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EXPORT
PREPAREDNESS
INDEX
2020 EXPORT
PREPAREDNESS
INDEX 2020 DR. RAJIV KUMAR
VICE-CHAIRMAN
Phones : 23096677, 23096688
F
ax
: 23096699
E
-mail
: vch-niti@gov.in
डॉ. राजीव कुमार
उपाध्य�ॎ
भारत सरकार
नीित आयोग, संसद मागर्
नई �दल्ली-110001
MESSAGE
Government of India
NATIONAL INSTITUTION FOR TRANSFORMING INDIA
NITI Aayog, Parliament Street
New Delhi-110 001
Rising exports must be an integral component of India’s development strategy, especially since exports constitute one
of the four pillars—the other three being human resources, investments, and governance—upon which the country has
traditionally relied on to accelerate its growth since the economic reforms of the 1990s.
India’s merchandise exports have witnessed growth from USD275.9 billion in 2016–17 to USD303.5 billion in 2017–
18, to USD331.0 billion in 2018–19. However, the Covid-19 crisis dealt a major blow to the current fiscal. This will alter
not just the national but the entire global economic landscape. Consequently, India’s exports shrank by 60 per cent in
April 2020. Further, the pandemic resulted in large-scale disruption in global supply chains and demand, resulting in the
cancellation of orders. Amidst this setback, it is imperative for India’s trade and exports to recoup and rediscover the
path to recovery and growth.
Keeping in mind the concept of Aatmanirbhar Bharat or self-reliant India, it is time for our country to play a vital role
in the present-day dynamic economic landscape. Attaining self-reliance implies becoming globally competitive by
removing bottlenecks at various steps in the export process. India’s exports sector holds immense potential to become
a viable alternative supplier for some of the major economies. To realize this potential, it is crucial that India turns to its
states and union territories and makes them active participants in the country’s export efforts. This would be achieved
by creating an enabling framework, establishing the required institutions, removing bottlenecks, and incentivizing
exports. Even in difficult times, when the world has been struggling with Covid-19, Indian states have responded by
ramping up the production of essential products through successful national-level cooperation. This is evident from the
large-scale production of products such as personal protective equipment (PPE) kits and hydroxychloroquine (HCQ).
In an attempt to realize this new vision, the Export Preparedness Index 2020 evaluates states’ potentials and capacities.
The presence of basic facilities, a conducive environment, and the reach of the exports’ footprint are some of the
key factors that will be used for their assessment. It is hoped that the detailed insights from this Index will guide all
stakeholders towards strengthening the export ecosystem at both the national and sub-national levels. This will help
India increase its share in global trade from the present 1.7% in 2018 to at least 5% in this decade.
I would like to take this opportunity to congratulate the entire team of NITI Aayog for their unique and laudable effort. I
would also like to extend my compliments to the Central ministries, nodal officers from the state departments, and our
knowledge partner, Institute for Competitiveness, for their contribution towards preparing the Index.
(Dr. Rajiv Kumar) Page 06 Export Preparedness Index 2020 MESSAGE
India’s vision of becoming a USD5 trillion economy by 2024 is intricately linked with an export-oriented approach.
With most of the world’s production concentrated in global value chains, a focused policy shift towards integration
with major global supply chains could lead to increased efficiency and growth for India. In this globalized world, India’s
effective strategy on exports could be the key towards achieving the required double-digit growth and to surge the
country ahead.
In this present crisis-hit world, while most countries are looking inward, India should use this opportune time to build
its manufacturing capabilities to meet future global demand requirements. India’s exports would need to be boosted
through several policy mechanisms, including the improvement of Ease-of-Doing-Business (EoDB), promoting size
and scale as well as adapting to global standards. This export-led growth strategy has been sought to be implemented
through the Hon’ble Prime Minister’s vision of converting each district into an export hub. The necessary policy
changes would need strong engagement with the states and union territories to identify export opportunities and
develop their institutional structures.
In line with this new orientation, NITI Aayog has taken a significant step by developing the first-ever Export
Preparedness Index for Indian states. The Index ranks states and union territories on critical parameters required for
promoting the country’s exports. The Export Preparedness Index would be useful to states and union territories to
benchmark their performance against their peers and analyse the potential challenges and prospects to develop better
policy mechanisms to foster export-led growth.
NITI Aayog will continue in its endeavour to develop insights and strategies to promote competitive federalism to
aid India’s mission of achieving robust economic growth. I am sure that the Export Preparedness Index will provide
analytical insights and policy actions to states and union territories, which will significantly assist their understanding of
future export opportunities, challenges ahead and best practices that can be emulated.
Amitabh Kant
मुख्य कायर्कारी अिधकारी
Chief Executive Officer
अिमताभ कांत
भारत सरकार
नीित आयोग, संसद मागर्
नई �दल्ली-110001
Government of India
NATIONAL INSTITUTION FOR TRANSFORMING INDIA
NITI Aayog, Parliament Street
New Delhi-110 001
Tel. : 23096576, 23096574 Fax : 23096575
E-mail : ceo-niti@gov.in, amitabh.kant@nic.in
(Amitabh Kant) Page 08 Export Preparedness Index 2020 The idea of developing an index to measure the export preparedness of Indian states germinated in 2019 at NITI
Aayog. Keeping in line with the spirit of competitive federalism, the Export Preparedness Index evaluates various
factors that play a crucial role in determining the export performance of all states and union territories. Hon’ble Prime
Minister Shri Narendra Modi has also stressed that there is a huge potential for Indian exports, which can be exploited
at the disaggregated levels by converting each district into an exporting hub.
In the wake of the ongoing Covid-19 pandemic, the Export Preparedness Index is a crucial document to guide our
fellow policymakers to make the most of the dynamic nature of global manufacturing and trade. India has already taken
major steps by initiating a Continuity Plan that would kickstart the growth of Indian exports. The plan also aims to
increase the scale of Indian manufacturing and trade, which would further expand Indian products’ footprint at a global
level.
To facilitate such a detailed, potential expansion of Indian exports, the Export Preparedness Index can provide
major insights into state-level performance and growth. Based on its coherent structure, which includes four pillars,
eleven sub-pillars and multiple indicators, the Index can pinpoint the strengths and weaknesses across all states and
union territories. This would enable all relevant stakeholders to take prompt action in improving the existing export
ecosystem at a sub-national level.
The development of the Export Preparedness Index was an inclusive process. It contains extensive engagement with
the states in the process of data collection. The timely completion of the first-ever Export Preparedness Index could not
have been possible without the support and cooperation of all the partners.
We are grateful to the Vice Chairman and CEO of NITI Aayog, who took up this crucial initiative and led it to fruition.
We thank everyone who provided their insights to help create the right structure for evaluating export preparedness
across the sub-national level.
ISHTIYAQUE AHMED
ADVISER
इिश्तयाक अहमद
सलाहकार
भारत सरकार
नीित आयोग, संसद मागर्
नई �दल्ली-110001
Government of India
NATIONAL INSTITUTION FOR TRANSFORMING INDIA
NITI Aayog, Parliament Street
New Delhi-110 001
Tel : 011-23096584
E-mail : ahmed.i@nic.in
(Ishtiyaque Ahmed)
MESSAGE Amit Kapoor | Honorary Chairman
MESSAGE
In the post-Independence era, export was not the most favoured economic pillar. This is evident in the first two Five
Year Plans, which had no provisions for export. This combined with strong import-substitution industrialization further
dwindled the attention on Indian exports. However, in the post-Liberalization world, it is impossible to sustain as a
fast-developing economy without a strong push for domestic exports. And India has already reaped massive economic
benefits by turning to exports in the last 30 years.
However, it was noted recently that the current economic slowdown has adversely impacted the progress of Indian
merchandise exports. India needs to create a sustainable path for maintaining a steady outflow of goods to various
economic destinations across the globe. In a world that has been severely hurt by Covid-19, this task poses a great
challenge.
To address the above problems, India has turned to its states to establish “export hubs”. These hubs will be responsible
for meeting global requirements while improving safety compliance and quality goods to expand their global market
share. In order to achieve such a mammoth feat, Indian states and union territories must be evaluated to assess their
preparedness to meet long-term demand for domestic exports.
The Export Preparedness Index is a data-driven effort to identify the core areas crucial for export promotion at the
sub-national level. All the states and union territories have been assessed on crucial parameters that are critical for
any typical economic unit to achieve sustainable export growth. The Index would be a helpful guide for the state
governments to benchmark regional performance with respect to export promotion and thus deliver key policy insights
on how to improve and enhance the same. The Export Preparedness Index is the first of its kind; hence, it is expected
to be refined over time, and improvements made to the methodology and evaluation process in the coming years.
The Institute for Competitiveness is pleased to deliver NITI Aayog with knowledge support in this endeavor and help
the country towards a stronger export promotion at a sub-national level. I would like to thank Shri Ishtiyaque Ahmed,
Senior Adviser, NITI Aayog, for his tireless support throughout the evaluation process of the Export Preparedness Index
2020. I would also like to thank Dr Rajiv Kumar, Vice Chairman, NITI Aayog, and Shri Amitabh Kant, CEO, NITI Aayog,
for their invaluable feedback during the process.
Finally, I would like to acknowledge the support of my team at the Institute for Competitiveness, including Aniruddh
Duttaa, Chirag Yadav, Jatin Nair, Manisha Kapoor, Sampriti Mukherjee, Souma Sekhar Gangopadhyay and Suprerana
Chakraborty in preparing this report. I am certain that the study outlined here will enable a transformational shift in the
Indian export landscape.
(Amit Kapoor) Executive
Summary
For a country as vast and geographically diverse as India,
the state of preparation to strengthen exports needs to
be understood at the regional level; a policy measure at
the national level will not suffice. Each state needs to
have its own policy measure, and understand its unique
strength and valuable resources, so that exports get a
shot in the arm at the regional level.
With the objective to provide an empirical tool to
policymakers at the sub-national level, the Export
Preparedness Index examines the export ecosystem of
Indian states and union territories. It is the first index
that has been developed to study export preparedness
and competitiveness at the sub-national level.
The study and the methodology utilized for the
preparation of the index have been developed keeping
in mind the complexities and challenges in light of
spatial segregation. Therefore, the study takes into
consideration that policy implications will largely
vary across states. The approaches for measuring
export preparedness look at parameters, such as an
existing policy measure, business ecosystem, export
infrastructure, and the export performance of the
states. Overall, there are 55 indicators that have been
distributed across these crucial four pillars, and export
performance remains the only output-based indicator
to study the export footprint of the states and union
territories.
The report consists of three thematic areas. The first
(chapters 1–5) delineates the importance of exports
as one of the key indicators for promoting economic
growth, and how they have shaped the Indian economy.
It discusses the reasons for an increasing focus on
boosting export competitiveness at the regional
level, why it is important, and the need to do so at
the state level. Apart from this, there is a chapter on
different global approaches to measure trade indices,
and a comparison between the Indian economy and a
few select countries to provide an idea of how these
economies fare in terms of their export footprint in the
global landscape.
The second (chapters 6–8) lays out the methodology
employed to construct the index, followed by key
findings at the state level and a further analysis of each
sub-pillar. Gujarat emerged as the top-performing state
in the ‘Coastal States’ category, followed by Maharashtra
and Tamil Nadu. In the category of ‘Landlocked States’, Rajasthan was
the best-performing state. Among ‘Himalayan States’
and ‘City-States’, Uttarakhand and Delhi are the top
performing states respectively. This section makes in-
depth analyses of the multitudes of factors that have
developed the export ecosystems at the state and sub-
pillar levels. It is hoped that these analyses will ignite
the spirit of competitive federalism among the states to
boost their export preparedness.
The third and final portion (chapters 9–11) provides
learnings and the way forward in the form of
recommendations for sub-national policymakers to
ponder over. Several learnings emerged during the
course of the preparation of the report, and it is
hoped that the learnings derived from the report will
help policymakers to give them direction in terms of
enhancing the export competitiveness in their respective
states. Furthermore, the detailed state profiles and
scorecards are also attached in this portion, which
provide a comprehensive snapshot of the current export
landscape of each state and union territory.
Finally, Appendix I provides the list of 55 indicators in
detail, a brief explanation of the same, and the sources;
Appendix II delineates the calculation of the Market
Performance Index, one of the key indicators in export
performance. Introduction
Focus on Indian States
The Importance of Exports
India’s Trends in the Global Market
Export Trends in Pre-Reform Period
Export Trends in the Post-Reform Period
Present-Day Trends
Missed Opportunities
Global Approaches to Measure Trade Indices
India’s Position
Methodology
State Categorization
Geographic Coverage
Index Calculation Steps
Indicator Selection and Data Collection
Dealing with Missing Values
Data Transformation
Aggregation
Export Preparedness Index: Key Findings
Country-Level Analysis
State-Level Analysis
Pillar Wise Scores across States
Policy Pillar
Business Ecosystem Pillar
Export Ecosystem Pillar
Export Performance Pillar
Content
02
06
08
14
17
20
26
27
29 57
64
66
140
148
35Sub-Pillar Analysis
Pillar 1: Policy
Sub-Pillars
Export Promotion Policy
Institutional Framework
Pillar 2: Business Ecosystem
Sub-pillars
Business Environment
Infrastructure
Transport Connectivity
Access to Finance
Pillar 3: Export Ecosystem
Sub-pillars
Export Infrastructure
Trade Support
R&D Infrastructure
Pillar 4: Export Performance
Sub- Pillars
Growth and Orientation
Export Diversification
Learnings and Strategies
Key Learnings
Strategies
The Way Forward
State Profiles
Appendix I
Appendix II Page 2
Introduction
The global trade scenario recently saw massive
changes due to the ongoing Covid-19 pandemic.
With major economies of the world completely
shutting down operations, the export of goods and
services has been adversely affected.
Manufacturing slowdown in China due to the
pandemic and protracted trade wars have created
ripple effects in economic activity across the globe
1
.
India’s exports have been badly hit as well,
especially since the domestic manufacturing base
is heavily dependent on Chinese imports
2
. Over the
years, India has sought to decrease this reliance
with a greater focus on in-house assembling of
products and by boosting the local manufacturing
ecosystem
3
.
1
UNCTAD. (2020, March 4). Coronavirus outbreak has cost global value chains $50 billion in exports. Retrieved from https://unctad.org/en/pages/newsdetails.
aspx?OriginalVersionID=2297
2
PRS Legislative Research. (2020). Impact of Chinese goods on Indian industry. Retrieved from https://www.prsindia.org/report-summaries/impact-chinese-goods-indian-
industry
3
Fensom, A. (2020, February 18). Coronavirus deepens India’s economic chill. Retrieved from https://thediplomat.com/2020/02/coronavirus-deepens-indias-economic-chill/
A UNCTAD study
estimates a $50 billion
decrease in exports across
global value chains. Export Preparedness Index 2020 However, this shift has only been marginal with
Chinese inputs being primarily used within the Indian
sectors of pharmaceuticals, electronics, power,
furniture, cars, apparel and other related products. The
disruption in the supply chain could potentially lead to
a shortage of consumer products, increased prices and
decreased job opportunities
4
.
Nonetheless, The Hon’ble Prime
Minister has sought to rectify this
situation by exhorting Indians to become
“Aatmanirbhar” or Self-reliant – one of
the main components being to strengthen
domestic demand and supply chains.
Additionally, with other market leaders and countries
seeking to diversify beyond China, the Indian exports
sector has the potential to become a viable alternative
supplier to several major economies. To achieve this
goal, it is important to strengthen the manufacturing
capability of the states, such that it not only leads
to more output but also the development of better
innovative techniques.
A superior domestic capability would allow India to
compete with its Asian peers, especially Vietnam,
Bangladesh and Taiwan, who have been able to attract
more investors through a better cost-competitiveness
strategy. India has also not been able to move up the
value chain since the domestically produced final
products are mostly low value added thereby reducing
the overall export competitiveness of the country vis
a vis its peers. This is reflected in a decline of India’s
integration and value addition within global production
chains.
5
India’s reduced level of integration within global value
chains is especially worrying when juxtaposed with
its current account deficit. The current account deficit
measures the difference between the value of the
goods and services a country imports and the value of
its exports. The deficit widened to 2.1 per cent of GDP
in the first quarter of 2019 from 1.8 per cent in the first
quarter of 2018
6,7
. The widening of the deficit signifies
that increasingly growth came from the non-tradable
sector, that is, from the domestic sector.
4
Singh, S. (2020, February 16). Coronavirus crisis: It’s time for India Inc to create opportunities. Retrieved from https://economictimes.indiatimes.com/news/economy/
foreign-trade/coronavirus-crisis-its-time-for-india-inc-to-create-opportunities/articleshow/74153826.cms?from=mdr
5
Kwatra, N. (2020, March 15). Coronavirus supply chain disruptions: is there a silver lining for India? Retrieved from https://www.livemint.com/news/india/coronavirus-
supply-chain-disruptions-is-there-a-silver-lining-for-india-11584086922001.html
6
Ray, S. & Miglani, S. (2020). India’s GVC integration: An analysis of upgrading efforts and facilitation of lead firms. ICRIER, Working Paper 386. Retrieved from http://icrier.
org/pdf/Working_Paper_386.pdf
7
Nayak, G. (2019, June 28). CAD widens to 2.1 per cent of GDP, highest in six years. Retrieved from https://economictimes.indiatimes.com/news/economy/indicators/
fy19-cad-inches-up-to-2-1-but-more-than-halves-in-q4/articleshow/69992114.cms Page 4
Furthermore, an in-depth analysis of India’s growth drivers
highlights that its economic growth has been primarily
propelled by domestic demand. As the numbers suggest,
the domestic demand constituted of 59.1 per cent of the
Gross Domestic Product (GDP) during the period of 2017-
18
8
. During the same period, exports stood at 19 per cent
of the GDP, which was significantly lower than that of the
contribution of domestic demand. While it is imperative
to accelerate domestic demand to promote higher
consumption and investment, it should also be recognised
that an economy with only $2,000 per capita income will not
be able to expand simply based on domestic demand.
Moreover, too much focus on domestic demand might
strengthen imports faster than exports, which could
potentially lead to a widening deficit. Consequently, it is
essential for India to not merely rely on domestic demand,
but also boost its export potential in the meanwhile to
enhance its growth.
Hence, the advancement of Indian exports becomes crucial
to reduce the current account deficit and attract investments
within the domestic manufacturing and services sectors.
The benefits of focusing on increasing exports are multi-fold
with the most critical being, its contribution to the Gross
Domestic Product (GDP). Even during the severe global
recession of 2008, India’s exports contributed to 24.1% of
its GDP. As globalisation peaked, India’s exports grew at an
unprecedented rate, contributing between 21 and 25 per
cent to the Gross Domestic Product (GDP). Even with the
global growth experiencing sluggishness, India’s exports
grew at around 19.74 per cent as of 2018
9
.
IIn fact, the positive outcome of exports is not merely
restricted to its contribution to the GDP. Among other
advantages of increasing exports are a rise in wages for
high-skilled workers as well as an increase in formality
levels within the country, as highlighted by a World
Bank–ILO collaborative study. Furthermore, exports
have the potential to bring in an increased number
of job opportunities by opening new markets and
entrepreneurial prospects
11
. This is notable, since most
of the employment generation within the manufacturing
sector, post-1991 has been concentrated within export-
oriented industries such as garments and textiles
12
.
Hence, improving exports could also be a potential
solution towards minimising job-less economic growth
within India.
Realizing this, the Indian government sought to improve
exports through trade policies and reforms—such as the
Goods and Services Tax—and by incentive creation—
through the Merchandise Exports Scheme, Service
Exports from India Scheme and Trade Infrastructure for
Export Scheme. While the Central government has sought
to advance exports through several policy mechanisms,
the sub-national governments have an equally important
role in boosting the overall export ecosystem in the
country.
Figure A : India’s exports of goods and services (as a percentage of GDP) – 1988 – 2018
10
.
8
Country Profiles | United Nations Conference on Trade and Development
9,10
World Bank. (2019). Exports of goods and services (% of GDP)- India. Retrieved from https://data.worldbank.org/indicator/NE.EXP.GNFS.ZS?locations=IN
11
Artuc, E, Lopez, A, Gladys, C, Robertson, R, & Samaan, D. (2019). Exports to Jobs : Boosting the Gains from Trade in South Asia (English). South Asia Development Forum.
Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/255821551109391137/Exports-to-Jobs-Boosting-the-Gains-from-Trade-in-South-Asia
12
Thomas, J.J. (2013). Explaining the “jobless” growth in Indian manufacturing. Journal of the Asia Pacific Economy, 18(4), 673-692. https://doi.org/10.1080/13547860.2013.827462
INDIA’S EXPORTS OF GOODS AND SERVICES (AS % OF GDP) Export Preparedness Index 2020 As India seeks to improve its share of global trade, states
become relevant stakeholders by forming the manufacturing
backbone of the country. Furthermore, as highlighted
in the Economic Survey 2017-18, improving the export
competitiveness of states could also improve their wealth
and standard of living, thereby minimising regional disparity.
As of present, 70 per cent of India’s export
has been dominated by five states –
Maharashtra, Gujarat, Karnataka, Tamil Nadu
and Telangana
13
.
The Survey established that the states that trade the most
are the most competitive and run the largest trade surpluses.
It also mentioned that states which engage with the world
markets as well as with the other states within the country
are richer
14
. The findings ascertained the conventional
wisdom: a state’s GSDP per capita is highly correlated with
its export share in GSDP. This implies that the participation
of the states in the global economy, therefore, becomes
vitally important for the economic growth and the standard
of living for the states. This would contribute to the overall
economic growth of the country
An increasing number of Indian states have made sincere
attempts towards creating an enabling framework that
would facilitate and promote exports. This happened
particularly after India made notable progress in terms of
expansion of exports as well as the geographic outreach
after the economic reforms. Hence, some of their best
practices could be replicated by the states which have not
been able to boost their export ecosystem yet. While some
states have done exceptionally well, there needs to be a
more focused analysis of how other states could develop
their export markets. This is because a one-size-fit-all policy
will not work for all states owing to their different inherent
strengths and competitive advantages. Improving the
competitiveness of exports cannot be wholly driven from
the top level. It requires active participation from the state
level authorities and identification of export focus areas
based on the state’s core growth drivers.
The Hon’ble Prime Minister, Narendra Modi, in his address
to the nation (2019), had stressed on the need to boost
exports at a disaggregated level. He suggested that each
district of India can be made into an export hub, considering
that locally made products hold huge potential.
Strengthening export competitiveness at a disaggregated
level will thus play a crucial role in boosting the overall
export ecosystem in the country.
Lately, there has been a concerted effort from the Central
Government to encourage the subnational actors to ‘think
locally and act globally’. This has also been reflected in
Honourable Prime Minister Modi’s statement on “Vocal
for Local” to develop India to become a key player in the
global supply chain. Of course, it is important to take into
account that the states across India are not only at different
stages of development, but they also differ in terms of their
geographical reach as well as production capacities. Hence,
export preparedness and export competitiveness would vary
widely among the states.
Considering this, the Indian states need to be assessed
on various parameters required for an export-led growth
strategy, in order to account the variations in performance.
This will enable them to harness their export potential,
productivity and improve their manufacturing base so that
the overall economy of the country can benefit from the
same.
Under this background, this report is an attempt to initiate
competition among states such that they carry out measures
to improve their export markets in the long-term. This
report brings about the Export Preparedness Index which
aims to rank states based on their export readiness through
an analysis of their export promotion policies, regulatory
framework, available infrastructure, access to finance and
output.
This would allow the states to track their performances over
time and would enable them to track their export drivers
over time. The chapters ahead give a glimpse as to why there
is a need to focus on exports, how the Indian states fare in
terms of their ability to export, and the road ahead.
