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Mumbai: India has rolled out a series of targeted measures to boost exports and reinforce domestic manufacturing, with a clear focus on MSME participation and sectoral competitiveness. The initiatives span production-linked incentives, logistics reforms, trade agreements and grassroots export hubs — forming a multi-pronged strategy to position India as a global supply chain player.
A key highlight is the Production Linked Incentive (PLI) scheme, now extended across 14 sectors including electronics, pharmaceuticals, auto components and solar modules. These incentives have led to increased output, job creation and a marked rise in exports. In the medical devices segment alone, 21 projects have begun manufacturing 54 high-end products such as MRI machines, heart valves and CT scanners. In electronics, India has transitioned from being a net importer to a net exporter of mobile phones, with exports rising from ₹1,500 crore in 2014–15 to over ₹2 lakh crore in 2024–25. The country is now the world’s second-largest mobile phone manufacturer.
The pharmaceutical sector has also seen strong gains. Under the PLI scheme, cumulative sales have reached ₹2.66 lakh crore, including ₹1.70 lakh crore in exports over three years. India has reversed its trade position in bulk drugs, moving from a net importer status in FY 2021–22 to a net exporter, with a swing of over ₹4,000 crore.
To support these manufacturing gains, the government has launched the National Logistics Policy and PM Gati Shakti initiative. These aim to streamline the movement of goods, reduce costs and improve coordination across transport networks. The PM Gati Shakti National Master Plan is central to developing multimodal infrastructure, ensuring faster transit and better resource utilisation. Complementing this is the National Industrial Corridor Development Programme, which seeks to build globally competitive manufacturing hubs with strong connectivity to domestic and international markets.
Grassroots initiatives are also being scaled up. The Districts as Export Hubs (DEH) programme has identified export-ready products and services across 590 districts, with action plans addressing supply chain bottlenecks and proposing targeted interventions. Institutional mechanisms such as State Export Promotion Committees and District Export Promotion Committees have been set up to drive implementation.
In parallel, the E-Commerce Export Hubs (ECEH) initiative is being piloted to support SMEs and artisans in cross-border trade. These hubs will offer integrated services including customs clearance, packaging, quality certification and warehousing — all at a single location. Five pilot projects have been proposed, with the Directorate General of Foreign Trade inviting detailed submissions.
On the trade diplomacy front, India signed the Comprehensive Economic and Trade Agreement (CETA) with the United Kingdom on 24 July 2025, marking a significant step in expanding market access. Talks with the European Union are ongoing, with a deal expected by year-end. These agreements are expected to open new avenues for Indian exporters, particularly MSMEs, in sectors such as textiles, pharmaceuticals, and electronics.
Together, these measures reflect a strategic shift in India’s trade and industrial policy — one that blends top-down infrastructure planning with bottom-up export enablement. The emphasis on manufacturing depth, logistics efficiency and market diversification is designed to reduce import dependency and build long-term resilience in India’s export ecosystem.
(Write to us at editorial@bombaychamber.com)
