India’s exports can cross $ 2 trillion in next six to seven years with merchandise and services sectors chipping in with a trillion dollars each, commerce and industry minister Piyush Goyal said Monday.
He said the target for $ 2 trillion of exports was 2030 earlier but due to two years lost to COVID this target will be achieved by 2032.
In 2025-26 the ministry is expecting overall exports to touch $ 860 billion with services contributing $ 10 billion. India’s overall exports stood at $ 825.25 billion with services contributing $ 387.54 billion.
What did Piyush Goyal say?
“This year too our exports are on a growth trajectory. In the first two weeks of February we have seen double digit growth in our exports. The target is large. Potential is humongous,’ Goyal said at the first National Quality Conclave, organised by the Department for Promotion of Industry and Internal Trade (DPIIT).
Highlighting India’s expanding trade outreach, he said that nine Free Trade Agreements finalised in the past three to three-and-a-half years with 38 developed countries now cover nearly two-thirds of global GDP and trade. These agreements, he noted, open new opportunities in sectors such as textiles, leather, footwear and pharmaceuticals, provided Indian products consistently meet the highest global benchmarks.
To help exports the government has announced an Export Promotion Mission (EPM) with an outlay of Rs 25060 crore that will run till 2030-31. The minister said under the EPM funds will be provided to exporters for testing and approvals for their goods to enter the global markets.
“A large part of it (testing and approvals) will be funded by the government to support micro and small industries. Whether it is REACH regulation of Europe that needs extensive testing or carbon Border Adjustment Mechanism (CBAM) verification to bring down your cost of carbon tax in Europe,’ Goyal said.
CABM tax
Under the CBAM. the European Union will impose tax on seven products, including steel and aluminium, where carbon emissions exceed prescribed limits.
EU REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals) is in force since June 1, 2007. It mandates that companies manufacturing or importing substances into the EU to register with the European Chemicals Agency for safety compliance.
He also promised support for verification, testing or any other costs to overcome Non Tariff Barriers (NTBs), Technical Barriers to trade (TBT) or Sanitary and Phytosanitary measures.