13
Ministry of Finance. (2018). Economic Survey 2017-18. Retrieved from http://mofapp.nic.in:8080/economicsurvey/#
14
The survey analysed twenty of the major states, and their export share in their Gross Domestic State Product (GSDP).
Focus on Indian States Page 6
The Importance
of Exports Export Preparedness Index 2020 Exports are one of the engines of economic growth
15
. In
most cases, it has been observed that high and sustained
economic growth is preceded by shifts from traditional
import substitution to more export-oriented and outward-
looking policies, resulting in export growth rates reaching
20 per cent per year (or more) over extended periods of
time
16
.
For instance, it was the Japanese economy that effectively
followed the export-led strategy, - in the 1960s, their
merchandise exports grew at an average annual rate of 16.9
per cent in the 1960s and inthe 1970s, 21 per cent (World
Bank estimates). A similar economic trajectory was adopted
by the East Asian economies like South Korea and Singapore
in the 1980s as well as the 1990s. These economies have, in
fact, recorded the most impressive economic performances
over the past few decades.
The impressive economic performances of the East Asian
countries led economists to emphasise on the vital role
played by exports driving growth. The learnings that
emerged from the export-led hypothesis are:
17
•
Export
so that they become more competitive and are able to innovate new technology more rapidly.
•
The export-led growth trajectory would also fuel
domestic competition, in turn encouraging even non- exporters to try to become more competitive. They would be driven to adopt or innovate new technology more rapidly, leading to faster productivity gains throughout the economy and faster economic growth.
•
Market access to larger world markets would allow
successful exporters to increase their output and employment more swiftly.
These parameters are pertinent, especially in the context of developing nations. This is because an export-led growth strategy, through various governmental and economic policies, aims to increase the capability of the producers who are then able to compete in the world market, utilise advanced technology, as well as provide foreign exchange needed to finance imports. For instance, among developing nations, Vietnam has been able to successfully follow the export-led policy and attract foreign direct investment.
This strategy allowed led to capital intensity, productivity growth, improved prosperity and dramatically reduced poverty levels in Vietnam.
18
However, the financial crisis of 1997 in the East Asian economies, and the recent global economic slowdown have led to some scepticism regarding exports playing a role in sustaining economic growth. Although the export-oriented approach is vital in terms of achieving growth, but it is incomplete and does not necessarily provide with clear guidance to avoid policies that could be potentially harmful over time. This approach requires some necessary factors to enable any economy to be competitive. Some of these factors include a well-defined export policy, a conducive business environment etc.
Nonetheless, the relevance of export-led growth is far
from over. Despite the scepticism, it has been found that
export-led growth has provided countries with short-
term effectiveness and relative ease of export-oriented
strategies. In fact, export-drives can push growth rates up,
at least for a short while.
However, in consideration of the changing times, traditional
export-led growth policy orientations need to move beyond
and incorporate competitiveness within their strategies.
Competitiveness, in this context, essentially implies
productivity
19
. Productivity, here, is viewed as the critical
driver of long-term sustainable prosperity, which is the aim
of any economic policy. Exports have a dual role in this
context: acting as enablers of competitiveness. They also
act as a signaling tool to represent the signs of underlying
competitiveness.
Not only this, exports are also contributes to growing
innovation. In a sense, the more a country exports, the more
it is exposed to foreign competition and ideas which in turn
will improve its capabilities to innovate further.
20
Although import substitution provides a protectionist
regime, export policies provide a potential of competition,
innovation and future growth possibilities.
15
Bhagwati, J, “The “Miracle that did Happen: Understanding East Asia in Comparative Perspective”, 2000, MIT Press
16
Kokko, A., Kravtsova, V. (2012). Regional characteristics and effects of inward FDI: The case of Ukraine. Organizations and Markets in Emerging Economies, 3(2(6)): 91-118
17
Bhagwati J., “Export-Promoting Trade Strategy: Issues and Evidence”, 1988, The World Bank Research Observer
18
Kettels, C, “Export Competitiveness – Reversing the Logic”, 2010, Harvard Business Review
19
Porter, M. E. (1998). On Competition. Boston: Harvard Business School Press.
20
Kettels, C, “Export Competitiveness – Reversing the Logic”, 2010, Harvard Business Review
Export Preparedness Index 2020 Page 8
India’s
Trends in the
Global Market Export Preparedness Index 2020 In the post-independence era, Central Planning could
not emphasize on promoting Indian exports, which
was evident from the First and Second Five Year Plans
where exports were largely neglected. This decision was
justified on the ground that demand for Indian exports
was inelastic; due to limited production capacities
and overvalued currency exchange rate with other
economies.
21
During 1970s India’s export share picked
up vis-à-vis global levels. The buoyancy experienced by
world demand in the same period was complemented
by favourable domestic policies such as the depreciation
of the real effective exchange rate (REER), the
establishment of export subsidy and a comparatively
liberal import policy for export production.
22
However, the same buoyancy could not be carried
forward into the 1980s as world exports were severely
affected by the second oil price hike. The global export
rate turned negative and adversely affected India’s
export growth rate as well which came down from 17.97
during 1970-79 to 2.39 during 1980-85.
23
However
India made a strong recovery in the second half of the
1980s by further depreciating REER and increasing
export subsidies. This was supported by industrial
deregulation and liberalisation of capital goods imports.
With the liberalisation of the Indian economy in 1991,
it was hoped that strategic policy would boost export
growth rates through efficient resource distribution,
better specialisation, dissemination of international
knowledge and heightened competition
24
. The immediate
impact of economic reforms gave Indian exports a
massive lift with several commodity groups registering
double-digit growth
Export Trends in Pre-Reform Period
Export Trends in the Post-Reform Period
1993-97
Commodity Groups
Food and live animals14.42
Beverages and tobacco 23.44
Crude materials, inedible, except fuels12.56
Mineral fuels, lubricants and related materials-4.14
Animal and vegetable oils and fats14.49
Chemicals20.41
Manufactured goods classified chiefly by material9.7
Machinery and transport equipment17.1
Miscellaneous manufactured articles9.82
Commodities and transactions not classified according to kind 17.58
Table A: India’s Average Merchandise Export Growth Rates for Selected Commodity Groups
(Source: COMTRADE-WITS, Veeramani, 2007)
1993-97
21
Veeramani, C. (2007). Sources of India’s export growth in pre-and post-reform periods. Economic and Political Weekly, 2419-2427.
22
Joshi, V and M D Little. (1994). India: Macroeconomics and Politics
al Economy, 1964-1991, World Bank and Oxford University Press, Washington DC and New Delhi
23
Merchandise Export Data (1950-2020), WTO database.
24
See (1)
Export Preparedness Index 2020 Page 10
In the latter stages of the 1990s, merchandise exports
took a hit due to the East-Asian crisis and the previously
tried depreciation of REER could not prevent the decline
of exports. Indian markets were closely associated with
the East-Asian markets and the fall in demand from the
latter’s side, affected Indian exports.
25
Export growth started recovering around 2001-02. From
2002 through 2005, India recorded a remarkable growth
as merchandise exports displayed a high growth rate of
about 25 per cent per annum. This success was attributed
to the recovering global economy post-East Asian crisis
and also India completely opening its market in 2001. The
latter meant increased inclusion of imported goods as a
part of the production process. This eventually translated
into improved export values.
The above momentum was strong enough and lasted for
the next few years. India’s economy was growing close
to 9% between 2005-08; thus, boosting global exports
as well. However financial crisis of 2008-09 brought this
momentum to a halt. Export growth was brought down
to a single-digit of 5.4%. The financial crisis validated the
fact that there is a high-income demand elasticity for
Indian exports which makes it extremely sensitive to GDP
movements.
26
In the post-crisis period, it was found that a mixture of
key factors affected export growth. Stagnant real rural
wage growth, limited investment in infrastructure and
a stronger rupee combined with falling global demand
constrained Indian exports.
27
Present-Day Trends
India, when analysed from a longitudinal perspective, has
steadily managed to increase its overall share in global
merchandise exports. From 0.6% in 1993 to 0.8% in 2003
to 1.7% in 2018; India possesses the immense potential
to climb the manufacturing export ladder in the future.
28,29
However, the trajectory observed for Indian merchandise
exports in the last 5 years has been relatively inconsistent
when compared to the last few decades. Since late 2014-
15, India’s merchandise export growth has been falling
continuously, reflecting the slowdown of world growth
and trade.
30
Figure B : India’s
Merchandise Export (%
of GDP) 1970-2018
(Source: World Bank)
Table B : India’s merchandise export
value 2013-2018 (Source: WITS)
Years
Export (Value in
US$Billion)
Change
2013 336.61-
2014 317.54 -5.66432
2015 264.38 -16.7421
2016 260.33 -1.53343
2017 294.36 13.07494
2018 322.29 9.487244
25
Dua, P., & Sinha, A. (2007). East Asian crisis and currency pressure: The case of India (No. 158).
26
Kumar, R. & Alex, D. (2009). The Great Recession and India’s trade collapse. VOX CEPR Policy Portal.
27
Kumar, R. & Krishna, G. (2015). Indian Exports Loss of Global Competitiveness. EPW august 22, 2015 vol l no 34
28
WTO data, 2017
29
PIB. (2019). Indian Global Trade Share.
30
Prasad, H.A.C et al. (2017). Reviving and Accelerating India’s Exports: Policy Issues and Suggestions. Department of Economic Affairs; Ministry of Finance-
Government of India
MERCHANDISE TRADE (% OF GDP) Export Preparedness Index 2020 A combination of factors adversely affected India’s
merchandise exports during of 2014-16. Weaker global
trade, combined with faltering major economies hurt India’s
exports as demand fell that period. Problems from India’s
side such as restricted Rupee overvaluation as compared to
other developing economies didn’t help in attracting foreign
demand as Indian exports would be relatively more expensive
for the importers
31
. Also, CRISIL pointed out that lack of
export diversification in terms of destinations also negatively
affected the overall exports. Around 50% of total goods were
exported to Asia which was more than the combined share
of Europe and the US at 31.8%
32
. Export diversification often
plays a key role in stabilizing any external shocks thus ensuring
consistent levels of merchandise exports for a nation.
It was only from late 2016-17, that Indian merchandise
exports picked up the pace and finally showed positive
growth.
And in 2019-20, India achieved a record high
of USD 330. 07 billion of merchandise exports,
registering positive growth of 8.75%.
33
This consistent positive growth has been a result of key
measures adopted by the government post-2016 for the
promotion of merchandise exports
34
.
•
A mid-term review of the Foreign Trade Policy 2015-20
was conducted in 2017 to assess the policy interventions required to boost the export levels. For labour-intensive/MSME sectors, incentive rates were revised by 2% and also interest equalization at 3% (both pre and post-shipment) was introduced.
•
A new Logistics Division was established in the
Department of Commerce to organize the integrated development of the logistics sector.
•
Trade Infrastructure for Export Scheme (TIES) was
launched in April 2017 to address the existing export infrastructure gaps.
•
Other sector-specific policies such as Agriculture Export
Policy were rolled out to target export contribution at a micro-level.
•
Transport and Marketing Assistance (TMA) scheme was
also introduced for the export of specified agriculture products to mitigate the disadvantage of the higher cost of transportation.
Weakened global trade during 2014-2016, severely affected the exporting capacities of some of the top contributing nations such as China. China is the biggest contributor to merchandise exports
35
and thus its decline
in exports during the same period created a window of opportunities for other nations to take over.
China’s poor performance could be attributed to a number
of factors. The country is known to import raw materials
and other intermediate goods from other developing
nations in Asia. Thus, soft trade performance observed
across emerging economies in Asia hurt the chain of
the production and consequently translated into poor
exports.
36
Inconsistent and unpredictable valuation of the
Yuan subject to global market also hurt the prospects of
Chinese exports
37
. Finally, falling global demand and the
declining prices of bulk commodities were also cited as
another key reason for falling exports during 2014-2016.
38
Missed Opportunities
31
Nayyar, D. (2016). Great fall of India’s exports. liveMint 22 Jan 2016.
32
Hindustan Times. (2015). Exports hit India’s growth story in 2015, fall to be steeper in 2016.
33
Press Information Bureau. (2019). Merchandise Export.
34
Rajya Sabha Unstarred Question No. 54. (2019). Growth Rate Of Exports.
35
World Bank. (2019). Merchandise exports (current US$). data.worldbank.org/indicator/TX.VAL.MRCH.CD.WT
36
Guardian. (2016). Chinese economy: exports fall by 2% and imports by 11% in April. www.theguardian.com/world/2016/may/08/chinese-economy-exports-fall-by-2-and-
imports-by-11-in-april
37
CNBC. (2017). China exports slump more than expected in December, imports growth cools. www.cnbc.com/2017/01/12/china-2016-exports-fall-while-imports-rise-
slightly.html Page 12
China has also rapidly moved up the Global Value Chains
(GVC) in the same period. According to the Global Value
Chain Development Report 2017; “GVCs break up the
production process so different steps can be carried out
in different countries.” Thus, China is going through a
transition where the production process shifted away
from labour-intensive manufacturing towards automated
routes. Plus, labour wages have been increasing rapidly.
Thus, its export basket for both products and destinations
have seen some drastic changes.
38
During this vital period, there was an
opening for other developing economies
to enter and subsume those lines of
production from where China had been
either weakened or its influence toned
down.
Bangladesh and Vietnam successfully managed to
integrate the above GVCs, which were previously
dominated by China. Vietnam introduced few policy
initiatives such as opening up new trading avenues for
producers, establishing a favourable investment climate,
entering into mega-regional and bilateral agreements with
the US and Europe.
All these factors combined with the presence of a large
pool of low-cost labour, Vietnam positioned itself as
an attractive destination for investment by MNCs. As a
result, Vietnam has emerged as an Asian manufacturing
powerhouse thanks to its specialization in assembly
function in sectors such as automotive, electronics,
agribusiness, textiles and apparels. It also cemented
itself as the second-largest global smartphone exporter.
Similarly, Bangladesh is now the third-largest exporter of
apparels and footwear after China and Vietnam on the
back of low-cost labour
Figure C : China’s Growth Rate of Exports to the World (Source: World Trade Atlas (WTA) Database; Prasad et al. 2017
CHINA’S EXPORTS TO WORLD
38
China Daily. (2016). China sees total export and import volume fall 7% in 2015. www.chinadaily.com.cn/business/2016-01/13/content_23064441.htm Export Preparedness Index 2020 Vietnam’s rise as an exporting nation has been meteoric,
to say the least. This is evident from the diminishing gap
between the merchandise exports between India and
Vietnam. While, the fall in exports during 2014-2016
turned out to be detrimental for India, on the other hand
Vietnam through the aforementioned reforms managed to
close the gap.
India missed an opportunity to gain an advantage in
those areas where China faltered. India did bring in
reforms in late 2017 to ensure that the export sector
remained competitive and attracts potential investors.
However, Bangladesh and Vietnam had made the most
of the situation before India and enhanced their export
competitiveness by targeting their strengths. These
strengths include cheaper labour supply and emphasizing
on core sectors that could produce large-scale exporting
products at competitive rates
39
. While India already
possesses these strengths, there is an urgent need to
efficiently utilize them and move towards the next step,
i.e. product specialization, which would further boost the
export levels.
The recent trade wars between the US and China was one
such instance that benefited Indian exports. According to
a UN report, India grew about $755 million in additional
exports, largely from chemicals, metals and ore, to the
US in the first half of 2019 due to the latter’s trade
diversion from China
40
. India must seize these limited
opportunities to expand its export footprint. And of the
most key opportunities is to focus and improve exports
at a more disaggregated level, i.e. to focus on state-level
contribution to overall exports.
Figure D : A comparison of Merchandise Exports between India and Vietnam
(Source: World Bank Data 2009-2018)
Vietnam India
Nevertheless, new avenues have emerged for
India to boost its overall exports
39
Bloomberg. (2020). Countries Can Still Get Rich From Manufacturing- Keep an eye on Vietnam and Bangladesh.
40
Economic Times. (2019). India gained $755 million in additional exports to US due to US-China trade war: UNCTAD.
MERCHANDISE EXPORTS (USD BILLION) INDIA VS VIETNAM Page 14
Global
Approaches
to Measure
Trade
Indices The most important development that the global
economic system has gone through in the last few
decades is the integration of national economies. It has
resulted in remarkable growth in trade which in turn has
facilitated efficient use of resources. The biggest virtue
of unconstrained trade is that it allows individuals and
institutions to successfully exchange ideas, goods and
services which further spurs innovation. The influence
of trade has been so strong in the last few decades that
today, about one-fourth of the global production is
exported
41
.
With the growing influence of exports, it was deemed
essential that global trade must be measured to assess
nation-wide contribution. This has been carried out
through data-driven indices that use a relevant set of
indicators to analyse the trading capacity of nations and
policy recommendations that could be used to further
respective trade volumes.
Multilateral organizations such as the World Bank,
World Economic Forum and OECD have released some
key indices that have given strong analytical findings.
The main objective of such indices is to create a
comprehensive source of information on publicly available
cross-country databases which would guide policymakers
across the world.
41
Ospina, E. & Beltekian, D. (2018). ‘Trade and Globalization’. Our World in Data.
Figure E: Global Export Volume in USD Billion (Source: World Bank, OECD Data)
EXPORT VOLUME IN BILLION U.S. DOLLARS (1985-2018)
Export Preparedness Index 2020 Table C: Global Indices, India’s performance and top performers
Index Logistics Performance
Index (LPI)
Trading Across Borders
–Doing Business
Trade Facilitation
Index
Enabling Trade Index
Publishing
Agency
World Bank World Bank OECDWorld Economic Forum
What it
measures
Logistics Friendliness of
countries
Time and cost of the
logistical process of
countries
Assessment of trade
facilitation policies,
areas for action and
impact of reforms
Factors, policies and
services that facilitate
trade across borders and
to destination.
India’s Rank 44/160 (2018) 68/190 (2019) 1.52/2 (2018) 102/136 (As per 2016)
Best
performing
states/
countries
Top 5: Germany,
Sweden, Belgium,
Austria, Japan
Austria, Belgium,
Denmark, France,
Hungary, Italy,
Netherlands, Spain all
tied for Rank 1
1.86/2- Netherlands Top 5: Singapore,
Netherlands, Hong Kong,
Luxembourg, Sweden
Page 16 Export Preparedness Index 2020
India’s
Position All these indices suggest that while India may not
be a top exporting nation, it has been improving its
position constantly. India’s performance in OECD’s
Trade Facilitation Index has improved from 2015 to
2017
42
which reflects the constant strive made by
the Indian Government to facilitate smooth trade
of goods and services across global borders.
The above improvement can be corroborated with
successful policy interventions taken in the last few
years. The Foreign Trade Policy (2015-2020) was
introduced to improve the share of India’s foreign
trade. It established a strong ground to provide
rewards to exporters to offset infrastructural
inefficiencies and associated costs.
43
Similarly,
according to the Ease of Doing Business 2018/19;
India has made major improvements in “Trading
Across Borders”. This was achieved by integrating
trade stakeholders under a single electronic
platform and by enhancing the electronic
submission of documents
44
.
Trade
community
involvement
Advance
rulings
Appeal
procedures
Fees &
charges
Document
2015 2017
1
0
AutomaonProcedures
Internal
border
agency
cooperaon
External
border
agency
cooperaon
Governance
& Imparality
Informaon
availability
Figure F: India’s performance in OECD’s Trade Facilitation Index
2015-2017.
Figure G: India’s perfor-
mance in Trading across
Borders 2015-2020
(Source: World Bank Data
2015-2020)
42
India Summary 2018. https://www.oecd.org/trade/topics/trade-facilitation/
43
Directorate General of Foreign Trade. Foreign Trade Policy (2015-2020). Chapter 3- Exports from India Schemes.
44
World Bank Group. 2020. Doing Business 2020; Comparing Business Regulation in 190 Economies.
TRADING ACROSS BORDERS SCORES: INDIA
COUNTRY TRENDS 2015 - 17
Based on components covered in both years
Page 18 Export Preparedness Index 2020
However, there are areas where India, can certainly
improve and make itself an export-friendly nation. One
such area has been highlighted under the Logistics
Performance Index; India has not scored well in the
“infrastructure pillar” that analyses the quality of trade
and transport-related infrastructure (e.g. rails, ports and
information technology)
45
.
Scrutinizing and addressing such issues at a subnational
level would provide better introspection of local
export policies and how they cumulatively impact the
National trade volumes. Thus, the Export Preparedness
Index would guide our policymakers in pinpointing
the underlying gaps present in the export policies at a
disaggregated level.
45
lpi.worldbank.org/international/
scorecard/line/254/C/
IND/2018#chartarea Page 20
Methodology
The Export Preparedness Index (EPI) aims to assess the
readiness of the states, in terms of their export potential
and their performance. The primary goals of the Index are
to inculcate competition among all states in India in order
to:
•
bring favorable export promotion policies,
• ease regulatory framework to prompt subnational
promotion of exports
• create necessary infrastructure for exports, and
• help in identifying strategic recommendations for
improving export competitiveness.
Furthermore, the Index attempts to provide with an
extensive framework for the continual assessment of
export readiness of Indian States and the Union Territories
and intends to serve the following purposes:
•
Ranking of states and UTs based on their index score
• Examining export preparedness and performance of
Indian States
• Identification of challenges and opportunities
• Enhancing effectiveness of government policies
The framework has been created post extensive
discussions with officials from Central Ministries, State
Departments as well as experts in the field of trade. The
consensus was to include some of the key parameters
such as business environment, infrastructure, transport
connectivity, access to finance, export infrastructure and
trade support. It is hoped that this will give a direction
to the states and the Union Territories to work on their
policies as well as infrastructure to create an enabling
environment for exports.
Structure
As a result, the new framework was introduced to include
all the broader aspects pertaining to export promotion.
The new framework also ensured that more emphasis is
laid on the Business Ecosystem which is crucial to assess
the growth of local businesses that could add to the
export basket of a particular state.
Furthermore, the framework of the index was refined by
incorporating essential feedback from key organizations
such as EXIM Bank, Indian Institute of Foreign Trade (IIFT)
and DGCIS. This helped in retention and repositioning
of key indicators across various pillars and sub-pillars to
accurately assess the preparedness of Indian States with
respect to export promotion.
The final structure of Export Preparedness Index includes
four Pillars and eleven Sub-pillars
46
which will enable
precise and fair assessment of all the Indian States and
Union Territories. The rationale behind the selection of
each of the four pillars are listed as below:
Establishing Framework for EPI
46
List of Indicators under each sub-pillar available in the Appendix section. Export Preparedness Index 2020 1. P
strategic direction for exports and imports. Primarily,
this pillar has been incorporated to evaluate whether
a state has introduced enabling policy measures
to steer export-led growth. Further, it looks into
dimensions that will shed light on the exact measures
and policy mechanisms that states have adopted to
enable exporters to be competitive.
2.
Business Ecosystem: An efficient business ecosystem
can help states attract investments and create an enabling infrastructure for individuals to initiate start-ups. This particular pillar sheds light on the core infrastructure facilities, and how states fare in terms of creating such an ecosystem. Availability of such essential facilitating factors enable production units to enhance their production capacities and foster future growth of their existing exporting capacities. The pillar manages to cover multidimensional aspects
of fostering a successful business ecosystem such as labour, innovation, power, IT, logistics, banking and so on.
3.
Export Ecosystem: This pillar aims to assess the
business environment, which is specific to exports. An enabling export ecosystem can support different firms in all the states and Union Territories to increase productivity and boost competition. This pillar takes into consideration indicators that underline the research and development infrastructure, and the trade support available to the businesses in the states.
4.
