 54 advanced devices, including MRI machines, CT scanners and heart valves, by the Minister of State for Commerce & Industry, Jitin Prasada. These coordinated initiatives are moving towards developing a comprehensive, globally competitive manufacturing and export ecosystem in India.