How is the Government Enhancing Exports through Logistics Reforms?
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Synopsis
India is on a mission to boost exports through innovative logistics reforms and PLI schemes. Discover how MSMEs, trade agreements, and government initiatives are shaping the future of Indian exports. This article dives into the strategies that are making waves in the global market.
Key Takeaways
- India is enhancing exports through various logistics reforms.
- MSME involvement is being encouraged through targeted incentives.
- 14 PLI schemes are driving growth in multiple sectors.
- Recent trade agreements are set to boost international trade.
- Government initiatives aim to simplify export processes.
New Delhi, Aug 19 (NationPress) India is ramping up its initiatives to bolster exports by fostering MSME engagement, broadening Free Trade Agreements (FTAs), and introducing Production Linked Incentive (PLI) schemes, as reported to Parliament on Tuesday.
A total of 14 PLI schemes have been activated, alongside the National Logistics Policy (NLP), the National Industrial Corridor Development Programme (NICDP), and PM Gati Shakti, stated Jitin Prasada, Minister of State in the Commerce Ministry, in response to a Lok Sabha inquiry regarding actions taken to elevate India's export figures.
The government's focus on driving MSME involvement in international trade through export incentives, trade promotion activities, and digital platforms to simplify processes reflects its commitment in this area, the minister emphasized.
In July, a Comprehensive Economic and Trade Agreement (CETA) with the UK was finalized, and ongoing negotiations for the India-EU FTA aim for a conclusion by the end of the year, the minister disclosed.
The PLI schemes spanning 14 sectors, such as electronics, IT hardware, automobiles, and pharmaceuticals, have significantly boosted domestic production, job opportunities, and exports, according to the response.
The PLI Scheme for Large Scale Electronics Manufacturing has notably influenced the mobile manufacturing sector in India, with mobile phone exports skyrocketing from ₹1,500 crore in 2014-15 to over ₹2 lakh crore by 2024-25, the minister noted.
Moreover, the PLI Scheme for bulk drugs has positioned India as a net exporter of bulk drugs, achieving a trade surplus of ₹2,280 crore for the financial year 2024-25. In contrast, India was a net importer with a deficit of ₹1,930 crore in this sector during FY 2021-22.
Government initiatives like Districts as Export Hubs (DEH) and E-Commerce Export Hubs (ECEHs) are empowering SMEs, including startups, to compete on a global scale by lowering logistics costs and time, enhancing regulatory processes, and simplifying re-imports for e-commerce returns or rejects.
The ECEHs will offer consolidated services at a single location, which includes customs clearance, quality certification, packaging, and off-port warehousing.
Point of View
I believe that India's proactive measures to enhance exports demonstrate a commitment to not just economic growth but also to empowering small and medium enterprises. The integration of MSMEs into global trade is vital for sustaining growth and creating job opportunities, ensuring that the nation continues to thrive on the world stage.
NationPress
19/08/2025
Frequently Asked Questions
What are PLI schemes?
Production Linked Incentive (PLI) schemes are initiatives by the Indian government aimed at boosting domestic manufacturing and exports across various sectors.
How do logistics reforms impact exports?
Logistics reforms streamline processes, reduce costs, and improve efficiency, making it easier for businesses to export their products globally.
What role do MSMEs play in India's export strategy?
MSMEs are critical to India's export strategy as they contribute significantly to production, innovation, and job creation, enhancing the country's global trade presence.
What is the significance of the India-EU FTA negotiations?
The India-EU FTA negotiations aim to strengthen trade relations and create new opportunities for businesses in both regions, enhancing exports and imports.
What are E-Commerce Export Hubs?
E-Commerce Export Hubs (ECEHs) provide integrated services to facilitate e-commerce exports, including customs clearance, quality certification, and warehousing.