Export Performance: This pillar examines the export
performance of states and Union Territories to identify focus areas and track improvements. This pillar focuses on two sub-pillars: Growth of Exports and Export Diversification
Export Promotion
Policy
Institutional
Framework
10%
10%
20%
Growth &
Orientation
Export
Diversification
10%
10%
20%
Business
Environment
Infrastructure
10%
10%
Transport
Connectivity
Access to
Finance
10%
10%
40%
Export
Infrastructure
Trade Support
5%
10%
R & D
Infrastructure
5%
20%
Policy
Export
Performance
Business
Ecosystem
Export
Ecosystem
Weightage
Figure H: Weightage structures of the pillars and sub-pillars Page 22
The sub-pillars have been assigned carefully to group
relevant indicators to assess all the dimensions related to
exports. After due consideration and detailed deliberation
with DGCIS, EXIM Bank and State Representatives,
weightages were assigned to each Pillar and Sub-pillar.
Business Ecosystem has been allocated the highest
weightage out of all the pillars. This pillar involves the basic
necessary criteria, required for any thriving production
unit with a strong exporting capacity. It also includes 17
distinct and important indicators that are vital to assess any
business environment.
Export performance is the only output-based pillar and
examines the reach of export footprint for each State and
Union Territory. The other three pillar have a major role
in influencing the final scores for this pillar and as a result
have been allocated 20% weightage. However, given the
dynamic nature of India’s economic progress and subject
to new developments regarding export promotion at the
sub-national levels; the weightages could see modifications
in the coming few years.
Data Limitations and Constraints
Creating a framework and computing scores for a sub-
national level index requires extensive list of carefully
picked indicators. However, there were certain constraints
that were faced during the preparation of index due to
paucity of data. One of the major constraints was the
absence of service export across major trade databases.
Service export form a major crux of total exports and in
2018 Indian services export accounted 204, 955, 578,
850 (Current USD) in BoP
47
. However, it is expected that
with growing efforts to promote data-driven governance,
in future the Export Preparedness Index will be able to
successfully capture both merchandise and service exports.
For a country as vast and as diverse as India is, the states
had to be categorized in accordance to a host of factors:
their sizes and most importantly their geographical
outreach. There are two steps that have been taken to
classify the states. The first step has been to identify
them according to their sizes. The size of Uttar Pradesh,
for instance, matches the approximate size of the United
Kingdom. On the other hand, there is Sikkim which
measures 65 kms by 115 kms in size; or the approximate
size of the country Switzerland. Union Territories, which
were formed for the purpose of ease in administrative
support, are even smaller in size.
Major StatesMajor StatesHimalayan States UT/City States
Group A - Coastal Group B - Landlocked Group C Group D
Andhra Pradesh AssamArunachal Pradesh Andaman and Nicobar
GujaratBiharHimachal Pradesh Chandigarh
KarnatakaChhattisgarhManipurDadra and Nagar Haveli
KeralaHaryanaMeghalayaDaman and Diu
MaharashtraJharkhandMizoram Delhi
OdishaMadhya Pradesh NagalandGoa
Tamil NaduPunjab SikkimLakshadweep
West BengalRajasthanTripura Puducherry
Uttar Pradesh Uttarakhand
Telangana
Jammu and Kashmir
48
*
State Categorization
47
https://wits.worldbank.org/CountryProfile/en/IND
48
*Jammu & Kashmir has been categorized as ‘Landlocked’ despite having been declared as a Union Territory in 2019. The reason is that the report considers the data available
for the period from 2016-17 up to 2018-19. Since Ladakh had not been constituted as a Union Territory at that point of time, it has not been included in the list of City States/
UTs. However, subsequent iterations of the Export Preparedness Index will classify Ladakh and Jammu and Kashmir as Union Territories, using updated information.
Figure I: Export Preparedness Index: State Classification Export Preparedness Index 2020 Geographic Coverage
The Index is applicable to Indian States. India comprises of
twenty-eight states and eight Union Territories. The scope
of this project extends to all the states and the Union
Territories.
Now, comparing the states without acknowledging the
spatial segregation would introduce complexities within
the calculation. This is because the states will vary in
terms of their export potential, ability to create business
ecosystem, and their overall capacity to engage in export-
related activities. This implies they vary in terms of their
productivity as well as competitiveness. Therefore, the
policy implications will largely vary across states. They
are thus segregated into three categories: Major States
(Coastal and Landlocked), North-Eastern and Hilly
States, and Union Territories/City States/Small States,
categorized based on the area in order to account for the
spatial variations across states. This will make for a fair
comparison to assess export readiness.
It must be noted, that due to the aforementioned reasons,
Goa has been incorporated under the category of “Union
Territory/City States/Small States”, despite being a state
as per the Indian Constitution. The North-Eastern and
Hill States from North India have been clubbed under the
same category due to their geographical similarities.
In the second step, the states have been classified in
accordance with their geographical outreach. Under the
category of Major States, there was a need to further
categorize them into coastal and landlocked states. There
are eight major states in India that lie on the coastal
belt, and enjoy access to maritime export facilities and
have ports. Freedom of transit is restricted in land-
locked states, considering they do not have access to
and from the seas. Hence, nine major states have been
incorporated under the sub-category of “Landlocked”.
Indicator Selection and Data Collection
The process flow of the Export Preparedness Index
calculation started with indicators being finalized after
discussions regarding the same were held with experts.
Furthermore, the credibility of sources, expert feedback,
and data availability were also taken into consideration.
An iterative method was followed to reach the final set of
indicators with follow-up meetings held with experts. The
data was primarily provided by the state governments. For
some of the indicators, the data was provided by the RBI,
the DGCIS, and some of the Central Ministries. Certain
indicators were filled in from publicly available data. The
index consists of four pillars, eleven sub-pillars, and fifty-
five indicators.
Dealing with Missing Values
The problem of missing values was addressed by assigning
the worst possible value to the indicator for the states
in question. This implies that the indicators were given
a value of 0, given the condition that the data was not
available from any of the reliable public sources. For
instance, in case of an indicator that highlights the
functioning of an empowered export committee within
a state, for which the data was not available from any
reliable public sources, the worst scenario was taken into
consideration. Adequate information was not provided
by seven states and Union Territories, consequently,
either data has been used from publicly available reliable
sources, or the worst possible value has been assigned. In
Indicator Selection
and Data Collection
Dealing with
Missing Values
Data
Transformation
Aggregation
Index Calculation Steps Page 24
certain indicators such as for internet facilities available in
the north-eastern hilly states, a proxy average value pulled
out from the total number was assigned to each of these
states. The following table further highlights the exact
number of missing values, and how the final scores have
been attached on the premise of that.
Indicator
Number
Indicator Missing ValueFinal Value
1.2.5 Establishment and
Functioning of an
Empowered Committee
14 missing values: This indicator was broken
up into two parts. For the first component
that includes Establishment of an Empowered
Committee, almost all the states provided a
response. For the second component which
is Functioning of the Committee, majority of
the state values are missing for Arunachal
Pradesh, Bihar, Chandigarh, Chhattisgarh, Delhi,
Goa, Jharkhand, Karnataka, Kerala, Mizoram,
Puducherry, Tamil Nadu, Telangana, and Tripura.
In this scenario, the worst
possible value has been
assigned.
2.1.3.1 Power CostThe value is missing for Mizoram. The highest value has been
assigned in this case to
impute the missing value.
3.1.4 Trade GuideThere is only one missing value for Kerala. The worst possible value has
been assigned.
3.2.1 Projects Approved
under Trade
Infrastructure for
Export Scheme (TIES)
There are six missing values for the following
states: Chandigarh, Goa, Jharkhand, Karnataka,
Kerala, and Meghalaya.
In this case as well, the
worst possible value has
been assigned.
3.2.3 Capacity Building/
Orientation Workshops
There are 17 missing values in this:
Andaman and Nicobar Islands, Chandigarh,
Chhattisgarh, Goa, Gujarat, Haryana, Himachal
Pradesh, Jharkhand, Kerala, Madhya Pradesh,
Meghalaya, Mizoram, Nagaland, Puducherry,
Punjab, Sikkim, and Telangana
The worst possible value has
been assigned.
3.2.4 Membership of
Exporters in trade
promotion council
There are 7 missing values:
Himachal Pradesh, Kerala, Meghalaya, Nagaland,
Punjab, Tamil Nadu, and Telangana.
The worst possible value has
been assigned.
Data Transformation
The measurability of the indicators was varied: while for
some of the indicators, scores were used, for others ratios
and values were given. In the sense, all the indicators had
measurements in different units. Most of the indicators
had binary scoring, and the indicators that did not, had to
be standardized to make them comparable. Otherwise, a
variable that has less variation relatively but is measured
on a larger scale compared to other variables may appear
to have much greater variation than it does. For instance,
if an indicator related to the measurement of an area was
calculated, the unit was taken as square kms to make
them comparable for ease in calculation.
In case of Memorandums of Understanding, signed by
the states within a period of 3 years (between 2016-19)
under the pillar of Business Ecosystem, the data points Export Preparedness Index 2020 sent in by the state have been scaled down for calculation
purposes with a State having held a summit every year
scoring 1. A similar process has been adopted for the
Labor Reforms Index under the same pillar, scaling it down
to a score between 0 and 1 for ease in calculation.
In case of Export to GDP ratio under the pillar of
Export Performance, the indicator is composed of two
components: Value of exports of States and the GDP of
the State. In order to arrive at the ratio for the same, the
data for value of exports of the states has been provided
by DGCIS, while the GDP of the state is publicly available.
Here, the DGCIS data include the export value originating
from the states. After procuring the data, the ratio has
been computed to standardize it for further analysis. Thus,
standardization has been utilized to solve the problem by
making the indicators ultimately unitless so that they are
rescaled with a mean of zero and standard deviation of
one.
Aggregation
The Export Preparedness Index uses the Principal Component Analysis (PCA) for calculating the weights of indicators
within a component.
The following steps have been adopted for the calculation :
The indicator values transformed on a 0 to 1
scale using the following formula:
The score on “Export Preparedness” is the
average of the four pillars:
The component values are calculated by
summing up the weighted scores using the
following formula:
The component scores are averaged out for
getting the pillar score:
(where, Xj represents the raw component values.)
(where x is the number of components in each) pillar
Xj-Worst Case
Export
Preparedness
Index
s
0.20(Policy
s
)
+ 0.40(Business Ecosystem
s
)
+ 0.20(Export Ecosystem
s
)
+ 0.20 (Export Performance
s
)
Sub-Pillar Scores = ∑ (wi * indicator)
Pillars = 1/x ∑ Sub-Pillars,
100x
Best Case-Worst Case
01
04
02
03
= Page 26
Export
Preparedness
Index: Key Findings
The Export Preparedness Index is the outcome of extensive research to assess the readiness
of the states in terms of their export potential. The framework is an aggregation of four pillars,
eleven sub-pillars, and fifty-five indicators, which capture the export landscape of the sub-national
governments in the country. Country-Level Analysis
Figure J: Country-Level Analysis of Export Preparedness Index
Before heading towards the state-level analysis, a
macroscopic view of the framework must be presented to
understand the export readiness for India. A country-level
analysis would provide a comprehensive outline of India’s
strengths and weaknesses regarding export preparedness,
which would be extremely helpful in formulating efficient
nation-wide policies and strategies.
On the whole, India has scored an average of 39 on the
index. This shows the tremendous potential that India
holds towards transforming into an export-based super-
economy. When the average is broken down into Pillars
and Sub-pillars, a much clearer picture emerges.
Both Policy and Business Ecosystem are the two highest-
scoring pillars, with the Export Ecosystem being the least
scoring pillar.
EPI
Export Promotion
Policy
Institutional
Framework
Business
Environment
Transport
Connectivity
Export
Infrastructure
Growth and
Orientation
Export
Diversification
R&D
Infrastructure
Access to Finance
Trade Support
Infrastructure
This suggests that while India may possess
a conducive business environment and
export policies may be in place; it is not
necessarily translating into a stronger
export ecosystem.
A strong trade support system enhances the capacity
of exporters which in turn results in stronger export
performance. This is lacking in most states, as captured in
the sub-pillar analysis.
Some of the major reasons why India has a weaker export
ecosystem range from poor trade support to the inability
of the states to build export hubs. Only 9 states have
projects approved under TIES, which is supposed to act
as an inducement to the states to channelize funds from
the centre towards the creation of export infrastructure.
It is an important scheme because it is the only scheme in
the country where the Central Government is working in
close coordination with the State Government to equally
share the cost of projects. The scheme is supposed to
enhance setting up of and up-gradation of infrastructure
projects with overwhelming export linkages like the
Border Haats, Land customs stations, quality testing and
certification labs, cold chains, trade promotion centres,
dry ports, export warehousing and packaging, SEZs and
ports/airports cargo terminuses and improve export
logistics. It is the only scheme in the country that aims
to bridge the gap in export infrastructure among all the
states.
Export Preparedness Index 2020
39.59
44.86
34.72
44.61
51.07
53.73
35.53
38.22
16.94
23.38
18.01
55.02 Page 28
The idea is that this would enhance the export
competitiveness of the states if the gaps in export
infrastructure are plugged in. Export Infrastructure
remains a low-scoring sub-pillar, and one of the reasons
is that not enough states have projects approved under
TIES. This makes it difficult for states to seek financial
assistance to upgrade their export ecosystem.
However, the states are also largely lacking in terms of
providing basic trade support, such as a trade guide. There
are only 10 states in the country that provide a trade
guide, while only 15 states have ensured an online portal
for dissemination of information to exporters. Accessibility
of information to exporters is a primary support that the
states must extend, and if even that is absent then there
is a serious need to focus on strengthening the export
infrastructure right from ensuring the very basics.
Finally, the low average for the export growth and
orientation is a worrying sign as it shows limited annual
growth of exports in the country. It further implies most
of the states have not been able to gain access to a larger
share of the world market. It is only due to a recent rise in
export diversification (by country) that there has been a
better average for the Export Performance pillar.
The Business Ecosystem has performed relatively better
than the pillar of the Export Ecosystem. However, it is
a worrying sign that one of the major challenges that
emerge from this pillar is the lack of access to financial
facilities. This is particularly because most of the states
don’t have any form of loan facilities to be provided to
the exporters. Only 12 states have the same provision in
place. It is encouraging to find that smaller states such
as Tripura and Chandigarh provide loan facilities to its
exporters as a form of incentives.
The low export credit also remains a
challenge. Delhi and Chandigarh are the
only two states that provide high credit
of around 5.31 percent and 3.36 percent
respectively, in comparison to the country
average of 0.6 percent.
The bigger states, such as Maharashtra, Gujarat and Tamil
Nadu lag in this particular parameter. The smaller states
such as Sikkim, Tripura and Nagaland do not provide any
export credit. Resultantly, access to financial facilities
remains a challenge in the majority of states. Export Preparedness Index 2020 There is a high scoring range amongst
Indian states on the EPI where Gujarat has
the highest score of 75.14 and Jammu &
Kashmir with the lowest score of 12.27.
Gujarat has topped the index with a strong display in
various sub-pillars such as Export promotion policy,
Business Environment and Infrastructure. Notably, other
coastal states such as Maharashtra and Tamil Nadu occupy
the second and the third positions in the index. All the
three states have performed consistently across all the
pillars, thus consolidating strong scores. The results are
supported by the findings from the Economic Survey of
2018, which ranked the aforementioned three states
amongst the top five exporting states in the country.
Previous literature strongly suggests that Innovation
plays a key role in boosting the overall export growth
49
.
This could be achieved by directing strategic investment
towards R&D infrastructure and through successful
collaboration between the Government, Academia
and Industries. The best performing states in EPI have
also been some of the top scorers in the Innovation
Index. Gujarat, Maharashtra and Tamil Nadu have
managed to score high in India Innovation Index with a
dedicated emphasis on crucial factors such as business
ecosystem, investment on R&D etc
50
. These states have
struck a balance by attaining relative competitiveness
by driving innovation and thus boosting their overall
export figures. An additional advantage that these states
State-Level Analysis
Figure K: EPI Scores for the
Indian States
49
Sahu, S. K., Ramaswamy, S., & Choutagunta, A. (2017). Export Performance, Innovation, and Productivity in Indian Manufacturing Firms (No. 2017-159). Page 30
enjoy is the strong presence of industrial clusters that
ensure producers remain competitive which further
enhances their innovative tendencies
51
. This balance
between competitiveness, innovation and strong export
performance needs to be replicated across the nation.
On the other spectrum, Andhra Pradesh leaves room
for major improvements. Andhra Pradesh might have an
enabling business infrastructure, but the state does not
have a proper export ecosystem in the place. It is yet to
have a policy mechanism in place and hence has scored
below par overall.
From landlocked states, it is Rajasthan that emerges as a
top performer. Except for export growth and orientation,
the state has performed tremendously well across all
pillars and sub-pillars. Bihar and Jammu and Kashmir are
some of the weaker states in this category. They need
to improve their performance under the Policy and the
Export Ecosystem pillars, considering that they indicate
a glaring paucity in both enabling and facilitating factors
that could drive the states towards export-oriented
growth. Bihar not only lacks a policy measure in place but
also does not have adequate infrastructure to facilitate an
enabling export environment. One of the outliers in this
category is Jharkhand which has performed exceptionally
well in the first pillar. However, barring a policy measure,
the state has not been able to foster any business growth.
As a result, their export potential remains low.
Amongst Himalayan states and City-states, Uttarakhand,
and Delhi are the top-performing states.
Delhi is an anomaly because it does not provide enough
trade-related support, such as a trade guide or an online
portal for easy accessibility of information. Despite these
shortcomings, Delhi has been able to perform at par
with high-performing states. This is because Delhi has
been able to attract businesses and investments, thereby
creating an enabling business infrastructure. The state has
tremendous potential to translate this into an ideal export
ecosystem, once has the prerequisite basic infrastructure
in place.
On the other hand, Uttarakhand faces some of the
inherent challenges of being a hilly state in terms of
attracting businesses, such as transport connectivity.
However, it has shown strength in terms of creating an
enabling export ecosystem, by providing easy accessibility
of information to exporters. The state also has organised
a significant number of capacity building workshops and
trade fairs for exporters, and efforts such as these have
ensured that Uttarakhand has a high score.
Both Uttarakhand and Delhi have scored above the
national average, thus highlighting the urgency for the
rest of the states in these categories to step up and take
necessary actions to drive their respective export growth.
However, some promising signs suggest that positive
anomalies are emerging at sub-pillar levels. For instance,
Mizoram has scored a perfect 100 in the Export Growth
and Orientation sub-pillar while Puducherry has the
strongest score for R&D infrastructure.
50
NITI Aayog. 2019. India Innovation Index Report, 2019
51
Institute for Competitiveness. (2018). Clusters: The Drivers of Competitiveness. Export Preparedness Index 2020 RankState
Export
Preparedness
1 Gujarat75.19
2 Maharashtra 75.14
3 Tamil Nadu 64.93
4 Odisha58.23
5 Karnataka 55.17
6 Kerala 54.11
7 Andhra Pradesh35.58
8 West Bengal 34.05
RankState
Export Preparedness
1 Rajasthan 62.59
2 Telangana 57.43
3 Haryana56.03
4 Chhattisgarh 55.95
5 Uttar Pradesh 53.63
6 Madhya Pradesh 49.47
7 Jharkhand 48.00
8 Punjab39.63
9 Assam 22.81
10 Bihar 21.55
11
Jammu and Kashmir
12.27
Rank UT/City States
Export Preparedness
1 Delhi45.80
2 Goa40.94
3 Chandigarh26.07
4 Puducherry21.86
5
Dadra and Nagar Haveli
20.77
6
Andaman and Nicobar Islands
17.65
7 Daman and Diu12.76
8 Lakshadweep12.40
RankState
Export Preparedness
1 Uttarakhand48.11
2 Tripura 40.79
3 Himachal Pradesh 38.85
4 Meghalaya34.66
5 Mizoram 29.53
6 Nagaland29.00
7 Arunachal Pradesh28.28
8 Sikkim26.75
9 Manipur19.40
Category Wise Rankings
Coastal
LandlockedUnion Territories / City States
Himalayan Page 32
Rank StateExport Preparedness State Category
1 Gujarat75.19Coastal
2 Maharashtra75.14Coastal
3 Tamil Nadu64.93Coastal
4 Rajasthan62.59Landlocked
5 Odisha58.23Coastal
6 Telangana57.43Landlocked
7 Haryana56.03Landlocked
8 Chhattisgarh55.95Landlocked
9 Karnataka55.17Coastal
10 Kerala54.11Coastal
11 Uttar Pradesh53.63Landlocked
12 Madhya Pradesh49.47Landlocked
13 Uttarakhand48.11Himalayan
14 Jharkhand48.00Landlocked
15 Delhi45.80UT/City States
16 Goa40.94UT/City States
17 Tripura40.79Himalayan
18 Punjab39.63Landlocked
19 Himachal Pradesh38.85Himalayan
20 Andhra Pradesh35.58Coastal
21 Meghalaya34.66Himalayan
22 West Bengal34.05Coastal
23 Mizoram29.53Himalayan
24 Nagaland29.00Himalayan
25 Arunachal Pradesh28.28Himalayan
26 Sikkim26.75Himalayan
27 Chandigarh26.07UT/City States
28 Assam22.81Landlocked
29 Puducherry21.86UT/City States
30 Bihar21.55Landlocked
31 Dadra Nagar and Haveli 20.77UT/City States
32 Manipur19.40Himalayan
33 Andaman and Nicobar Islands 17.65UT/City States
34 Daman and Diu12.76UT/City States
35 Lakshadweep12.40UT/City States
36 Jammu and Kashmir12.27Landlocked
Overall Rankings Export Preparedness Index 2020 StateScores
Maharashtra94.93
Gujarat85.70
Jharkhand79.16
Karnataka79.16
Rajasthan78.28
Tamil Nadu77.57
Uttar Pradesh76.34
Chhattisgarh76.24
Telangana75.28
Kerala74.77
Odisha71.29
Uttarakhand69.52
Madhya Pradesh66.10
Haryana59.62
Goa51.13
Punjab51.05
Himachal Pradesh41.98
Meghalaya38.74
Tripura35.01
Nagaland34.38
Andhra Pradesh27.25
Sikkim22.00
Assam18.24
Mizoram14.74
Andaman and Nicobar Islands 10.10
Manipur9.19
Delhi9.05
Arunachal Pradesh5.69
Bihar0.00
Chandigarh0.00
Dadra and Nagar Haveli 0.00
Daman and Diu0.00
Jammu and Kashmir0.00
Lakshadweep0.00
Puducherry0.00
West Bengal0.00
StateScores
Gujarat90.61
Delhi83.80
Tamil Nadu80.63
Maharashtra71.17
Karnataka68.09
Uttar Pradesh65.02
Rajasthan64.70
Chhattisgarh62.91
Haryana56.82
Kerala56.23
Odisha55.81
Chandigarh53.83
West Bengal53.65
Tripura52.85
Telangana52.27
Andhra Pradesh50.46
Himachal Pradesh47.68
Goa46.69
Madhya Pradesh45.89
Jharkhand45.14
Punjab43.86
Arunachal Pradesh42.50
Uttarakhand39.28
Nagaland35.14
Sikkim35.13
Dadra and Nagar Haveli 33.52
Bihar31.18
Andaman and Nicobar Islands 29.04
Assam26.31
Mizoram25.77
Meghalaya24.99
Puducherry24.63
Daman and Diu24.13
Manipur17.02
Jammu and Kashmir14.92
Lakshadweep12.88
Policy PillarBusiness Ecosystem Pillar
Pillar Wise Scores across States Page 34
StateScores
Maharashtra81.19
Odisha65.94
Rajasthan65.00
Uttarakhand62.67
Telangana60.88
Haryana60.30
Tamil Nadu57.83
Madhya Pradesh48.41
Gujarat47.35
Tripura44.73
West Bengal44.24
Karnataka43.93
Meghalaya43.39
Jharkhand40.70
Chhattisgarh38.80
Uttar Pradesh36.92
Puducherry27.46
Kerala26.99
Andhra Pradesh21.46
Delhi18.78
Himachal Pradesh16.14
Punjab15.61
Chandigarh13.78
Arunachal Pradesh8.16
Goa8.03
Dadra Nagar and Haveli 7.43
Bihar6.97
Jammu and Kashmir5.63
Daman and Diu5.56
Sikkim5.18
Manipur5.16
Assam3.85
Andaman and Nicobar Islands 3.40
Mizoram3.33
Nagaland3.17
Lakshadweep2.46
StateScores
Mizoram78.07
Gujarat61.71
Maharashtra57.26
Kerala56.30
Goa52.16
Manipur48.63
Haryana46.60
Telangana46.45
Punjab43.74
Arunachal Pradesh42.57
Odisha42.29
Meghalaya41.22
Madhya Pradesh41.04
Himachal Pradesh40.75
Rajasthan40.27
Assam39.33
Chattisgarh38.91
Bihar38.41
Nagaland37.18
Sikkim36.35
Lakshadweep33.77
Delhi33.57
Puducherry32.56
Jharkhand29.89
Uttarakhand29.82
Dadra and Nagar Haveli 29.36
Andhra Pradesh28.27
Tamil Nadu28.00
Jammu and Kashmir25.87
Uttar Pradesh24.88
West Bengal18.69
Tripura18.50
Andaman and Nicobar Islands 16.67
Karnataka16.61
Daman and Diu9.99
Chandigarh8.91
Export Ecosystem Pillar Export Performance Pillar Export Preparedness Index 2020 Sub-Pillar Analysis
PILLAR 1: POLICY
Sub-pillars
Export Promotion Policy
The Policy Pillar comprises two sub-pillars: Export
Promotion Policy and Institutional Framework. Coastal
category scores the biggest average due to strong
performance shown by Gujarat and Maharashtra. Andhra
Pradesh’s performance remains poor in this particular
pillar due to lack of policy measures.
Landlocked states are not far behind with Jharkhand and
Rajasthan receiving decent scores. However, states such
as Bihar have performed poorly in this particular pillar,
primarily because Bihar has no policy mechanism in place.
Amongst Himalayan states, Uttarakhand is the only
outlier.
Amongst UT/City-states, Goa is the clear outlier. Most of
the City-states have scored zero in this pillar, as a result
bringing down the category average drastically. Union
Territories such as Delhi and Puducherry have no policy in
place and hence have performed poorly in this pillar.
As the average above suggests, this
sub-pillar is dominated by Coastal and
Landlocked states as top performers.
Coastal states have the highest average
as with Gujarat and Tamil Nadu scoring a
perfect 100.
Category Average Score
Coastal63.83
Himalayan30.13
Landlocked52.75
UT / City-States 8.78
CategoryAverage Score
Sub-Pillar Average 44.85
Landlocked 58.79
Coastal71.53
UT/City-States 10.53
Himalayan/Hilly States34.64
Figure L: State-wise
export promotion
scores Page 36
ANDHRA PRADESH, despite being a coastal state has
not performed well in this sub-pillar, having only identified
thrust sectors for exports, with no definitive export policy
in place. The Himalayan states and UT/City-states, have
also fared poorly in this sub-pillar. Most of the states
under these categories have scored below the sub-pillar
average of 44.85. Lack of sector-specific export policies,
marketing support or financial incentives to boost exports
has dragged the Himalayan states and Union Territories
down in the sub-pillar rankings.
Only 14 out of 36 states and UTs that do not have a
defined export policy. However, there are about 13
states that have policies emphasizing on product quality
and standards. Product quality and standard checks are
Identifying the policy focus areas are not
enough for an effective export policy; there
is a need to improve other allied policy
measures such as financial incentives to
boost exporters, an award for excellence,
creating a performance measurement
system, providing marketing support and
laying better emphasis on product quality
and standards.
necessary to instil confidence amongst importers and thus
make exports reliable in the international market. Also, it
has been found that there is a strong correlation between
frequent quality checks and the volume of exports
52
.
TAMIL NADU is a perfect example that proves the above
point of thanks to its strong of export promotion policies.
The state also provides land allotment for companies with
a clear roadmap for Export based business
53
. Along with
this, there are sector-specific export plans for industries
such as Automobiles, IT and Marine products. Finally,
the state government provides financial aid to deserving
exporters on the recommendation of Export Promotion
Councils, to meet legal costs and other associated
expenses
54
.
JHARKHAND has performed extremely well in this
sub-pillar because it has a policy measure in place. It has
mechanisms in place, such as financial incentives, award
systems, allotment of land to create an encouraging
infrastructure. This is why its performance is at par with
the coastal states of Gujarat and Tamil Nadu.
On the other hand, Bihar, a state out of which Jharkhand
was carved out, has performed poorly in this pillar
because it has no policy measure in place.
52
International Trade Centre. (2011). Export Quality Management A Guide for Small And Medium
Sized Exporters Second Edition.
53
t.tn.gov.in/en/ELCOSEZ/Madurai-Vadapalanji
54
The Federation of Indian Micro and Small & Medium Enterprises- Tamil Nadu Export Schemes Export Preparedness Index 2020 Institutional Framework is one of the sub-pillars with the
lowest average. There are 11 states/UTs (7 of which could
not share the complete data) with a zero score which
adversely affects the sub-pillar average. However, there
is one positive outlier in Maharashtra that has a perfect
score of 100. Unlike the ‘Export Promotion Policy’ sub-
pillar; Institutional Framework consists of state scores
that are closely distributed. Thus, the difference between
the category averages is lower as compared to the
previous sub-pillar.
CategoryAverage Score
Sub-Pillar Average34.72
Landlocked46.72
Coastal56.14
UT/City-States7.04
Himalayan/Hilly States 25.64
Tamil Nadu, which has performed well in the previous sub-pillar, has performed relatively poorly in this sub- pillar, primarily since it does not have an empowered export committee in place.
This implies that while states have
identified specific export promotion
measures, they have not focused equally
on building policy infrastructure that is
required to implement the policy vision.
For instance, there are only 15 States with a State-Centre
coordination cell. Absence of such cells prevents the
States/UTs from efficiently harnessing the benefits of
central schemes. Similarly, only half of the states/UTs
have a grievance redressal office that could help exporters
and eliminate any existing information asymmetry.
Institutional Framework
Figure M: State-
wise institutional
framework scores Page 38
On average, UT/City-States and Himalayan states have been the worst performers.
The hilly states such as Arunachal Pradesh and Mizoram
have performed poorly, due to absence of a state-centre
coordination cell, formulation of definitive measures
to gain access to international markets and lack of
knowledge among stakeholders regarding the export
promotion measures taken by the state government.
Moreover, these states do not have any policy focus
oriented towards export promotion, as observed in
the first sub-pillar. The same problem exists for Union
Territories such as Delhi and Chandigarh. Consequently,
these states have heavily underperformed.
AMONG THE HILLY STATES, the only encouraging
performance has been displayed by Uttarakhand. The
state has access to international markets, an existing
empowered export committee, as well as a state-centre
coordination cell. It has even appointed a full-time export
commissioner. The efforts reflect in their performance,
wherein Uttarakhand is at par with much bigger coastal
states such as Tamil Nadu.
Thus, to promote the export policy pillar of the
relatively smaller states, there needs to be a concerted
effort to develop the policy vision as well as enabling
infrastructure.
MAHARASHTRA’S success can be used as a best-
practice measure for other states. It has 18 Sectoral
Export Promotion Councils that focuses on key exporting
industries such as Pharmaceuticals, Gems and Jewellery,
Processed food products etc. The State Government also
has a grievance redressal office for exporters to approach
the Government for any information or resolution of
problems
55
. Maharashtra is one of the few states to have
an export newsletter which updates exporters about the
latest policy changes within the State and the current
export scenario.
It is essential to nurture a business environment that
attracts investment and fosters growth through good
governance and balances between the levels of protection
and incentives
56
.
The Business Ecosystem pillar consists of four
components: Business Environment, Infrastructure,
Transport Connectivity, and Access to Finance.
If we take into consideration the average
scores of all the pillars, then this pillar has
the highest average.
55
dgftcom.nic.in/dgftmumbai/html/efc.htm
56
India Innovation Index Report, 2019
57
World Bank, Ease of Doing Business Report, 2016
PILLAR 2: BUSINESS ECOSYSTEM
CategoryAverage Scores
Coastal65.83
Himalayan35.59
Landlocked46.27
UT / City-States38.56
This implies that a considerable number of states have
taken significant steps to create an enabling environment
to facilitate the business ecosystem.
The coastal regions have performed exceedingly well
in this particular pillar, due to the strong performances
registered by Gujarat, Tamil Nadu, and Maharashtra.
Landlocked states such as Uttar Pradesh, Rajasthan,
Haryana and Chhattisgarh are not far behind either.
Unsurprisingly, Gujarat has topped the list of states across
all the categories, not to forget it had also topped the
ranking of World Bank’s ‘Ease of Doing Business’ with a
score of 71.14 percent. The same is true for Maharashtra.
Both of these states offer investor-friendly services for
obtaining infrastructure-related utilities like electricity,
water and sewage, in a time-bound manner
57
. Export Preparedness Index 2020 The overall average score of the landlocked states
suggests that there is scope for improvement in
comparison with the coastal states. It is, however,
important to reflect on the noteworthy reforms that these
states are trying to bring in to be more competitive. For
instance, Haryana, in 2016, had decided to offer private
companies village council land on a 33-year lease
58
. This is
due to the fact that the state faces a shortage of industrial
land. A move such as this would benefit the villages from
increased employment and revenue generation while
retaining ownership rights over the land. Initiatives such
as these despite natural shortcomings, for example, lack
of adequate land, could help other states to boost their
business ecosystem.
Under the category of UT/City-States, Delhi has
expectedly performed almost at par with Gujarat,
leaving the other top performers such as Tamil Nadu,
Maharashtra, and Uttar Pradesh behind.
Delhi performs well on this front mainly
due to higher investments attracted
owing to the fact that it is the national
capital. Delhi has displayed strength in
terms of its performance logistics sector.
This is reflected by its score of 3.57 in
Leads Index
59
. The India Innovation Index
Report also noted that Delhi’s business
environment is conducive for innovation.
Hence, Delhi’s high performance in this
pillar is not surprising.
The Himalayan states grapple with issues such as poor
transport connectivity, especially in comparison with all
the other categories of states, which particularly reflect in
their scores. This could be daunting in terms of attracting
significant investment to these states. However, there
is room for improvement by providing higher access to
finance to businesses, better internet connectivity, and
better access to banking facilities. Himachal Pradesh,
Arunachal Pradesh, and Uttarakhand emerge as the top
performers in this category.
58
CSIS Wadhwani Chair in US-India Policy, 2016
59
Leads Index Report, 2019 Page 40
Sub-pillars
Business Environment:
CategoryAverage Scores
Sub-Pillar Average 44.61
Coastal67.61
Himalayan29.33
Landlocked54.29
UT/City-States25.52
This sub-pillar sheds light into the different enabling aspects of the business environment: labour reforms initiated by the states, their innovative capacities, the investments they have been able to attract, single-window clearances, as well as the industrial power tariffs.
As the average scores suggest, the coastal states have
performed better than all the other states. The over-
performance of Gujarat, Maharashtra, Karnataka and Tamil
Nadu has significantly contributed to this.
Figure N: State-wise
business environ-
ment scores Export Preparedness Index 2020 ON THE OTHER HAND, RAJASTHAN, which is a
landlocked state, follows Gujarat closely with a score
of 92.18, leaving Maharashtra, Karnataka and Tamil
Nadu behind. This is primarily because the investments
attracted between 2016 and 2017 and 2018-19 were
proportionately higher.
Some of the significant steps Rajasthan has taken
are: simplified the process of filing applications by
implementing a system that allows online application
submission, payment, tracking and monitoring without the
need for a physical touchpoint for document submission
60
.
The state has further established specialized commercial
courts (in major towns/clusters of districts to cover the
whole state) to hear and resolve commercial disputes.
In terms of ensuring smooth electricity connections,
the state has ensured that distribution companies use
automated tools to monitor outages in all industrial areas.
The efforts have brought in significant transparency in the
business ecosystem in the state.
On the other hand, Jharkhand, which has
performed significantly well in the Policy
pillar, has failed to maintain its performance
in this pillar. It’s not enough for a state
to have a policy mechanism in place, it
must also have the an ability to foster an
environment that will attract businesses
and investments. Jharkhand’s innovative
capacity remains low, with a score of 6.2.
The state needs to focus on creating a
better business infrastructure to expand its
export capacities.
One of the surprising top-performances was Odisha
among the coastal states. Although Odisha, unlike
its other high-performing coastal and landlocked
counterparts, has not been able to attract significant
investments within the assigned period. However, it has
taken other measures to create an enabling environment
to attract businesses. For instance, Odisha has been
rated as the most cost-competitive state judged by the
criteria of the cost of setting up and running a business
61
.
It has been observed that the state has dwelt on
ensuring the lowest costs for key parameters: wage rate
of skilled labour, industrial power tariff and land costs.
This is reflected in their score of 92.08 in Ease of Doing
Business
62
.
Cost-competitiveness is a practice that can be emulated
by other states across all the categories to boost their
business environment.
Himalayan states such as Nagaland, Arunachal Pradesh
and Mizoram that have performed poorly, need to take
concrete measures for example introducing single-window
clearances, for attracting more investments in order to
better their business environment.
The top performances among the Himalayan states were
again displayed by Uttarakhand and Himachal Pradesh.
These two states have been able to attract significant
investments, bring in initiatives such as single-window
clearances to ease the process of setting up businesses,
as well as lower power to around Rs.5 per unit. Their
power costs are significantly lower than that of the other
Himalayan states which are Rs.6 per unit or higher.
60
State Business Reform Assessment, 2018, Ministry of Commerce and Industry, Government of India
61
Asian Development Bank, “Investment Climate Improvement in East Coast Economic Corridor of India: Regulatory, Institutional, and Policy Reforms
Support to Tamil Nadu”, 2018
62
State Business Reform Assessment, 2018, Ministry of Commerce and Industry, Government of India Page 42
Infrastructure
CategoryAverage Scores
Sub-Pillar Average 51.07
Coastal64.52
Himalayan59.63
Landlocked38.73
UT/City-States44.97Himalayan states that have performed
below average in most of the other sub-
pillars, have displayed strength in this
sub-pillar. Hilly states such as Arunachal
Pradesh, Nagaland Tripura, and Himachal
Pradesh have performed as well as Gujarat,
Odisha, Tamil Nadu, and Maharashtra
among the major coastal states.
This has to be,
however, read with caution.
Figure O: State-wise
infrastructure scores Export Preparedness Index 2020 It is important to denote here that some of the indicators,
such as the number of existing industrial corridors, did
not apply to all the states. The Himalayan states (except
Uttarakhand) do not have an industrial corridor. Hence,
these states did not get assessed on such parameters, as
a result of which their scores were proportionately high.
Furthermore, Arunachal Pradesh has three designated
Food Parks within the state, Maharashtra has five-
hundred and seventy software technology and food
parks. However, the registered number of exporters
in Maharashtra is also significantly higher than that of
Arunachal Pradesh, which leads to Maharashtra’s average
in this particular indicator being smaller than that of
Arunachal Pradesh.
This is also the primary reason why landlocked states have
performed poorly in comparison to the Himalayan states.
One of the main reasons why HIMACHAL PRADESH
has also performed well in this sub-pillar is because it is a
power surplus state, and provides the highest number of
internet connections in comparison to not only the hilly
states but also states in other categories. The state has
69488 subscribers per lakh population, which is higher
than the country average of 50960. On the other hand,
a comparable state such as Uttarakhand has only 20960
subscribers.
The hilly states might be at a disadvantage due to not
having adequate infrastructure to steer business growth.
However, initiatives such as providing adequate power
and bringing in steps to ensure internet connectivity
throughout the states have helped them to perform well
under this sub-pillar.
On the other hand, among the Union Territories,
Delhi is at par with Gujarat in this sub-pillar. Among
the landlocked states, Telangana, Uttar Pradesh and
Chhattisgarh have emerged as the better performing
states.
The components within this sub-pillar highlight that the
landlocked states have performed differently across the
various indicators. Uttar Pradesh is, for instance, the
top-performer in terms of displaying cluster strength. Its
score in terms of cluster strength stands at 123, while the
country average stands at 40. This provides the state with
an opportunity to promote these clusters and accelerate
their exports. However, in terms of internet facilities, the
most populous state in the country provides internet to
only 31703 subscribers per lakh population, while the
country average hovers around 50960. This leaves scope
for the state to improve on this key parameter to create
an enabling infrastructure.
The high score of Delhi is particularly driven by the fact
that it provides the highest internet connections in the
country. The number of wireless data subscribers per lakh
population for Delhi is 146430 while the country average
stands at 50960
63
.
63
TRAI data report, 2019 Page 44
Transport Connectivity
CategoryAverage Scores
Sub-Pillar Average 53.73
Coastal67.95
Himalayan45.20
Landlocked55.99
UT/City-States46.00
Gujarat, Maharashtra and Tamil Nadu have emerged as the
top-performing states under this sub-pillar. Delhi, is at par
with the top-performing states. The common factor is that
all of them have well-established air-cargo facilities, multi-
modal logistic hubs, as well as inland container depots.
This enables them to ensure smooth transport of goods,
as well as attract major investments for the states. Delhi
has the record of handling the second highest freight
management in the country, primarily because it is the
nation’s capital.
Figure P: State-wise
transport connectiv-
ity scores Export Preparedness Index 2020 Conventional wisdom says the coastal regions would
outperform the landlocked states in this parameter.
While it holds overall, landlocked states
such as Haryana, Madhya Pradesh and
Telangana have performed at par with the
coastal states.
Haryana and Telangana each have a score of 3.4 and
3.37 respectively in the LEADS Index, which measures
performance in the logistics sector. Their scores are
comparable with coastal states such as Tamil Nadu and
Maharashtra.
TELANGANA, for instance, has reduced problems of
congestions and delays of exports through various
transport modes. They have done so through their single-
window clearance system that allows international traders
to submit clearance forms at a single window. They can
complete all the formalities at the same location. This
also eases the process of customs clearance. Because 24
states now have single-window clearances available, this
step can be emulated by other states to ease the transport
of goods.
On the other hand, Odisha, despite being a coastal state,
is an underperformer in this sub-pillar owing to lack of
multi-modal hubs and lesser freight capacity in terms of
air-cargo facilities in comparison to other coastal states.
Expectantly, the hilly states have performed
poorly in this category. Barring Uttarakhand
and Himachal Pradesh, the other six
Himalayan states lack freight management,
multi-modal hubs, as well as inland
container depots.
Access to Finance
Figure Q: State wise
access to finance
scores Page 46
CategoryAverage Scores
Sub-Pillar Average 35.52
Coastal63.24
Himalayan8.21
Landlocked36.09
UT/City-States37.77
Tamil Nadu, Delhi and West Bengal have emerged as the
top-performing states under this sub-pillar.
The most encouraging factor which has
emerged from this sub-pillar that among
Union Territories, Delhi and Chandigarh
have performed at par with the major
states.
This is primarily driven by the fact that Delhi and
Chandigarh respectively provide export credit of 5.31
and 3.36 percent when the country average for the same
stands at 0.6 percent. This practice can be adopted by
states across categories to enhance the accessibility of
finance for the exporters.
Among the coastal states, Tamil Nadu and West Bengal
provide export credit of 2 and 1.08 percent respectively
which is significantly higher than the national average.
In contrast, Maharashtra and Gujarat, which are
comparable to Tamil Nadu and West Bengal in terms
of providing banking facilities, have lagged because of
providing relatively low export credit.
Majority of the Himalayan states do not even have the
provision of a scheme to provide loans to their exporters.
Their poor performance is reflective of the same. For
instance, even though Tripura has a scheme in place the
state does not provide any export credit. On the other
hand, even if Uttarakhand provides 0.43 per cent of its
GDP as export credit, the state has no provision in place
to provide any form of loans to the exporters.
PILLAR 3: EXPORT ECOSYSTEM
This is the worst-performing pillar with an average score of only 29.19. This is primarily because of the absence of special economic zones, export zones for agricultural products as well as trade centres in most states. This exempted many states from being compared to others. Furthermore, most states do not have an enabling trade support system in place which brought down the average scores of this pillar significantly.
In contrast, Business Ecosystem was the best performing
pillar, which implies that the states have made significant
progress in creating an enabling business environment.
But, majority of them are yet
to achieve the same in
terms of creating an export environment.
The coastal states of Maharashtra, Odisha and
Rajasthan have occupied the top three ranks. For
instance, Odisha has performed well in terms of
providing trade support. The state has conducted
24 capacity building workshops to provide exposure
to traders which guides the latter into adopting best
practices in exports. Furthermore, it’s one of the top
five states in terms of strengthening its research and
development infrastructure. This has put the state at
an advantage among others in this pillar.
Among the landlocked states, Rajasthan, Telangana,
and Haryana emerged as the top-performing states
in this pillar.
CategoryAverage Scores
Coastal48.61
Himalayan21.32
Landlocked34.82
UT / City-States 10.86 Export Preparedness Index 2020 Sub-pillars:
Export Infrastructure
CategoryAverage
Scores
Sub-Pillar Average 38.22
Coastal67.87
Himalayan 28.76
Landlocked 47.85
UT/City-States 5.97
The hilly states have performed poorly primarily because
there is inadequate support for trade. Except for Tripura
and Uttarakhand, the other hilly states do not have an
informational portal for the exporters. These two states
also conduct trade fairs and capacity building workshops
as part of trade support. Uttarakhand, however lacks an
informative trade guide. The steps undertaken by the
states have been clearly inadequate and there is scope
for improvement in terms of creating an enabling export
infrastructure.
Figure R: State wise
export infrastructure
scores Page 48
The states can enhance their export competitiveness by
plugging the infrastructural gaps. This can be achieved
by introducing export promotion hubs and by making
relevant export information more transparent as well as
accessible.
In this sub-pillar, Maharashtra, Telangana and Tamil Nadu
have performed exceedingly well, in terms of providing
designated areas for trade centres, a trade guide, as well
as an online portal for exporters.
MAHARASHTRA boasts of the largest number of special
export promotion zones. The state has promoted the
development of several export promotion hubs for sectors
such as IT/ITeS, pharmaceuticals, biotechnology, textile,
automotive & auto components, gems & jewellery and
food processing. Their export promotion hubs are diverse
and spread across the state
64
. Maharashtra can serve as
a role model for its peer states, in terms of strengthening
export promotion parks and hubs.
Only 10 states provide a trade guide, and 15 states
provide an online portal for exporters.
All those which under the category of Union
Territories, do not have any trade guide or
online portal.
This reflects in their extremely poor average score within
the sub-pillar.
FOR INSTANCE, DELHI which has displayed strength in
the sub-pillars of the Business Ecosystem has performed
poorly in this particular sub-pillar. Delhi does not
provide a trade guide or an online portal where relevant
information about exporters is made accessible.
Accessibility of information, thus, remains a major
challenge for the majority of the states.
64
Indian Maharashtra Industry Report (December, 2019), IBEF Export Preparedness Index 2020 Trade Support
CategoryAverage Scores
Sub-Pillar Average 16.94
Coastal37.64
Himalayan12.76
Landlocked17.15
UT/City-States0.65
States need to have in place strategic policy interventions
to guide the states into improving their export quality and
quantity.
Such policies include a platform for
exporters to showcase their products and
interact with new partners; and capacity
building workshops to train and disseminate
knowledge amongst exporters.
Figure S: State-
wise trade support
scores Page 50
Maharashtra, Odisha and Uttarakhand are the top
performers under this sub-pillar.
UTTARAKHAND’S performance serves as an encouraging
example for other states, particularly the hilly states and
the Union Territories. Uttarakhand has held 21 trade
fairs and conducted 10 workshop training for capacity
building of exporters
65
. Furthermore, they have 11
projects approved under TIES, which is the highest across
all the states. The enrolment of members in the export
promotion council stands at 13.56 percent, which stands
at zero for all the other comparable states. Uttarakhand’s
efforts in these parameters have helped the state to
perform as well as the other states.
The Union Territories have performed extremely poorly
in this sub-pillar. Except for Delhi, the others do not have
any project approved under TIES. This limits their financial
assistance to upgrade export infrastructure. Furthermore,
none of the Union territories conducts training workshops
for exporters, which have put them at a disadvantage.
R&D Infrastructure
65
In the period of 2016-17 and 2018-19
Figure T: State-wise
R&D Infrastructure
scores Export Preparedness Index 2020 CategoryAverage Scores
Sub-Pillar Average 23.38
Coastal21.09
Himalayan15.02
Landlocked26.43
UT/City-States30.87
A higher frequency of research and quality checks
accelerates the innovation; Therefore ,research institutes
and NABL accredited laboratories play a vital role in
pushing exporters to enhance the quality of products in
tune with international standards.
Overall, the Union Territories have performed exceedingly
well as displayed by their average scores. Puducherry is
the top performer in this sub-pillar with a perfect score of
100.
However, this sub-pillar includes indicators
that are measured in proportion to the state
population. Thus, it may affect the positions
of states with large populations and as a
result, states such as Gujarat and Tamil
Nadu both lie below the average score. The
smaller states such as Uttarakhand and
Himachal Pradesh have also performed
well owing to the same reason. Their over-
performance has to be read with caution.
There is a serious paucity in terms of Research Institutes,
thus curbing the innovative tendencies of the subnational
economy. Furthermore, inspection agencies which are
accredited by NABCB are only available in 14 states.
There is a disparity in terms of availability of NABL
accredited research labs across states. While Maharashtra
has 895 accredited labs, Uttar Pradesh has only 83 labs at
an internationally acceptable level of competence. Smaller
states such as Sikkim have no such labs. The states
therefore perform differently in terms of scaling R&D
infrastructure in the country, which in turn, affecting their
productivity.
On the other hand, professional colleges are abundant,
which indicates the states are producing substantial
numbers of graduates. However, on an average, India has
a dearth of R&D workers per million.
66
Indian states need
to address these gaps to increase their productivity.
Furthermore, government expenditure, almost entirely
borne by the Centre, is the driving force of R&D in India in
contrast to advanced countries where the private sector is
the dominant and driving force of R&D spend.
67
There is
a need for greater participation of state governments and
the private sector in overall R&D spending. This would
also provide greater employment opportunities, leading to
greater innovation and a higher volume of exports.
Gujarat, which has performed exceedingly well in majority
of the sub-pillars, has severely underperformed in this
particular scenario. The state’s ratio of professional
colleges stands at 0.7 percent, which is poorer even in
comparison with other well-performing states such as
Maharashtra, Tamil Nadu, and Karnataka. Maharashtra’s
figure stands at 2 percent.
On the other hand, Gujarat’s ratio of research institutes
stands at 0.04 percent, while that of a state such as
Rajasthan stands almost close to 1.49 percent. This leaves
scope for Gujarat to boost its R&D infrastructure, which
could complement and sustain the high business growth
in the state. This will further accelerate the innovation
process in the state and better their quality of exports.
It is to be noted that the landlocked states, especially
Rajasthan have performed better than the coastal states
in R&D infrastructure Rajasthan, in comparison to Gujarat,
has no inspection agency but has a significantly greater
ratio of NABL labs as well as research institutions. Their
ratio of research institutes stands at 1.5 percent, much
higher than Gujarat’s 0.04 percent.
66
India Innovation Index Report, 2019
67
R&D expenditure Eco-System Report”, Ministry of Heavy Industries & Public Enterprises, 2018 Page 52
PILLAR 4: EXPORT PERFORMANCE
Strong performances from the Himalayan states of
Mizoram and Manipur have put the average score higher
than other states. Mizoram is a distant topper of this pillar
after delivering strong results in Export Orientation and
Market penetration. The state’s success can be credited
to remarkable average export growth. It offers immense
potential for commercial utilization of the natural resources
for export-oriented industries. Even if Mizoram’s export
base is relatively low, this growth sets the right precedence
and will further promote state intervention to ensure the
sustainability of the said growth rate.
Mizoram specialises in the production of bamboo in India,
with more than 30 species found in the state. It caters
to 14 percent of India’s bamboo needs. Apart from this,
Mizoram also specialises in the production of spices such as
turmeric and ginger, as well as fruits.
It is no surprise that India recorded an exceptionally high
export growth of spices in 2017-18
68
. The country exported
a record 10,28,060 tonnes of spices and spice products
valued at Rs 17,929.55 crore in 2017-18, if we take a closer
look at Mizoram’s export basket, it can be found that spices
constitute almost 20 per cent of their overall exports.
It is encouraging to observe that smaller states which
have displayed little to no strength in other pillars are
performing well in this one. A strong export performance
should encourage states such as Mizoram to improve their
performance in other pillars as well.
While Gujarat and Maharashtra occupy the second and
third position respectively; states such as Tamil Nadu
and Karnataka which have fared better in other pillars
feature in the bottom half of the rankings. This could be
attributed to negative average export growth and weaker
export concentration.
However, the encouraging performances by the smaller
states have to be viewed with caution. In the case of Tamil
Nadu, for instance, the volume of exports has been large
throughout the years, and hence the average growth is
not as significant for the state. But Mizoram has been able
to increase its volumes from a relatively smaller share to a
larger share within the same period, and hence its average
growth is higher. Thus, in absolute terms, Tamil Nadu will
outperform Mizoram, but in average terms of growth, it
will not.
CategoryAverage Scores
Coastal38.64
Himalayan41.45
Landlocked37.76
UT / City-States 27.12
68
www.business-standard.com/article/pti-stories/record-export-growth-of-indian-spices-in-2017-18 Export Preparedness Index 2020 Sub- Pillars
Growth and Orientation
CategoryAverage Scores
Sub-Pillar Average 18.01
Coastal20.83
Himalayan25.84
Landlocked12.30
UT/City-States14.25Mizoram’s impressive average export
growth and percentage of increase in
exporters could be down to a low base for
the same indicators in the previous year.
Other Himalayan states, such as Manipur
and Sikkim are some of the other strong
performers, thus highlighting the influence
of a growing export footprint in the hilly
regions.
This sub-pillar measures the relative and absolute growth
in the state-level exports. Through export-GDP ratio, the
states will be able to assess the contribution of exports
and similarly, the number of exporters present in the
state will indicate the conducive environment.
Figure U: State-wise
growth and orienta-
tion scores Page 54
MANIPUR, like Mizoram, benefits from conducive climatic
conditions and specialises in the production of agricultural
products such as bamboo and spices. Apart from that,
it is home to many medicinal plants, which also reflects
on its export basket. Medicines constitute 17 percent of
Manipur’s export. In recent years, India’s exports of drugs
and pharmaceutical products have significantly grown
69
. This
could be one of the reasons for Manipur’s export growth.
AMONG THE UNION TERRITORIES, GOA AND
ANDAMAN & NICOBAR ISLANDS have registered the
best performance. For Andaman and Nicobar Islands, this
is primarily because of its significantly high export growth
of over 280 percent over the last three years. For Goa, its
mainly due to the high Export to GDP ratio and increase in
number of exporters. Andaman specialises in exports related
to textiles. The textile industry is one of the biggest export
industries in the country, and hence the island benefits from
it. If they can boost their infrastructure, it would further help
them to expand their exports.
On the other hand, states that have
performed relatively well in other sub-pillars,
have not been able to perform up to the
mark in this particular sub-pillar. For instance,
Rajasthan’s average export growth over
three years stands at a meagre 5 percent.
Maharashtra’s is as low as 0.12 percent. The
larger states must take initiatives to expand
their export growth. Because they already
have the prerequisite infrastructure in
place, their volume of exports should not be
restricted to lower valuations.
Export Diversification
69
Annual Report 2018-19, Ministry of Commerce and Industries
Figure V: State-wise
export diversification
scores Export Preparedness Index 2020
CategoryAverage Scores
Sub-Pillar Average 55.02
Coastal56.45
Himalayan57.07
Landlocked63.23
UT/City-States40.00
Export diversification measures both the dispersion of
export value across an exporter’s products and the extent
to which exports from a state reach already proven
markets. Better trade value concentration and market
diversification protect the exporting unit from external
shocks.
It has emerged from the findings, that the states are yet
to strike a balance between trade value concentration
and market diversification. Except for Kerala, none of the
states features in the top 12 for any indicator. Kerala is
the only state that has performed exceedingly well in this
sub-pillar.
For states scoring low on Market Penetration Index there
is a further need to assess why they are not being able to
reach potential markets, find out how competitive their
products are, and find newer possible markets for better
geographic outreach.
The states must adopt a balanced approach to export
growth and diversification. Export concentration is
just one half of the said approach which would protect
Export Concentration Top 12
Market Penetration Index Top 12
MeghalayaRajasthan
ManipurMaharashtra
AssamPunjab
NagalandTelangana
BiharGujarat
MizoramTamil Nadu
LakshadweepHaryana
Chhattisgarh Delhi
SikkimMadhya Pradesh
Arunachal Pradesh Uttar Pradesh
KeralaDadra Nagar and Haveli
TripuraKerala
the states them from internal economic shocks while
emphasizing on comparative advantage. However, the
focus must also be on expanding export diversification
both in terms of products and destinations. Proven
literature suggests that export diversification is one of the
key drivers of economic growth
70,71
.
The graph below depicts the average reach of the top
10 products across the world of the states. The states
with higher average reach have an advantage in avoiding
potential global economic shocks while also establishing
new trading partnerships.
70
Hesse, H. (2009). Export diversification and economic growth. Breaking into new
markets: emerging lessons for export diversification, 55-80.
71
Al-Marhubi, F. (2000). Export diversification and growth: an empirical investigation.
Applied economics letters, 7(9), 559-562. It is mostly the top-performing states that
have successfully diversified their export
basket in terms of destinations. Most of
the small and hilly states are heavily reliant
on natural resources. This makes it difficult
to diversify their baskets in comparison to
other categories of states.Himachal Pradesh, primarily exports medicines, to 152 of
226
72
countries that export this product. However, the
performance is not consistent across all the ten products
that the state exports. This remains a problem for most of
the smaller states.
72
Number of countries listed by International Trade Centre
AVERAGE NUMBER OF EXPORT DESTINATIONS
Figure W: State-wise average number of export destinations (Source: DGCIS, Author’s Calculations)
Page 56 Export Preparedness Index 2020
Learnings
and
Strategies Page 58
Key Learnings
The key learning that emerged from this edition of EPI has
been that India scored well on average across the sub-
pillars of exports diversification, transport connectivity,
and infrastructure for most of its states. The average score
of Indian states in these three sub-pillars was above 50%.
Amongst these three sub-pillars, export diversification
and transport connectivity show low standard deviation
(21.99 and 18.91 respectively) vis a vis other sub-pillars,
which signifies that in these two components, the
averages are not being skewed to the higher side by a
few over-achievers. Besides these strengths, Indian states
should also focus on other key components in order to
improve the overall export competitiveness.
To stimulate a favourable orientation towards exports,
states should incentivize the initiation of several
internal policy reforms. The findings of the Economic
Survey 2017–18 corroborate this: it indicated a strong
correlation between exports and prosperity in Indian
states.
It perhaps stands out that the impetus to improve export
orientation is not only restricted to the usual suspects
who have higher exports to GSDP ratio but also to several
emerging champions of exports, which face unique socio-
economic and geographic challenges.
Two of these champions are the landlocked states of
Chhattisgarh and Jharkhand, which have a cumulative EPI
ranking of 8 and 14 respectively. Despite their unique
challenges, which range from a lack of traditional export
orientation enjoyed by some coastal states to historic
regional underdevelopment stemming from a possible
resource curse, the impetus to promote exports as shown
by these two states is not only commendable but also
inspirational.
Steps such as ensuring the participation of exporters
in important trade fairs and buyer–seller meets, and
dissemination of information like market studies, design
trends, export trends, standards and specifications, and
trade enquires across exporter networks have facilitated
these states to achieve better export preparedness.
Other Empowered Action Group (EAG) states, which face
similar socio-economic challenges can take a page out of
Chhattisgarh and Jharkhand’s performances. It may help
them to not only achieve more prosperity but also escape
their “resource curse” by boosting the manufacturing base
in their regions.
Figure X: Correlation between exports and GSDP. (Economic Sur-
vey, 2017-18)
73
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https://commerce.gov.in/writereaddata/uploadedfile/MOC_636626711232248483_Annual%20Report%20%202017-18%20English.pdf
https://mofpi.nic.in/sites/default/files/2-ftpstatement2015.pdf
https://dgft.gov.in/sites/default/files/ftpst17-051217%20%283%29.pdf
INTERNATIONAL EXPORTS AND STATES’ PROSPERITY
STATES’ INTER-STATE GROSS TRADE AND PROSPERITY Export Preparedness Index 2020 Export orientation and preparedness are not just the
domains of prosperous or legacy states. Dynamic export
policy measures, functioning promotional councils,
and synchronization with national logistical plans can
provide opportunities even for emerging states to
embark on a path of prosperity backed by regional export
competitiveness.
However, regional divergences are not absent when it
comes to export preparedness in India. The challenge is
perhaps the same across the sub-pillars of trade support,
growth and orientation, and R&D infrastructure, where
the average score was barely able to touch 20 per cent in
only one out of the three indicators.
This shows that there is a need to establish coordinated
handholding in these three domains as the states
have been unable to cater to these requirements by
themselves.
Additionally, the divergence between mean and median
scores of the export infrastructure sub-pillar are among
the highest across all the sub-pillars - 18.73. This indicates
that almost half of the states and union territories are far
behind Telangana, Tamil Nadu and the sub-pillar leader
Maharashtra which has scored a perfect 100. Thus, across
states, the development of export infrastructure remains
skewed. The states will have to identify their key areas of
concern in this domain from the full scorecards and bridge
this gap individually or by convergence with Central
schemes.
Sub-PillarAverage Score Median ScoreDifference
Export Promotion Policy 44.8644.96-0.10
Institutional Framework 34.7233.481.25
Business Environment 44.6149.34-4.72
Infrastructure51.0751.50-0.42
Transport Connectivity 53.7353.310.41
Access to Finance 35.5330.315.22
Export Infrastructure 38.2219.4918.73
Trade Support16.942.0914.85
R&D Infrastructure 23.3819.533.85
Growth and Orientation 18.0112.715.30
Export Diversification 55.0256.75-1.73 Page 60
Sub-Pillar Key Learning
Export Promotion
Policy
Most states are mainly identifying their thrust areas/sectors for exports. This is not enough. Export
promotion policy needs to focus on incentives like providing market support, financial and non-financial
incentives to MSMEs, and an increased emphasis on product and process standards and quality
certifications.
Institutional
Framework
Institutional channels for operationalizing export promotion policy within states is leaving a lot to be
desired. There is a need to increase the number of grievance redressal cells, Centre-State coordination cells,
and outreach forum for exporters within states.
Business
Environment
Simplified processes of e-filing applications through online submission, payment, tracking and monitoring
have given significant benefits to exporters in many states. Furthermore, the establishment of commercial
courts in major cities to expedite conflict resolution and reduce associated legal costs have added to the
improvement of business environment in most leading states. The reduction in the cost of establishing and
running a business has been the key enabler for an improved business environment across states.
Infrastructure Along with creating infrastructure for co-locating industries in a region, states would also need to
emphasise the need for infrastructure that allows firms to collaborate with each other. Only when co-
locating agglomerations can effectively collaborate with each other, will they become a cluster. There is a
lot of potential for clusters, especially in land-locked states, to drive exports in many states.
Transport
Connectivity
Congestions and delays have been reduced across leading states by increasing the number of modes (multi-
modal) in a transport network. Moving forward, instead of increasing capacity of major modes of transport,
diversification of transportation across various modes would enable states to achieve lower congestion and
higher efficiency.
Access to FinanceThere is a crucial need to provide export focussed credit, especially for MSMEs, across most states in India.
The leading states in this sub-pillar offer almost X5 to X9 times the average percentage of export credits
in India to their exporters. State backed credits must to be explored in the short to medium term to boost
MSMEs potential for exports under the current global economic slowdown where private investment will
be tough to achieve.
Export
Infrastructure
The lack of soft-infrastructure such as an online portal and a trade-guide across states was alarming. Only
10 states had trade guides, and only 15 had an online portal for their exporters. Maharashtra can serve as a
model for its peers in terms of strengthening export promotion parks and hubs in operational terms.
Trade Support A platform for exporters to showcase products and interact with new partners and workshops to build
capacity for potential exporters to navigate international trade are two fundamental elements lacking
across states. Uttarakhand, and landlocked state, has done significantly well in this domain as it has been
able to mobilize 21 trade fairs and conduct over 10 workshops between 2017 and 2019. This was able
to support the highest enrolment of exporters within the export promotion council of the state when
compared to its peers in the same category.
R&D
Infrastructure
The inter-regional disparity in terms of availability of NABL accredited research labs is another concern.
While Maharashtra has 895 accredited labs, UP has only 83. Furthermore, state specific and state driven
R&D to boost local clusters emerged as a key area of focus in the analysis.
Growth
Orientation
This sub-pillar records the recent achievements of many North Eastern states that were able to export
more focussing on their indigenous product baskets. This shows that a focussed development of such
baskets – for example spices – can drive exports on one hand and also improve farmer incomes on the
other.
Export
Diversification
In the years to come, a balance needs to be struck between export value concentration and export
diversification as many conventional markets for Indian exports are expected to experience lower demands
owing to the economic slow-down. To tide over this situation states will have to individually come up with
market diversification strategies, with respect to their export baskets, to find new opportunities. Export Preparedness Index 2020 The situation is even more grim in the case of the trade
support sub-pillar, which although has an average score
of 16.9, half the states have only scored 2.1 or below.
To put this into context, the leader in this sub-pillar is
Maharashtra, which has a perfect score of 100. So, half
the Indian states are 97.9 points behind Maharashtra
when it comes to supporting trade. This is a cause of
concern. The trade support sub-pillar comprises indicators
that gauge the support that a state/UT provides to its
firms to be able to export. Since most firms in India are
heavily fragmented, collective action in export promotion
by firms is only possible through the facilitation of the
states. The large-cap organizations are mostly immune
to the lack of trade support as they can replicate the
necessary infrastructure in-house or successfully influence
trade confederations at the state and national levels to
gain support. The SMEs suffer from the lack of trade
support. If the vision of promoting exports by SMEs have
to be realized, then the trade support ecosystem will have
to be strengthened across the states. Merely creating
a common infrastructure for SME agglomerations will
perhaps not cut ice in the medium to long-term.
Furthermore, during this term states that are
geographically similar must be able to converge in terms
of their export potential, which is not the case now.
The gap between the best-performing coastal state and
the lowest score in the Export Preparedness Index is a
significant 41.15. Same in the case of landlocked states,
wherein the gap is even higher at 50.32.
One significant learning from this exercise was to
understand how favourable policy ecosystems and
facilitating regulations can harness not only geographic
advantages but also overcome geographic challenges.
The best-performing coastal states, for instance, perform
significantly better than most landlocked states due to
better policy ecosystems.
Based on the learnings, it is evident that export promotion
in India faces three fundamental challenges:
1.
Intra- and inter-regional disparities in export
infrastructure
2. Poor trade support and growth orientation among
states
3. Poor R&D infrastructure to promote complex and
unique exports
However, these are not the only problems faced by
the states. In fact, the whole purpose of this Index is
to counter the one-size-fits-all approach that focuses
on macro-trends. The foundational principle of this
Index is to promote competitive federalism wherein
each state can identify their critical challenges from the
detailed scorecards in the previous section and then
establish context-specific strategies to address the same.
However, the learnings do show that most states in the
country have failed to address these three main issues.
The inability of most states to come up with relevant
strategies for these three domains raises the question
if the states do not have the capacity to address these
issues. This has to be explored outside the context of this
study as it requires a much-detailed analysis. However, in
the short run, these three significant bottlenecks could be
addressed by undertaking the following strategies:
1.
Convergence: The creation of export infrastructure
is indeed a capital-intensive process, which may
CategoryHighest EPI Score Lowest EPI Score Gap
Coastal 75.1934.0541.15
Landlocked62.5912.2650.33
UT/City-States45.812.433.4
Himalayan/Hilly States 48.1119.428.7
Strategies Page 62
emerge as a challenge for many states even if they
have been able to perform better in other domains.
By convergence with various national infrastructure
development plans and coordinating the joint
development of export infrastructure, the Central
government can reward states that have taken
significant steps towards export promotion. It would
act as an incentive for others to undertake effective
policy reforms and not fall into policy inertia arising
from their inability to address the brick-and-mortar
issues.
2.
Robust government–industry–academia linkages:
With over 20 IIMs and several other institutes for management excellence spread across the country, creating good academia, industry, and government linkages to support trade should be a reasonably straightforward exercise. Yet, these linkages do not always organically develop in an emerging economy. Often capacity-building programmes in premier institutes of management tend to be expensive, with little support for vernacular speakers. Furthermore, there is a broader incentive problem to promote the operationalization of research on the ground by academia. Every state must actively create channels for government–industry–academia linkages by facilitating and encouraging the capacity building of SMEs and the establishment of general export councils. Industry–academia linkages should not just be restricted to the level of policy consultation but should also percolate down to regular capacity building exercises for SMEs in states that have done significantly well in exports. By identifying and educating such SMEs about inventory and cash-flow management, design and standard, and export operations, the government–industry– academia linkage will be able to address several legacy management issues that restrict the export competitiveness of the SMEs in Indian states.
3.
Creating state-level engagements for economic
diplomacy: India has several international chambers of commerce and trade facilitation centres. However, Indian states seldom engage directly with them. Under the newly christened ‘Economic Diplomacy and States’ vertical of the Ministry of External Affairs, NITI Aayog should create capacity within states and build frameworks to facilitate direct engagements with
such transnational trade bodies. It would allow states to leverage their unique socio-cultural, economic, and historic trade linkages to open new market channels. State-level engagement can align with the foreign policy of many of India’s partners, such as Singapore that is actively seeking to promote trade and investment engagements with Indian states. However, engaging with international forums may have national repercussions, and therefore the capacity for the same will have to be initially facilitated by the Centre. It would also have the potential to strengthen India’s para-diplomatic channels for economic and trade negotiations in the years to come.
4.
Focus on designs and standards to make products
export-ready: Focus must be placed on such aspects to tap into our export potential. Let us understand the importance of designs and standards with the help of an analogy. There are several unique and environmentally friendly handicrafts produced in India that have the potential to be exported abroad as items for interior decoration and upholstery. However, often these products have basic designs and do not meet export standards. The Central and state governments will have to coordinate and engage with design institutions within the country to create a national discourse on the importance of designs and standards needed for exports.
5.
New use cases for products: Moreover, new use
cases for conventional products, such as coconut coir, woven textiles, and bamboo, will have to be identified with design thinking so that the vast export potential of the Indian micro-enterprises gets adequately harnessed. The same is also true for the case of the industrial design of products. Several contract manufacturers in the electronics sector can be upgraded to original equipment manufacturers with proper design support. Designs and standards would undoubtedly emerge as a crucial pillar to promote India’s exports.
Though states would ideally develop the strategies for export preparedness based on their scorecards, the five procedures of intervention identified above cannot happen without the Centre’s facilitation. It is therefore imperative that moving forward the Centre continues to support the states that have been able to create Export Preparedness Index 2020 functional policy ecosystems despite their unique socio-
economic challenges.
By creating convergence for building export infrastructure,
facilitating robust industry–academia–government
linkages to build trade-support networks, promoting
state-level engagements for economic diplomacy, and
an emphasized focus on designs and standards, India
would be able to develop some of the key learnings of
this analysis. The states will not only have to focus on
increasing and diversifying exports but also need to focus
on ensuring forward and backward integration to global
value chains, which would allow the states to export
higher value-added goods and services. In addition to
these, the appended table below identifies some key
indicators of concern across sub-pillars that show low
scores across most Indian states. While the states should
ideally develop context-driven actions for the same, some
recommended strategy for these indicators are listed in
the table below.
Sub-pillar Key Areas of Concern Recommended Strategies
Trade Support Number of projects
approved under
TIES; Membership
of Exporters in State
Export Council;
Capacity Building
and Orientation
Workshops.
States need to encourage more exporters to be a part of state export
councils by undertaking active membership drives. Furthermore, due to
the fragmented nature of firms in India, they often lack the necessary
capacity to navigate complex export deals in international markets. They
may also lack adequate knowledge about necessary risk mitigation or
risk management strategies associated with exports. In this regard, states
should create capacity workshops, perhaps in partnership with institutes
of foreign trade and management, to help exporters actively benefit from
potential export market opportunities.
Growth and
Orientation
Low Export to GSDP
ratio; Increase in
number of Exporters.
Export to GSDP ration is an outcome variable and cannot be impacted by
specific strategies. It is expected that when states would re-orient their
economic policy to engage better in export markets, the share of exports
in GSDP would gradually increase. However, states should actively
encourage more firms, especially MSMEs, to participate in exports by
improving their trade support policies.
R&D
Infrastructure
Low number of NABL
accredited labs and
inspection agencies.
The regional disparities in the R&D infrastructure has been dealt with in
great detail throughout this section. In fact, as globalization evolves
74
,
increased R&D in products and operational processes would be of key
importance in being competitive in the export markets. One low hanging
fruit is to get accreditation for existing testing facilities in a state by
retrofitting them to the national standard. Another step could be to
encourage more research in state government universities on relevant
issues that can influence the export potential of the state.
Export
Infrastructure
Absence of online
trade portal; Absence
of Trade Guides for
potential exporters;
Low number of Agri-
export Zones.
While the creation of new agri-export zones will depend on the overall
export policy of individual states, all states are strongly encouraged
to create an online trade portal providing exporters a single window
for accessing all trade related information. Exporters, especially agri-
exporters and MSMEs should be able to access market intelligence to
truly compete with firms globally. They are often unable to undertake
such exercise by themselves owing to their fragmented nature and lack
of knowledge resources.
74
https://www.weforum.org/agenda/2019/02/5-hidden-ways-that-globalization-is-changing/ Page 64
The Way
Forward The new world order is one in which production systems
are more consolidated, and supply chains significantly
reduced in size to increase efficiency. Given this new
paradigm of global production, India will face intense
competition in exports from other regions that compete
on cost-advantages, such as Vietnam, Cambodia, Laos,
and the Philippines. As mentioned in the previous
chapters, the key moving forward will not only be the
long-term productivity of Indian exporters but also their
ability to produce complex, unique, and hard-to-replace
commodities.
With three decades of economic growth witnessed after
the economic liberalization, India’s cost competitiveness
would soon wear out as the standard of living increases
in the country. This exercise, to assess the preparedness
of Indian states to export, was not only to identify the
major exporting regions of India but was also to determine
the level of future preparation in the years to come. For
instance, the analysis section of this report encourages
states to emulate the dynamic policy mechanisms of
Jharkhand over many other states that have higher share
in the total exports. It is because legacy exports, such as
large-scale exports of shrimps to East Asia and Western
markets, would be unsustainable in the long run. This will
happen as regions with comparatively lower standards
of living produce the same commodity at a lower labour
cost. It means buyers would be able to switch suppliers
rendering legacy exports vulnerable quickly unless
these legacy-exporting regions incorporate higher value
added production processes. It is achievable by creating
the necessary policy and export support ecosystems
advocated within the scope of this report.
Furthermore, design, research, and development are
incredibly high value-adding activities, which need to
be supported if India is to export complex and unique
economic goods in the global market. The focus on design
and research is difficult to achieve organically as the firm
structure in India is highly fragmented. It means there
should be active facilitation of the state and academia to
promote the importance of design and research vis-à-
vis export. If administered well, this would not only be
able to boost exports but also strengthen the overall
manufacturing base of the country—one state at a time.
Finally, moving forward, the best practices of the states
should be regularly documented and disseminated
to promote peer-to-peer learning under cooperative
federalism. For instance, depending on the unique
challenges identified in the state scorecards, each state
can choose to emulate some of the best practices.
For example, conducting targeted capacity-building
workshops like Tamil Nadu did or creating a targeted
retail platform like West Bengal’s Biswa Bangla, which
had over US$4.5 million in revenues over 2019. Again,
nothing specific is being specified here as a silver bullet
solution, as that is not the purpose of this report. Silver
bullet solutions often lead to agencies mimicking practices
without considering their unique economic and policy
contexts. The focus here is to identify the drivers and
the bottlenecks for each state in their scorecard and to
then create the capacity to address them using the four
strategies identified in the previous section. Further, with
states now engaging more directly with international
forums of business, it would be necessary to create
capacity across the board to ensure regional disparities do
not continue to exist in the country.
Celebrating innovative policymakers, facilitating linkages,
building capacity, and transitioning to more complex and
unique products depending on the inherent competitive
advantages of the states would be the way forward for
export promotion in the years to come.
Export Preparedness Index 2020 Page 66
State Profile
75
75
The Destination to Frontier and Comparative Analysis Graphs have sought to show the difference between the state’s and best performer’s score at the pillar-level Export Preparedness Index 2020 Andaman & Nicobar Islands
Rank: 33 Category : UT/ City-States
17.65Export
Preparedness
ScorecardStrength and Weakness is relative to 10 states / union territories with similar per capita GDP.
+RZWRUHDGWKHVFRUHFDUG All the values
are scores on a scale of 0-100. So, higher
score represents better performance.
Export Preparedness
17.65
Andaman and Nicobar Islands
Policy
10.1
Business Ecosystem
29.04
Export Ecosystem
3.4
Export Performance
16.67
Performing within expected rangeUnderperforming
Air Cargo Facilities0LEADS Index0
Number of ICDs0
Number of MMLH Hubs0
Export Promotion Policy
0
Existence of a valid policy0
Facilitating Measures0
Marketing support0
Policy emphasis on product quality & standards 0
Thrust sectors for exports0
Business Environment
19.73
Ease of Doing Business Index1.27Innovative Capacity17.81
Labour Reforms100
Number of Investor Summits0
Number of MoUs per summit0
Power Cost9.56
Single-window Clearance0
Value of MoUs per summit0
Institutional Framework
20.2
Appointment of full-time export commissioner 100
Empowered Committee37.44
Existence of a State-Centre co-ordination cell 0
Existence of Export Promotion Councils0
Grievance Redressal0
International Access0
Newsletter0
Infrastructure
51.5
Cluster Strength29.66
Internet Facilities20.54
Power Availability50.3
Transport Connectivity
0
Access to Finance
44.94
Banking Facilities62.79
Export credit to exporters0
Loan Schemes for Exporters0
Export Infrastructure
4.92
Presence of knowledge and information portal for exporters 0
Trade Guide0
Trade Support
0
Capacity Building/Orientation Workshops0
Membership of Exporters in trade promotion council/agencies 0
Number of trade fairs conducted by Government Departments 0
Projects Approved under TIES0
R&D Infrastructure
3.78
Ratio of Inspection Agencies0
Ratio of NABL Labs8.27
Ratio of Professional Colleges0
Ratio of Research Institutes0
Growth and Orientation
33.34
Average Export Growth29.56
Export to GDP Ratio7.92
Increase in Number of Exporters 35.28
Export Diversification
0
Export Concentration42.08
Market Penetration Index1.96
Andaman and Nicobar Islands
Page 68 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Andaman and Nicobar Islands Best State-wise Score Distance to Frontier
Comparative Analysis0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Andaman and Nicobar IslandsBest State-wise Score
Export Ecosystem
Export Preparedness Index 2020
Policy Business EcosystemExport Ecosystem Export Performance Page 70
Andhra Pradesh
Rank: 20 Category : Coastal
35.58
Export
Preparedness
Scorecard 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Andhra Pradesh Best State-Wise Score Export Preparedness Index 2020 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Andhra PradeshBest State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 72
Arunachal Pradesh
Rank: 25 Category : Himalayan
28.28
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Arunachal PradeshBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Arunachal Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 74
Assam
Rank: 28 Category : Landlocked
22.81
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Assam Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Assam Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 76
Bihar
Rank: 30 Category : Landlocked
21.55
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
BiharBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Bihar Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 78
Chandigarh
Rank: 27 Category : UT/ City-States
26.07
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
ChandigarhBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Chandigarh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 80
Chhattisgarh
Rank: 8 Category : Landlocked
55.95
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
ChhattisgarhBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Chhattisgarh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 82
Dadra and Nagar Haveli
Rank: 31 Category : UT/ City-States
20.77
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Dadra Nagar and HaveliBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Dadra Nagar and Haveli Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 84
Daman & Diu
Rank: 34 Category : UT/ City-States
12.76
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Daman and Diu Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Daman and Diu Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 86
Delhi
Rank: 15 Category : UT/ City-States
45.8
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
DelhiBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Delhi Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 88
Goa
Rank: 16 Category : UT/ City-States
40.94
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Goa Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Goa Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 90
Gujarat
Rank: 1 Category : Coastal
75.19
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
GujaratBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Gujarat Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 92
Haryana
Rank: 7 Category : Landlocked
56.03
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
HaryanaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Haryana Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 94
Himachal Pradesh
Rank: 19 Category : Himalayan
38.85
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Himachal PradeshBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Himachal Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 96
Jammu & Kashmir
Rank: 36 Category : Landlocked
12.27
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Jammu and Kashmir Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Jammu and Kashmir Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 98
Jharkhand
Rank: 14 Category : Landlocked
48
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
JharkhandBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Jharkhand Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 100
Karnataka
Rank: 9 Category : Coastal
55.17
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
KarnatakaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Karnataka Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 102
Kerala
Rank: 10 Category : Coastal
54.11
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
KeralaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Kerala Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 104
Lakshadweep
Rank: 35 Category : UT/City States
12.4
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Lakshadweep Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Lakshadweep Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Strength and Weakness is relative to 10 states / union territories with similar per capita GDP.
+RZWRUHDGWKHVFRUHFDUG All the values
are scores on a scale of 0-100. So, higher
score represents better performance.
Export Preparedness
49.47
Madhya Pradesh
Policy
66.1
Business Ecosystem
45.89
Export Ecosystem
48.41
Export Performance
41.04
OverperformingUnderperforming
Air Cargo Facilities0
LEADS Index82.04
Number of ICDs77.78
Number of MMLH Hubs20
Export Promotion Policy
59.9
8
Existence of a valid policy100
Facilitating Measures20.58
Marketing support100
Policy emphasis on product quality & standards 0
Thrust sectors for exports100
Business Environment
51.89
Ease of Doing Business Index98.98Innovative Capacity9.52
Labour Reforms100
Number of Investor Summits3.57
Number of MoUs per summit1.16
Power Cost14.99
Single-window Clearance100
Value of MoUs per summit0.37
Institutional Framework
72.22
Appointment of full-time export commissioner 100
Empowered Committee37.44
Existence of a State-Centre co-ordination cell 100
Existence of Export Promotion Councils0
Grievance Redressal100
International Access100
Newsletter100
Infrastructure
42.74
Cluster Strength21.19
Internet Facilities13.04
Number of Industrial Corridors20.17
Number of IT/Software Technology/Food Parks 21.24
Power Availability50.42
Transport Connectivity
65.47
Access to Finance
23.46
Banking Facilities23.86
Export credit to exporters8.1
Loan Schemes for Exporters0
Export Infrastructure
67.51
Number of Agri-Export Zones57.14
Presence of knowledge and information portal for exporters 0
Total area under trade exhibition centers (% of total area) 0
Trade Guide100
Trade Support
23.9
Capacity Building/Orientation Workshops0
Membership of Exporters in trade promotion council/agencies 0
Number of trade fairs conducted by Government Departments 19.64
Projects Approved under TIES27.27
R&D Infrastructure
34.7
Ratio of Inspection Agencies1.29
Ratio of NABL Labs61.41
Ratio of Professional Colleges8.63
Ratio of Research Institutes1.65
Growth and Orientation
9.37
Average Export Growth2.87
Export to GDP Ratio17.13
Increase in Number of Exporters 9.48
Export Diversification
72.7
1
Export Concentration37.27
Market Penetration Index71.21
Madhya Pradesh Page 106
Madhya Pradesh
Rank: 12 Category : Landlocked
49.47
Export
Preparedness
Scorecard 0.0
20.0
40.0
60.0
80.0
100.0
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Madhya Pradesh Best State-Wise Score Export Preparedness Index 2020 0.0
20.0
40.0
60.0
80.0
100.0
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Madhya Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport EcosystemExport Performance Page 108
Maharashtra
Rank: 2 Category : Coastal
75.14
Export
Preparedness
Scorecard 0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
MaharashtraBest State-Wise Score Export Preparedness Index 2020 0.0
50.0
100.0
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Maharashtra Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 110
Manipur
Rank: 32 Category : Himalayan
19.4
Export
Preparedness
Scorecard 0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Manipur Best State-Wise Score Export Preparedness Index 2020 0.0
50.0
100.0
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Manipur Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 112
Meghalaya
Rank: 21 Category : Himalayan
34.66
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Meghalaya Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Meghalaya Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 114
Mizoram
Rank: 23 Category : Himalayan
29.53
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Mizoram Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Mizoram Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 116
Nagaland
Rank: 24 Category : Himalayan
29
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
NagalandBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Nagaland Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 118
Odisha
Rank: 5 Category : Coastal
58.23
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
OdishaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Odisha Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 120
Puducherry
Rank: 29 Category : UT/City-States
21.86
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
PuducherryBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Puducherry Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 122
Punjab
Rank: 18 Category : Landlocked
39.63
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
PunjabBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Punjab Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 124
Rajasthan
Rank: 4 Category : Landlocked
62.59
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
RajasthanBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Rajasthan Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 126
Sikkim
Rank: 26 Category : Himalayan
26.75
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
SikkimBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Sikkim Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 128
Tamil Nadu
Rank: 3 Category : Coastal
64.93
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Tamil NaduBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Tamil Nadu Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 130
Telangana
Rank: 6 Category : Landlocked
57.43
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
TelanganaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Telangana Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 132
Tripura
Rank: 17 Category : Himalaya
40.79
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
TripuraBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Tripura Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 134
Uttar Pradesh
Rank: 11 Category : Landlocked
53.63
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Uttar PradeshBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Uttar Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 136
Uttarakhand
Rank: 13 Category : Himalayan
48.11
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
UttarakhandBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Uttarakhand Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 138
West Bengal
Rank: 22 Category : Coastal
34.05
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
West BengalBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
West Bengal Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 140
Appendix I Export Preparedness Index 2020 S. No. Sub-Pillar IndicatorsWeights (%)
1.1.1a Export Promotion
Policy
(10%)
Existence of a valid Export Promotion Policy2
1.1.1bExistence of valid sector-specific policy for exports
1.1.2Thrust sectors for exports2
1.1.3Policy emphasis on product quality and standards2
1.1.4Marketing Support2
1.1.5Performance Measurement System (Sub-indicator under Facilitating measures
around export promotion)
2
Award for Excellence in exports (Sub-indicator under Facilitating measures
around export promotion)
Financial incentives to boost exports (Sub-indicator under Facilitating
measures around export promotion)
Land Allotment for exporters (Sub-indicator under Facilitating measures
around export promotion)
1.2.1 Institutional
Framework
(10%)
Appointment of full time Export Commissioner1.4
1.2.2Existence of a State-Centre coordination cell1.4
1.2.3International Access1.4
1.2.4Export Promotion Councils (Sub-indicator under Existence of Export
Promotion Councils)
1.4
Sectoral Export Promotion Councils (EPCs) (as a percentage of total exporters)
(Sub-indicator under Existence of Export Promotion Councils)
1.2.5Establishment and functioning of an Empowered Committee1.4
1.2.6Newsletters1.4
1.2.7Grievance Redressal1.4
S. No. Sub-PillarIndicatorsWeights (%)
2.1.1 Business Environment (10%)
Ease of Doing Business Index2
2.1.2Number of Investor Summits (Sub-indicator under Investor Summits)2
MOUs/LoIs signed per summit (Sub-indicator under Investor Summits)
Value of MOUs/LoIs signed (Sub-indicator under Investor Summits)
2.1.3Power Cost (Sub-indicator under Cost of Doing Business) 2
Single-window Clearance (Sub-indicator under Cost of Doing Business)
2.1.4Labour Reforms2
2.1.5Innovative Capacity2
PILLAR: BUSINESS ECOSYSTEM
PILLAR: POLICY
Weightages & Indicator Profiles Page 142
S. No. Sub-PillarIndicatorsWeights (%)
3.1.1 Export Infrastructure
(10%)
Presence of knowledge and information portal for exporters 2
3.1.2Area under Export Promotion Industrial Parks, Export Promotion Zones and
Special Economic Zones (as percentage of State area)
2
3.1.3Total area under trade exhibition centres (as percentage of State area)2
3.1.4Trade Guide2
3.1.5Number of Agri-Export Zones2
3.2.1 Trade Support
(5%)
Projects Approved under Trade Infrastructure for Export Scheme (TIES)1.25
3.2.2Number of trade fairs conducted by government departments1.25
3.2.3Capacity Building/Orientation Workshops1.25
3.2.4Membership of exporters in Trade Promotion Council / Agencies 1.25
3.3.1 R&D Infrastructure
(5%)
Number of NABL accredited labs (per exporter)1.25
3.3.2Number of Inspection agencies - NABCB certification (per exporter) 1.25
3.3.3Research institutes dedicated to Industry/Export Specific Products (per exporter)1.25
3.3.4Number of professional colleges (per lakh of population)1.25
PILLAR: EXPORT ECOSYSTEM
PILLAR: EXPORT PERFORMANCE
S. No. Sub-PillarIndicatorsWeights (%)
4.1.1 Growth and Orientation
(10%)
Import Export Code (IEC) (As a percentage of total
businesses)
2.5
4.1.2Average Export Growth2.5
4.1.3Export to GDP ratio2.5
4.1.4Increase in number of exporters2.5
4.2.1 Export Diversification
(10%)
Export Concentration5
4.2.2Market Penetration Index5
2.2.1 Infrastructure (10%)
Power Availability2
2.2.2Internet Facilities2
2.2.3Number of Industrial Corridors2
2.2.4Number of Clusters2
2.2.5Number of IT Parks/Software Technology Parks/Food Parks 2
2.3.1 Transport Connectivity (10%)
LEADS Index2.5
2.3.2Multi-Model Logistic Hubs2.5
2.3.3Area covered by Air Cargo Facilities2.5
2.3.4Area covered by ICDs2.5
2.4.1 Access to Finance (10%)
Banking Facilities3.33
2.4.2Loan Schemes for exporters3.33
2.4.3Export Credit to exporters3.33 Export Preparedness Index 2020 Indicator Profiles
PILLAR: POLICY
SUB PILLAR: EXPORT PROMOTION POLICY
Indicator Name ExplanationSource
Existence of a valid
Export Promotion
Policy/Strategy
The Export Promotion Policy is a public policy measure aimed at enhancing export
activity at the national or State level.
State Government
Existence of a valid
sector-specific policy
for exports
Every State has an edge in some sectors either due to the presence of natural resources
or due to human capital. Some States focus on these sectors specific export policy
rather than a common one.
State Government
Thrust sectors for
exports
Each State has a competitive advantage in specific sectors. It is, therefore, necessary
that the States identify these thrust sectors and focus on developing their export
strategy around them.
DGCIS
Policy emphasis on
product quality and
standards
To become a part of the global value chain, it is important to adhere to international
standards and quality for exports as defined by WTO’s Agreement on Technical Barrier
to Trade (TBT Agreement), Sanitary and Phytosanitary Measures (SPS Agreements), Pre-
shipment Inspection (PSI Agreement), USDA Certification, Conformity European or any
other certification.
State Government
Marketing Support It is crucial for the State Government to work towards enhancing the visibility of State
level products in international markets.
State Government
Facilitating measures
around export
promotion
The Time Release Study (TRS) is an internationally recognized tool advocated by World
Customs Organization to measure the efficiency and effectiveness of international
trade flows.
The results of the TRS allow govt. agencies to diagnose existing bottlenecks that act as
a barrier to the free flow of trade.
State Government
Indicator NameExplanationSource
Appointment of full-time export commissioner
In 2015, the Centre had asked States to appoint Export Commissioners and prepare export strategies as a step to promote exports.
State Government
Existence of a State-Centre co- ordination cell
In order to facilitate a continuity with respect to trade policy at the level of the Centre and the States, a coordination cell is required to review and act upon new developments that are important to State exports
State Government
International Access
It is crucial for the State Government to work towards enhancing the visibility of State level products in international markets.
State Government
Export Promotion Councils
State level Export Promotion Councils are constituted for various sectors to direct, promote and ensure monitoring of the export related activities in the State.
State Government Department of Industries and Commerce
Establishment and Functioning of an Empowered Committee
An Empowered Committee is necessary for export related inter-departmental co-ordination and policy formulation. It will act as an advisory body of the State Government for export promotion. The Committee will also review the progress of different export infrastructural projects, export performance of the State, banking, discussing sectoral issues and other taxation issues faced by exporters.
State Government
Newsletter Publication of newsletter by the Government would help in updating exporters
about the latest policy changes within the State and the current export scenario. Such a publication would address the issues of information asymmetry between exporters and the State Government.
State Government Department of Industries and Commerce Export Promotion Council
Grievance Redressal
Exporters need to have access to grievance redressal mechanism to approach the Government for any information or resolution of problems.
State Government Department of Industries and Commerce
SUB PILLAR: INSTITUTIONAL FRAMEWORK Page 144
PILLAR: BUSINESS ECOSYSTEM
SUB-PILLAR: BUSINESS ENVIRONMENT
SUB-PILLAR: INFRASTRUCTURE
Indicator Name ExplanationSource
Ease of Doing
Business Index
Ease of Doing Business Index is a measure of regulations that enhance
business. It includes:
Starting a business, dealing with construction permits, getting electricity,
registering property, getting credit, protecting minority investors, paying
taxes, trading across borders, enforcing contracts, resolving insolvency,
etc.
DPIIT
Investor Summits Investment Summits are organized by State Governments to attract
investment. However, it is important to focus on the end results of
these summits as well.
State Government
Cost of Doing
Business
States compete among themselves on the cost of products and services
essential for running a business.
State Government
Labour Reforms Labour regulation is important to assess the optimal balance between
adequate worker protection and labour market efficiency. To attract
foreign investment to the country, firms consider the strength of worker
bargaining power when making sourcing decisions. Various legislative,
administrative and e-governance initiatives have been taken by the
Governments to generate employment and facilitate ease of doing
business. This indicator will capture those reforms.
Ministry of Labour
Innovative Capacity The innovative capacity of states shows the extent to which a state can
diversify its products and compete in different markets.
NITI Aayog
Power Availability Availability of quality power in States is a basic requirement for
production of goods and services.
National Power Portal, Central
Electricity Authority
Indicator NameExplanationSource
Internet Facilities The availability of information and communication technologies (ICTs) in a State is crucial for the ease of doing business operations.
TRAI
Number of Industrial Corridors To accelerate growth in manufacturing, ensure systematic,
planned urbanization, provide employment opportunities and promote sustainable development.
DPIIT
Number of Clusters Several towns have emerged as dynamic industrial clusters contributing handsomely to India’s exports. These industrial clusters maximize the States’ potential and enable them to move up the value chain and to tap new markets. (Towns of Export Excellence - TEE).
Cluster Mapping, EAC-PM
Number of IT Parks/Software Technology Parks/Food Parks
The objective of STPI - Software Technology Parks in India is to encourage, promote and boost software exports from India
Ministry of Electronics & Information Technology and Ministry of Food Processing Industries Export Preparedness Index 2020 SUB-PILLAR: TRANSPORT CONNECTIVITY
Indicator Name ExplanationSource
LEADS IndexLEADS makes a perception-based assessment of international
trade logistics across Indian states and UTs – focusing on users
and stakeholders. It also provides indicator-level assessments of
performance on specific dimensions.
Department of Commerce,
Ministry of Commerce and
Industry
Multi-Model Logistics Hubs
(MMLH)
The indicator will capture total area under MMLH catering to exporters
(as a percentage of state area)
Department of Commerce,
Ministry of Commerce and
Industry
Area covered by Air Cargo
Facilities (as a percentage of
total State area)
The indicator will identify the proportion of area within a State catered
by air cargo facilities to assess the connectivity of businesses to air
cargo facilities.
Ministry of Civil Aviation
Area covered by ICDs
(as a percentage of total
State area)
The last leg of the supply chain, denoting the transportation of goods
from a transportation hub to its final destination. This final destination
could be the location of an end customer or inland container depots
(ICDs)
Department of Commerce,
Ministry of Commerce and
Industry
SUB-PILLAR: ACCESS TO FINANCE
Indicator NameExplanationSource
Banking FacilitiesBanks serve as one of the main pillars of economic empowerment by taking care of the financial needs. They are critical for the industry to grow by ensuring credit availability.
RBI
Loan Schemes for Exporters To provide better terms of credit including rates of interest to
all eligible exporters, including those under small and medium sector, compared to those extended to other exporters by the State government.
State Government
Export credit to exporters Export credit intends to make short-term working capital finance available (both in Rupee & foreign currency) to exporters at internationally comparable interest rates.
RBI
Indicator NameExplanationSource
Area under Export Promotion Industrial Parks, Export Promotion Zones and Special Economic Zones (as percentage of State area)
The establishment of EPIPs, EPZs and SEZs by states provide exporters with attractive investment opportunities through incentives like tax benefits.
State Department of Industry and Commerce, SEZ India
Total area under trade exhibition centers (as percentage of State area)
The extent of trade exhibition centres (as a percentage of state area will provide more opportunities to exporters to highlight their commodities.
State Department of Industries and Commerce
Trade GuidePublication of trade guide with geography -based information on process, commodity, buyers/market intelligence etc. by state.
State Department of Industries and Commerce
Number of Agri-Export Zones An Agri Export Zone or AEZ is a specific geographic region
in a country demarcated for setting up agriculture-based processing industries, mainly for export.
Ministry of Food Processing Industries
PILLAR: EXPORT ECOSYSTEM
SUB-PILLAR: EXPORT INFRASTRUCTURE Page 146
SUB-PILLAR: ACCESS TO SUB-PILLAR: TRADE SUPPORT
SUB-PILLAR: R&D INFRASTRUCTURE
Indicator Name ExplanationSource
Projects Approved under
Trade Infrastructure for
Export Scheme (TIES)
The Government of India has launched TIES with the objective to assist
Central and State Government Agencies for creation of appropriate
infrastructure for growth of exports from the States. The Scheme
provides financial assistance in the form of grant-in-aid to Central/
State Government owned agencies for setting up or for up-gradation of
export infrastructure as per the guidelines of the Scheme.
Ministry of Commerce and
Industry
Number of trade fairs
conducted by Government
Departments
The number of trade fairs and exhibitions conducted by the State
Governments help the exporters by providing them a platform to
showcase their products, meet with industry partners and examine
recent market activities and trends.
State Government
Capacity Building/
Orientation Workshops
The capacity building schemes help by providing exposure to exporters. State Department of
Industries and Commerce
Membership of Exporters
in trade promotion council
/ agencies
Total membership of exporters (% of total exporters) in trade promotion
council / agencies
State Department of
Industries and Commerce
Indicator NameExplanationSource
Number of NABL) accredited labs (per lakh of business
Laboratory accreditation: an authoritative body gives formal recognition of technical competence for specific tests/ measurements, based on third party assessment and following international standards.
Directory of Accredited Testing Laboratories, NABL
Number of Inspection agencies - National Accreditation Board for Certification Bodies (NABCB) (per lakh of business)
NABCB accreditation: to provide international equivalence and acceptance of certificates and reports so that Government and Industry can take advantage and facilitate domestic trade, regulatory compliance and export competitiveness
Export Inspection Council
Research institutes (per lakh of population)
Research Programmes mainly on Crop Improvement, Biotechnological interventions, Soil testing based Nutrient Management Studies, Pest and Disease Management, Farm mechanisation feasibility etc. in States can boost their export readiness competitiveness in the global markets.
State Department for Industries and Commerce
Number of professional colleges (per lakh of population)
Professional colleges and universities that are All India Council of Technical Education (AICTE) accredited will be considered to promote a culture of research and development.
AICTE
Indicator NameExplanationSource
Import Export Code (IEC) (as a percentage of total businesses)
IEC is a registration code required by companies for importing and exporting from India, making them eligible for recognition as a status holder.
DGCIS
Average Export Growth This indicator is used to calculate the year on year growth in a States' exports DGCIS
Export to GDP Ratio This indicator gives the contribution of the exports of a State to its GDPDGCIS
Increase in Number of Exporters Increase in number of exporters in a State will indicate whether the business
environment in States promotes exports.
DGCIS
PILLAR: EXPORT PERFORMANCE
SUB-PILLAR: GROWTH & ORIENTATION Export Preparedness Index 2020 Indicator Name ExplanationSource
Export Concentration Product Concentration Index is used to measure the dispersion of trade value across an
exporter's products. it is also an indicator of an exporter's vulnerability to trade shocks.
DGCIS
Market Penetration Index Market Penetration Index measures the extent to which exports from a State reach
already proven markets. It is calculated as the number of countries to which a State
exports a particular product divided by the number of total countries that import that
product in a year.
DGCIS
SUB-PILLAR: EXPORT DIVERSIFICATION Page 148
Appendix II
* The following section has been taken from DGCIS – the information has not been modified in any manner.
* Export Preparedness Index 2020 State Rank HS Code DESCRIPTIONVal In Mil.
USD
% Share In
State’s Total
Export
No. Of
Countries
To Which
Exported
Andaman &
Nicobar
1 61091000 T-SHIRTS ETC OF COTTON0.60 15.0 3
2 41079900 OTHER/HIDES/SKINS INCLUDING SIDES 0.42 10.62
3 03035400 MACKEREL FROZEN0.36 8.91
4 39219094 OTHR PLTS, SHTS, FILM FOIL, STRIP ETC NES
FLEXIBLE, METALLISED
0.16 4.03
5 72230091 WIRE OF STAINLS STL THICKER THAN 1.5 MM 0.15 3.82
6 23064900 OTHER RESIDUES OF RAPE OR COLZA SEEDS 0.14 3.42
7 61142000 OTHER GARMENTS OF COTTON0.08 2.11
8 74199940 COPPER WORKED ARTICLES0.08 2.01
9 38089290 OTHERS FUNGICIDE NES0.07 1.81
10 76020010 ALUMINIUM SCRAP COVERD BY ISRI CODE
TABLET TABLOID, TABOO, TAINT/TABOR, TAKE,
TALAP, TALCRED, TALDACK, TALDON, TA
0.07 1.71
Andhra
Pradesh
1 03061790 OTHER SHRIMPS AND PRAWNS2187.06 15.5 61
2 89059090 OTHER UNDER HDNG 89051288.11 9.1 2
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
476.08 3.4 137
4 72023000 FERRO-SILICO-MANGANESE419.72 3.0 69
5 10063010 RICE PARBOILED413.15 2.9 45
6 09042110 OF GENUS CAPSICUM385.39 2.7 26
7 89051000 DREDGERS320.79 2.3 5
8 24012010 FLUE CURED VIRGINIA TOBACCO PARTLY/
WHOLLYSTMD/STRIPPED
272.31 1.9 53
9 16052900 OTHER SHRIMPS AND PRAWNS197.80 1.4 27
10 89052000 FLOATNG/SUBMERSIBLE DRLLNG/PRDCTN
PLATFORMS
195.60 1.4 2
Arunachal
Pradesh
1 72022100 FERRO-SILICON CONTNG>55% OF SILICON 0.99 43.1 4
2 08051000 ORANGES FRESH OR DRIED0.24 10.3 1
3 09011141 COFFEE ROB CHERRY AB0.21 9.31
4 25231000 CEMENT CLINKERS0.08 3.61
5 27101930 HIGH SPEED DIESEL (HSD)0.07 3.11
6 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.07 3.01
7 72023000 FERRO-SILICO-MANGANESE0.07 2.81
8 84743110 CONCRETE MIXERS0.06 2.51
9 12024210 KERNELS, H.P.S0.04 1.81
10 53031010 JUTE, RAW OR RETTED0.04 1.61 Page 150
Assam
1 09024020 TEA BLACK, LEAF IN BULK176.27 47.7 50
2 09024010 TEA BLACK IN PCKT>3KG BUT<= 20 KG 72.32 19.6 41
3 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
19.10 5.23
4 09024040 TEA BAGS13.80 3.728
5 27040020 COKE AND SEMI-COKE OF LIGNITE OR OF PEAT 10.94 3.01
6 09024090 OTHER BLACK TEA8.82 2.423
7 84118100 OTHR GAS TURBINES OF POWER <=5000 KW 6.77 1.82
8 27101930 HIGH SPEED DIESEL (HSD)5.99 1.64
9 44029090 OTHER4.13 1.11
10 27131200 PETROLEUM COKE CALCINED3.80 1.01
Bihar
1 27101930 HIGH SPEED DIESEL (HSD)654.18 39.9 16
2 27101219 OTHER204.45 12.5 1
3 27101920 AVIATION TURBINE FUEL (ATF)138.83 8.5 16
4 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
115.24 7.0 26
5 27111900 OTHR LQFD PETRLM GASES AND GASEOUS
HYDRCRBN
99.03 6.01
6 10059000 OTHER MAIZE (CORN)68.91 4.25
7 10061090 OTHR RICE IN HUSK50.30 3.12
8 10063090 RICE EXCPTG PARBOILED (EXCL BASMATI RICE) 27.22 1.73
9 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
25.60 1.61
10 10019910 WHEAT18.92 1.21
Chandigarh
1 84485190 SNKRS, NEDL ETC. OF OTHER TXTL MACHINERY 11.47 16.05
2 84523090 NEEDLES FR OTHER TYPE SEWNG MCHNS 8.06 11.2 3
3 90079100 PRTS AND ACCESSORS FR CINAMATOGRPHC
CAMERAS
4.31 6.0100
4 90181990 OTHR ELCTRO-DIAGNOSTC APPRTS4.16 5.83
5 90229090 OTHERS2.84 3.98
6 04059020 MELTED BUTTER (GHEE)1.82 2.57
7 63101010 WOOLLEN RAGS1.60 2.21
8 84594130 FINE BORING MACHINES, VERTICAL1.58 2.28
9 21069099 OTHER FOOD PREPARATION NES1.52 2.110
10 76169990 OTHERS ARTICLES OF ALUMINIUM N.E.S. 1.51 2.110
Chattisgarh
1 76011010 ALUMINIUM INGOTS-NOT ALLOYED450.22 36.2 14
2 10064000 BROKEN RICE143.39 11.5 20
3 10063010 RICE PARBOILED143.27 11.5 34
4 26011210 AGGLOMERATED IRON ORE PELLETS75.48 6.14
5 72023000 FERRO-SILICO-MANGANESE45.30 3.640
6 10063090 RICE EXCPTG PARBOILED (EXCL BASMATI RICE) 31.71 2.518
7 72071920 MILD STEEL (M.S.) BILLETS31.45 2.51
8 26011119 65% FE AND ABOVE28.86 2.31
9 26011139 65% FE AND ABOVE26.02 2.12
10 72021900 OTHER FERRO-MANGANESE23.87 1.924 Export Preparedness Index 2020 Dadra & Nagar
Haveli
1 54023300 TEXTURED YARN OF POLYESTERS455.85 21.3 79
2 76141000 STRANDED WIRE, CBLS ETC WTH STEEL CORE 144.88 6.846
3 76149000 OTHR STRNDED WIRE, CBLS PLAITD BNDS ETC 138.27 6.547
4 90011000 OPTCL FIBRS, OPTICAL FIBRE BUNDLES AND
CABLES
107.95 5.0 43
5 39269099 OTHR ARTICLE OF PLASTIC NES74.43 3.552
6 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
52.12 2.446
7 39219099 OTHR PLTS, SHTS, FILM FOIL, STRIP ETC NES
OTHER
43.44 2.08
8 27101990 OTHER PETROLEUM OILS AND OILS OBTAINE
FROMBITUMINOUS MINERALS NES
31.92 1.572
9 63053200 FLEXIBLE INTERMEDIATE BULK CONTAINERS
OF MAN MADE TEXTILE MATERIALS
29.64 1.444
10 71129990 OTHR WST AND SCRP OF OTHR PRCS MTLS
N.E.S.
28.69 1.31
Daman & Diu
1 54023300 TEXTURED YARN OF POLYESTERS103.75 9.8 44
2 39232100 SACKS AND BAGS OF POLYETHYLENE (INCL
CONES)
59.73 5.736
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
54.45 5.262
4 63053200 FLEXIBLE INTERMEDIATE BULK CONTAINERS
OF MAN MADE TEXTILE MATERIALS
41.98 4.037
5 96081019 OTHER BALL-POINT PENS WITH LIQUID INK
(FOR ROLLING BALL PEN)
34.37 3.387
6 23040010 OIL-CAKE AND OIL-CAKE MEAL OF SOYA BEAN
EXPELLER VARIETY
27.02 2.68
7 39232990 SACK AND BAG (INCL CONES)OF OTHR PLASTIC
NES
26.65 2.567
8 39241090 OTHER TABLEWARE AND KITCHENWARE OF
PLASTICS
25.59 2.484
9 30049081 PHENOBARBITONE, MEPHOBARBITONE,
PRIMIDONE, PHENYTOIN, CARBAMAZPIN,
ETHOSUCIMID, VALPORICACID, DIAZEPA,
LAMOTRIGIN, GAB
23.90 2.34
10 39191000 SELF-ADHSV PLTS ETC IN RLS, WDTH < = 20CM 23.65 2.227
Delhi
1 84111200 TURBO-JETS OF A THRUST>25 KN1564.69 16.5 17
2 71189000 OTHER COIN494.00 5.2 1
3 10063020 BASMATI RICE397.67 4.2 97
4 71131910 JEWELLERY OF GOLD UNSET242.78 2.6 14
5 88033000 OTHR PRTS OF AEROPLANES/HELICOPTERS 229.18 2.450
6 61091000 T-SHIRTS ETC OF COTTON181.42 1.9 113
7 62044390 OTHR DRESSES OF SYNTH FIBRES129.08 1.4 112
8 62114300 OTHER GARMENTS OF MAN-MADE FIBRES 120.45 1.3125
9 85171290 OTHER113.55 1.2 22
10 62044400 DRESSES OF ARTIFICIAL FIBRES92.76 1.090 Page 152
Goa
1 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
644.87 31.2 135
2 30049069 OTHER NONSTEROIDAL ANTIINFLAMATORY,
ANALGESTICS AND ANTIPYRATIC DRUGS
72.16 3.543
3 38089199 OTHER INSECTICIDE NES71.82 3.516
4 85176290 OTHER70.03 3.436
5 30049081 PHENOBARBITONE, MEPHOBARBITONE,
PRIMIDONE, PHENYTOIN, CARBAMAZPIN,
ETHOSUCIMID, VALPORICACID, DIAZEPA,
LAMOTRIGIN, GAB
69.78 3.419
6 30049079 OTHER ANTIHYPERTENSIVE DRUGS60.75 2.947
7 03035900 OTHER FISH INCL INDIAN MACKERELS,
CREVALLES, SILVER POMFRETS, SCADS,
CAPELIN, KAWAKAWA FROZEN
41.86 2.03
8 26011141 BELOW 55% FE38.04 1.82
9 30049039 OTHER ANTINISTANINICS, ANTACIDS,
ANTIULCER, ANTIEMITICS AND OTHER
GASTOINTESTINAL DRUGS
34.95 1.737
10 30049071 CAPTOPRIL, ENALAPRIL, LISINOPRIL,
PERINDOPRIL AND RAMIPRIL
32.52 1.622
Gujarat
1 27101930 HIGH SPEED DIESEL (HSD)10449.34 15.5 48
2 27101920 AVIATION TURBINE FUEL (ATF)5076.47 7.5 21
3 27101219 OTHER3583.45 5.3 20
4 29024300 P-XYLENE1887.27 2.8 10
5 27101290 OTHER1536.26 2.3 11
6 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
1016.33 1.5 179
7 52010015 INDIAN COTTON OF STAPLE LENGTH 28.5MM
(1.4/32) AND ABOVE BUT BELOW 34.5MM
920.03 1.4 30
8 10063020 BASMATI RICE893.97 1.3 85
9 15153090 CASTOR OILANDITS FRCTNS OTHR THN EDBLE
GRADE
770.08 1.1 86
10 87032291 MOTOR CAR WTH CYLNDR CPCTY>=1000CC
BUT< 1500CC WTH SPRK-IGNTN
694.52 1.0 59
Haryana
1 10063020 BASMATI RICE2222.04 16.1 121
2 84111200 TURBO-JETS OF A THRUST>25 KN1171.78 8.5 13
3 87032291 MOTOR CAR WTH CYLNDR CPCTY>=1000CC
BUT< 1500CC WTH SPRK-IGNTN
458.73 3.3 86
4 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
321.57 2.3 145
5 87083000 MOUNTED BRAKE LININGS197.00 1.4 99
6 87112029 MOTR CYCLWTH CYLNDR CPCTY >75 BT<=250
CC
190.46 1.4 58
7 62064000 BLOUSES,SHIRTS ETC OF MAN-MADE FIBRES 175.14 1.383
8 87032191 MOTOR CAR WTH CYLNDR CPCTY<=1000
WTH SPRK-IGNTN
169.90 1.2 63
9 62114300 OTHER GARMENTS OF MAN-MADE FIBRES 157.02 1.186
10 61091000 T-SHIRTS ETC OF COTTON152.22 1.1 94 Export Preparedness Index 2020 Himachal
Pradesh
1 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
289.79 21.9 137
2 30042099 OTHR MEDICAMENT CONTAINING OTHR
ANTIBIOTICAND PUT UP FOR RETAIL SALE
45.58 3.475
3 30049079 OTHER ANTIHYPERTENSIVE DRUGS45.31 3.465
4 29420090 OTHER DILOXANIDE FUROATE, CIMETIDINE,
FAMOTIDINE NES
42.43 3.276
5 30049039 OTHER ANTINISTANINICS, ANTACIDS,
ANTIULCER, ANTIEMITICS AND OTHER
GASTOINTESTINAL DRUGS
41.28 3.154
6 48239019 DECORATIVE LAMINATES39.16 3.057
7 30049081 PHENOBARBITONE, MEPHOBARBITONE,
PRIMIDONE, PHENYTOIN, CARBAMAZPIN,
ETHOSUCIMID, VALPORICACID, DIAZEPA,
LAMOTRIGIN, GAB
28.24 2.116
8 30042019 OTHER CEPHALOSPORINS AND THEIR
DERIVATIVES
26.04 2.067
9 30049049 OTHER ANTICANCER DRUGS25.82 2.063
10 30049069 OTHER NONSTEROIDAL ANTIINFLAMATORY,
ANALGESTICS AND ANTIPYRATIC DRUGS
23.33 1.860
Jammu &
Kashmir
1 62142010 SHAWLS OF WOOL34.96 17.8 44
2 57019090 CRPTS AND FLR CVRNGS KNOTTD OTHR THAN
COTTON
17.11 8.733
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
14.79 7.543
4 08023200 SHELLED WALNUTS FRSH OR DRIED8.86 4.520
5 10063020 BASMATI RICE7.47 3.812
6 55095100 OTHR YARN OF POLYSTR STPL FIBRS MIXED
MAINLY/SOLELY WITH ARTIFICIAL STAPLE
FIBRS
7.12 3.614
7 29333919 OTHER DERIVATIVES OF PYRADINE5.31 2.718
8 55095300 OTHER YARN OF POLYSTER STAPLE FIBRS
MIXED MAINLY/SOLELY WITH COTTON
4.51 2.313
9 52052390 OTHERS4.41 2.28
10 07123900 OTHERS (E.G.TRUFFLES ETC.) DRIED.4.21 2.19
Jharkhand
1 72083930 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS< 3 MM HOT-RLD, EXCL. PICKL
185.88 14.8 11
2 87042219 3-WHEELER GOODS VHCLS,WTH CMPRSN
IGNTN INTRNL CMBSTN PSTN ENGN WTH
G.V.W.>5 TONS BT<=20 TONS: LORRY AN
117.07 9.3 11
3 72083830 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF
A THCKNS>=3 BUT< 4.75MM HOT-RLD, EXCL.
PICKL
110.02 8.8 10
4 87042319 3-WHEELER GOODS VHCLS, WTH CMPRSN
IGNTN INTRNL CMBSTN PSTN ENGN WTH
G.V.W.>20 TONS: LORRY AND TRUCK
75.33 6.010
5 72031000 FERS PRDCT OBTND BY DRCT RDCTN OF IRON
ORE
61.37 4.92
6 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
60.01 4.817
7 72101290 OTHER PLATES, SHEETS, STRIPS46.64 3.725
8 72139110 OTHER BARS AND RODS OF FREE CUTING
STEEL ELECTRODE QUALITY
38.29 3.13 Page 154
9 84829900 OTHER BALL/RLR BEARNG PARTS36.67 2.913
10 72083940 STRIPS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS<3 MM HOT-RLD, EXCL. PICKL
34.73 2.81
Karnataka
1 27101930 HIGH SPEED DIESEL (HSD)1386.95 8.0 12
2 27101920 AVIATION TURBINE FUEL (ATF)996.40 5.7 9
3 27101990 OTHER PETROLEUM OILS AND OILS OBTAINE
FROMBITUMINOUS MINERALS NES
588.27 3.4 33
4 62052000 MENS OR BOYS SHIRTS OF COTTON423.70 2.4 97
5 88033000 OTHR PRTS OF AEROPLANES/HELICOPTERS 361.20 2.148
6 27101950 FUEL OIL357.16 2.1 4
7 72083940 STRIPS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS< 3 MM HOT-RLD, EXCL. PICKL
279.34 1.6 11
8 62034200 TROUSERS BIB AND BRACE OVERALLS
BREECHES AND SHORTS OF COTTON FOR
MENS AND BOYS
254.06 1.5 80
9 85044090 OTHERS209.59 1.2 83
10 27101219 OTHER199.96 1.2 5
Kerala
1 71131910 JEWELLERY OF GOLD UNSET5842.41 59.4 8
2 27101990 OTHER PETROLEUM OILS AND OILS OBTAINE
FROMBITUMINOUS MINERALS NES
362.74 3.7 10
3 08013220 CASHEW KARNEL, WHOLE291.89 3.0 47
4 03061790 OTHER SHRIMPS AND PRAWNS287.61 2.9 45
5 27101920 AVIATION TURBINE FUEL (ATF)132.38 1.3 22
6 03074320 WHOLE SQUIDS FROZEN130.00 1.3 37
7 03074310 CUTTLE FISH FROZEN125.97 1.3 26
8 61112000 BABIES GARMENTS ETC OF COTTON93.18 0.948
9 57039090 OTHR FLR CVRNGS OF OTHR TXTL MATRL 61.32 0.680
10 33019029 OLEORESINES OF SPICES N.E.S.,58.14 0.684
Lakshadweep
1 03061790 OTHER SHRIMPS AND PRAWNS0.13 31.3 1
2 16052900 OTHER SHRIMPS AND PRAWNS0.08 18.6 1
3 63049250 TERRY TOWEL OF COTN, NTKNTD/CRCHTD 0.06 15.0 1
4 27101930 HIGH SPEED DIESEL (HSD)0.02 5.01
5 70109000 OTHR ARTCLES FOR CNVYNCE/PACKING OF
GOODS
0.02 3.91
6 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
0.01 3.51
7 20079910 JAMS JELLIES MRMLDS ETC. OF MANGOE 0.01 2.91
8 10061090 OTHR RICE IN HUSK0.01 2.81
9 27101219 OTHER0.01 2.71
10 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.01 2.61
Madhya
Pradesh
1 85451100 ELECTRODES OF A KIND USED FOR FURNACES 665.64 10.4 35
2 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
628.83 9.9 140
3 76011010 ALUMINIUM INGOTS-NOT ALLOYED371.45 5.8 19
4 23040030 MEAL OF SOYABEAN, SOLVENT EXTRACTED
(DEFATTED) VARIETY
325.12 5.1 46 Export Preparedness Index 2020
5 63053200 FLEXIBLE INTERMEDIATE BULK CONTAINERS
OF MAN MADE TEXTILE MATERIALS
191.93 3.0 71
6 23040010 OIL-CAKE AND OIL-CAKE MEAL OF SOYA BEAN
EXPELLER VARIETY
140.00 2.2 14
7 63026090 TOILET LINEN AND KITCHEN LINEN, OF TERRY
TOWELLING OR SIMILAR TERRY FABRICS, OF
COTTON, OTHER THAN HANDLOOM
126.46 2.0 33
8 52052410 GREY2401110.55 1.7 38
9 10063020 BASMATI RICE108.67 1.7 38
10 39206220 PLTES SHTS ETC OF PLYETHYLN
TEREPHTHALTE FLEXIBLE, PLAIN
105.69 1.7 66
Maharashtra
1 71023910 DIAMOND (OTHR THN INDSTRL DIAMOND)
CUT OR OTHERWISE WORKED BUT NOT
MOUNTED OR SET
23066.39 31.7 77
2 71131930 JEWELLERY OF GOLD SET WITH DIAMOND 2295.00 3.275
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
1158.29 1.6 198
4 71023100 NON-INDUSTRIAL DIAMONDS UNWORKED/
SIMPLY SAWN CLEAVED OR BRUTED
1108.13 1.5 18
5 87112029 MOTR CYCLWTH CYLNDR CPCTY >75 BT<=250
CC
960.89 1.3 84
6 89059090 OTHER UNDER HDNG 8905824.61 1.1 6
7 87032391 MOTOR CAR WTH CYLNDR CPCTY>=1500CC
BUT <3000CC WTH SPRK-IGNTN
722.22 1.0 22
8 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
667.49 0.9 155
9 02023000 BONELESS MEAT OF BOVINE ANIMALS ,
FROZEN
622.31 0.9 52
10 71131910 JEWELLERY OF GOLD UNSET607.25 0.8 47
Manipur
1 90183990 OTHERS1.27 47.82
2 90189099 OTHR SRGCL INSTRMNTS AND APPLNCS (INCL
VTRNRY)
0.43 16.2 1
3 27101930 HIGH SPEED DIESEL (HSD)0.28 10.6 1
4 85078000 OTHER ACCUMULATORS0.15 5.71
5 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.11 4.01
6 27101219 OTHER0.10 3.71
7 17049020 BOILED SWEETS W/N FILLED0.05 1.91
8 25231000 CEMENT CLINKERS0.04 1.51
9 30049057 OTHER ANTITUBERCULAR DRUGS0.03 1.21
10 53031010 JUTE, RAW OR RETTED0.03 1.11
Meghalaya
1 25210010 LIMESTONE FLUX (L.D BELOW 1% SIO2) 28.26 52.5 1
2 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
11.92 22.1 2
3 25210090 LIMESTONE OTHR THN LIMESTONE FLUX 6.74 12.5 1
4 25232910 ORDINARY PORTLAND CEMENT, DRY1.94 3.62
5 25061010 QUARTZ, LUMPS1.44 2.71
6 72022100 FERRO-SILICON CONTNG>55% OF SILICON 0.76 1.48 Page 156
7 12119080 AGARWOOD (INCLDNG CHIPS AND DUST) 0.71 1.34
8 25231000 CEMENT CLINKERS0.67 1.32
9 71023910 DIAMOND (OTHR THN INDSTRL DIAMOND)
CUT OR OTHERWISE WORKED BUT NOT
MOUNTED OR SET
0.47 0.94
10 09101110 FRESH0.18 0.31
Mizoram
1 08051000 ORANGES FRESH OR DRIED0.38 26.8 1
2 09101110 FRESH0.26 18.5 1
3 71023910 DIAMOND (OTHR THN INDSTRL DIAMOND)
CUT OR OTHERWISE WORKED BUT NOT
MOUNTED OR SET
0.15 10.72
4 14011000 BAMBOOS0.12 8.71
5 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.11 8.11
6 84282011 CONVEYORS,BELT0.05 3.31
7 62079110 DRESSING GOWNS AND BATHROBES OF
COTTON
0.04 3.01
8 73079190 NON-GALVANISED0.04 2.81
9 25231000 CEMENT CLINKERS0.04 2.81
10 27101219 OTHER0.03 2.41
Nagaland
1 67030010 HUMAN HAIR DRESSED OR OTHERWISE
WORKED
1.67 60.0 1
2 02062900 OTHR EDIBLE OFFAL OF BOVINE ANIMALS,
FROZEN
0.18 6.52
3 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
0.14 5.02
4 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.10 3.61
5 84244900 OTHER0.09 3.11
6 85447010 LEAD ALLOY SHEATHD CBLS FR LGHTNG
PURPOSES
0.08 2.71
7 84137010 OTHERS CENTRIFUGAL PUMPS PRIMARILY
DESIGNED TO HANDLE WATER
0.07 2.41
8 63049281 CUSHION COVERS OF HANDLOOM0.06 2.06
9 27101930 HIGH SPEED DIESEL (HSD)0.05 1.61
10 25231000 CEMENT CLINKERS0.04 1.31
Odisha
1 76011010 ALUMINIUM INGOTS-NOT ALLOYED1233.87 19.6 25
2 72024100 FERRO-CHROMIUM CARBON CONTNG>4% BY
WT
670.64 10.6 36
3 28182010 ALUMINA CALCINED626.01 9.9 12
4 26011210 AGGLOMERATED IRON ORE PELLETS573.07 9.1 11
5 03061790 OTHER SHRIMPS AND PRAWNS392.75 6.2 34
6 76012020 ALUMINIUM BILLETS-ALLOYED256.99 4.1 27
7 72083930 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS< 3 MM HOT-RLD, EXCL. PICKL
248.42 3.9 9
8 27101219 OTHER223.68 3.5 6
9 27101930 HIGH SPEED DIESEL (HSD)202.58 3.2 3
10 72083830 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF
A THCKNS>=3 BUT< 4.75MM HOT-RLD, EXCL.
PICKL
123.88 2.0 9 Export Preparedness Index 2020 Pondicherry
1 29420012 IBUPROFANE43.96 11.2 48
2 30049082 OTHER ANTIEPILEPTIC DRUGS28.62 7.31
3 84128090 OTHERS22.89 5.84
4 73082011 T0WERS FOR TRANSMISSI0N LINE W/N
ASSEMBLED
22.41 5.717
5 85361040 HIGH RUPTURING CAPACITY FUSES19.12 4.928
6 30049033 CIMETIDINE, RANTIDINE, NIZATIDINE AND R
ROXATIDINE
16.70 4.39
7 30049063 IBUPROFEN WITH OR WITHOUT
PARACETAMOL OR OTHER COMPOUNDS
13.04 3.314
8 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
10.59 2.736
9 29420090 OTHER DILOXANIDE FUROATE, CIMETIDINE,
FAMOTIDINE NES
10.42 2.719
10 87089400 STERNG WHEELS, STERNG COLUMNS AND
STERNG BOXS
10.16 2.68
Punjab
1 10063020 BASMATI RICE912.95 15.1 91
2 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
221.35 3.7 27
3 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
215.52 3.6 135
4 52052310 GREY196.67 3.3 55
5 63026090 TOILET LINEN AND KITCHEN LINEN, OF TERRY
TOWELLING OR SIMILAR TERRY FABRICS, OF
COTTON, OTHER THAN HANDLOOM
186.50 3.1 75
6 52052410 GREY2401172.66 2.9 35
7 73084000 PROPS AND SMLR EQUIPMENT FOR
SCAFFOLDING, SHUTTERING OR PIT-PROPPING
139.42 2.3 74
8 82041110 HND-OPRTED SPANERS NON ADJUSTABLE 111.70 1.8115
9 29419090 OTHER ANTIBIOTICS97.25 1.667
10 87019300 OTHER TRACTORS, OF AN ENGINE
POWEREXCEEDING 37 KW BUT NOT
EXCEEDING 75 KW
93.67 1.690
Rajasthan
1 94036000 OTHER WOODEN FURNITURE441.05 6.2 111
2 79011100 ZINC, NOT ALLOYD, CONTNG BY WT>=99.99%
ZINC
319.22 4.5 28
3 13023230 GUARGUM TREATED AND PULVERISED270.44 3.8 63
4 71039100 OTHERWISE WRKD RUBIES SAPPHIRES AND
EMERALS
217.21 3.1 61
5 40117000 OF A KIND USED ON AGRICULTURAL OR
FORESTRY VEHICLES AND MACHINES
178.97 2.5 82
6 71131120 SILVER JEWELLERY SET WITH GEMS159.62 2.3 99
7 71039990 OTHER STONE CUT (TOPAZ AQUAMARINE ETC) 143.16 2.076
8 25162000 SANDSTONE136.15 1.9 70
9 68022390 OTHERS129.76 1.8 119
10 55095100 OTHR YARN OF POLYSTR STPL FIBRS MIXED
MAINLY/SOLELY WITH ARTIFICIAL STAPLE
FIBRS
108.29 1.5 45 Page 158
Sikkim
1 19022010 COOKED STUFFED PASTA1.49 18.7 1
2 90278090 OTHERS0.83 10.422
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
0.59 7.417
4 21069091 OTHER DIABETIC FOODS0.54 6.89
5 30045036 VITAMIN D IN TABLETS, CAPSULES, SYRUP ET 0.44 5.61
6 25231000 CEMENT CLINKERS0.39 4.91
7 27101930 HIGH SPEED DIESEL (HSD)0.34 4.31
8 33049990 OTHERS0.26 3.36
9 30042096 VANCOMYCIN0.23 2.92
10 30049039 OTHER ANTINISTANINICS, ANTACIDS,
ANTIULCER, ANTIEMITICS AND OTHER
GASTOINTESTINAL DRUGS
0.22 2.81
Tamil Nadu
1 87032391 MOTOR CAR WTH CYLNDR CPCTY>=1500CC
BUT <3000CC WTH SPRK-IGNTN
1186.90 3.9 93
2 87032291 MOTOR CAR WTH CYLNDR CPCTY>=1000CC
BUT < 1500CC WTH SPRK-IGNTN
1148.73 3.8 96
3 61091000 T-SHIRTS ETC OF COTTON1087.36 3.6 161
4 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
939.20 3.1 138
5 87032191 MOTOR CAR WTH CYLNDR CPCTY<=1000
WTH SPRK-IGNTN
657.16 2.2 53
6 87041010 DUMPERS DESIGNED FR OFF-HIGHWAY USE
WTH NET WT >8 TONS AND MAXM PAY-LOAD
>=10 TONS
460.98 1.5 24
7 61112000 BABIES GARMENTS ETC OF COTTON447.57 1.5 105
8 85176290 OTHER384.22 1.3 58
9 71131910 JEWELLERY OF GOLD UNSET365.58 1.2 13
10 27101219 OTHER347.39 1.1 4
Telangana
1 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
849.72 11.9 168
2 29339900 OTHER HETERDCYCLIC CMPNDS WITH
NITROGEN HETRO ATOM (S) ONLY
292.02 4.1 99
3 25161100 GRANITE CRUDE OR ROUGHLY TRIMMED 157.77 2.226
4 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
136.52 1.9 29
5 29349900 OTHER HETEROCYCLIC COMPOUNDS131.57 1.8 87
6 29333990 OTHER CMPNDS CNTNG AN UNFUSED PYRDN
RING (W/N HYDRGNTD) IN STRUCTURE
123.76 1.7 90
7 29419090 OTHER ANTIBIOTICS122.04 1.7 70
8 30049034 OMEPRAZOLE AND LANSOPRAZOLE110.02 1.5 42
9 29335990 OTHER CMPNDS CNTNG A PYRIMIDINE RING
(W/N HYDRGNTD) OR PIPERAZINE RING IN
STRUCTURE
100.97 1.4 74
10 71131940 JEWELLERY OF GOLD SET WITH PRECIOUS
AND SEMI PRECIOUS STONES OTHER THAN
DIAMONDS
87.62 1.210
Tripura 1 07031010 ONIONS FRESH OR CHILLED0.40 23.2 1
2 03055990 OTHER DRIED N.E.S.NT SMKD0.20 11.9 1 Export Preparedness Index 2020 3 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.15 8.71
4 27101930 HIGH SPEED DIESEL (HSD)0.12 6.91
5 25231000 CEMENT CLINKERS0.11 6.41
6 84119900 PARTS OF OTHER GAS TURBINES0.08 4.81
7 61083100 NIGHTDRESSES AND PYJAMAS OF COTTON 0.06 3.53
8 61044200 DRESSES OF COTTON0.05 2.71
9 61091000 T-SHIRTS ETC OF COTTON0.05 2.73
10 10063090 RICE EXCPTG PARBOILED (EXCL BASMATI RICE) 0.04 2.51
Uttar Pradesh
1 02023000 BONELESS MEAT OF BOVINE ANIMALS, FROZE 2012.51 12.4 49
2 85171290 OTHER1117.53 6.9 29
3 71131910 JEWELLERY OF GOLD UNSET424.06 2.6 15
4 73269099 ALL OTHER ARTICLES OF IRON/STEEL NES
OTHER STEERING OR RUDDER EQUIPMENT
FOR SHIPS AND BOATS, N.E.S.
336.58 2.1 132
5 76011010 ALUMINIUM INGOTS-NOT ALLOYED306.95 1.9 14
6 29061100 MENTHOL287.86 1.8 48
7 64039190 LTHR FTWEAR OF OTHR SOLE245.08 1.5 81
8 62114300 OTHER GARMENTS OF MAN-MADE FIBRES 207.60 1.391
9 76169990 OTHERS ARTICLES OF ALUMINIUM N.E.S. 201.67 1.2116
10 27101930 HIGH SPEED DIESEL (HSD)200.69 1.2 1
Uttaranchal
1 71189000 OTHER COIN504.15 21.4 5
2 89069000 OTHER UNDER HDNG 8906355.76 15.1 2
3 79011100 ZINC, NOT ALLOYD, CONTNG BY WT>=99.99%
ZINC
241.38 10.3 25
4 78011000 REFINED LEAD91.82 3.97
5 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
85.36 3.6128
6 71131910 JEWELLERY OF GOLD UNSET70.41 3.03
7 29053100 ETHYLENE GLYCOL (ETHANEDIOL)62.91 2.713
8 87089200 SILENCERS AND EXHAUST PIPES55.36 2.423
9 87042190 OTHER GOODS VHCLS, WTH CMPRSN IGNTN
INTRNL CMBSTN PSTN ENGNWTH G.V.W. <= 5
TON
39.79 1.713
10 39206220 PLTES SHTS ETC OF PLYETHYLN
TEREPHTHALTE FLEXIBLE, PLAIN
36.39 1.547
West Bengal
1 71131910 JEWELLERY OF GOLD UNSET749.07 7.4 12
2 72071920 MILD STEEL (M.S.) BILLETS507.53 5.0 9
3 03061790 OTHER SHRIMPS AND PRAWNS491.73 4.9 40
4 85451100 ELECTRODES OF A KIND USED FOR FURNACES 375.16 3.729
5 39076100 POLY(ETHYLENE TEREPHTHALATE): HAVING A
VISCOSITY NUMBER OF 78 ML/G OR HIGHER
305.00 3.0 56
6 27101930 HIGH SPEED DIESEL (HSD)211.18 2.1 3
7 42023120 WALLETS AND PURSES OF LEATHER206.00 2.0 87
8 42032910 GLOVES FOR USE IN INDUSTRY194.88 1.9 102
9 72023000 FERRO-SILICO-MANGANESE191.52 1.9 63
10 27101920 AVIATION TURBINE FUEL (ATF)172.67 1.7 24 The Institute for Competitiveness
U24/8, U-24 Road, U Block, DLF Phase 3, Sector 24, Gurugram, Haryana 122022
info@competitiveness.in | www.competitiveness.in
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www.niti.gov.in
PREPAREDNESS
INDEX
2020 EXPORT
PREPAREDNESS
INDEX 2020 DR. RAJIV KUMAR
VICE-CHAIRMAN
Phones : 23096677, 23096688
F
ax
: 23096699
E
: vch-niti@gov.in
डॉ. राजीव कुमार
उपाध्य�ॎ
भारत सरकार
नीित आयोग, संसद मागर्
नई �दल्ली-110001
MESSAGE
Government of India
NATIONAL INSTITUTION FOR TRANSFORMING INDIA
NITI Aayog, Parliament Street
New Delhi-110 001
Rising exports must be an integral component of India’s development strategy, especially since exports constitute one
of the four pillars—the other three being human resources, investments, and governance—upon which the country has
traditionally relied on to accelerate its growth since the economic reforms of the 1990s.
India’s merchandise exports have witnessed growth from USD275.9 billion in 2016–17 to USD303.5 billion in 2017–
18, to USD331.0 billion in 2018–19. However, the Covid-19 crisis dealt a major blow to the current fiscal. This will alter
not just the national but the entire global economic landscape. Consequently, India’s exports shrank by 60 per cent in
April 2020. Further, the pandemic resulted in large-scale disruption in global supply chains and demand, resulting in the
cancellation of orders. Amidst this setback, it is imperative for India’s trade and exports to recoup and rediscover the
path to recovery and growth.
Keeping in mind the concept of Aatmanirbhar Bharat or self-reliant India, it is time for our country to play a vital role
in the present-day dynamic economic landscape. Attaining self-reliance implies becoming globally competitive by
removing bottlenecks at various steps in the export process. India’s exports sector holds immense potential to become
a viable alternative supplier for some of the major economies. To realize this potential, it is crucial that India turns to its
states and union territories and makes them active participants in the country’s export efforts. This would be achieved
by creating an enabling framework, establishing the required institutions, removing bottlenecks, and incentivizing
exports. Even in difficult times, when the world has been struggling with Covid-19, Indian states have responded by
ramping up the production of essential products through successful national-level cooperation. This is evident from the
large-scale production of products such as personal protective equipment (PPE) kits and hydroxychloroquine (HCQ).
In an attempt to realize this new vision, the Export Preparedness Index 2020 evaluates states’ potentials and capacities.
The presence of basic facilities, a conducive environment, and the reach of the exports’ footprint are some of the
key factors that will be used for their assessment. It is hoped that the detailed insights from this Index will guide all
stakeholders towards strengthening the export ecosystem at both the national and sub-national levels. This will help
India increase its share in global trade from the present 1.7% in 2018 to at least 5% in this decade.
I would like to take this opportunity to congratulate the entire team of NITI Aayog for their unique and laudable effort. I
would also like to extend my compliments to the Central ministries, nodal officers from the state departments, and our
knowledge partner, Institute for Competitiveness, for their contribution towards preparing the Index.
(Dr. Rajiv Kumar) Page 06 Export Preparedness Index 2020 MESSAGE
India’s vision of becoming a USD5 trillion economy by 2024 is intricately linked with an export-oriented approach.
With most of the world’s production concentrated in global value chains, a focused policy shift towards integration
with major global supply chains could lead to increased efficiency and growth for India. In this globalized world, India’s
effective strategy on exports could be the key towards achieving the required double-digit growth and to surge the
country ahead.
In this present crisis-hit world, while most countries are looking inward, India should use this opportune time to build
its manufacturing capabilities to meet future global demand requirements. India’s exports would need to be boosted
through several policy mechanisms, including the improvement of Ease-of-Doing-Business (EoDB), promoting size
and scale as well as adapting to global standards. This export-led growth strategy has been sought to be implemented
through the Hon’ble Prime Minister’s vision of converting each district into an export hub. The necessary policy
changes would need strong engagement with the states and union territories to identify export opportunities and
develop their institutional structures.
In line with this new orientation, NITI Aayog has taken a significant step by developing the first-ever Export
Preparedness Index for Indian states. The Index ranks states and union territories on critical parameters required for
promoting the country’s exports. The Export Preparedness Index would be useful to states and union territories to
benchmark their performance against their peers and analyse the potential challenges and prospects to develop better
policy mechanisms to foster export-led growth.
NITI Aayog will continue in its endeavour to develop insights and strategies to promote competitive federalism to
aid India’s mission of achieving robust economic growth. I am sure that the Export Preparedness Index will provide
analytical insights and policy actions to states and union territories, which will significantly assist their understanding of
future export opportunities, challenges ahead and best practices that can be emulated.
Amitabh Kant
मुख्य कायर्कारी अिधकारी
Chief Executive Officer
अिमताभ कांत
भारत सरकार
नीित आयोग, संसद मागर्
नई �दल्ली-110001
Government of India
NATIONAL INSTITUTION FOR TRANSFORMING INDIA
NITI Aayog, Parliament Street
New Delhi-110 001
Tel. : 23096576, 23096574 Fax : 23096575
E-mail : ceo-niti@gov.in, amitabh.kant@nic.in
(Amitabh Kant) Page 08 Export Preparedness Index 2020 The idea of developing an index to measure the export preparedness of Indian states germinated in 2019 at NITI
Aayog. Keeping in line with the spirit of competitive federalism, the Export Preparedness Index evaluates various
factors that play a crucial role in determining the export performance of all states and union territories. Hon’ble Prime
Minister Shri Narendra Modi has also stressed that there is a huge potential for Indian exports, which can be exploited
at the disaggregated levels by converting each district into an exporting hub.
In the wake of the ongoing Covid-19 pandemic, the Export Preparedness Index is a crucial document to guide our
fellow policymakers to make the most of the dynamic nature of global manufacturing and trade. India has already taken
major steps by initiating a Continuity Plan that would kickstart the growth of Indian exports. The plan also aims to
increase the scale of Indian manufacturing and trade, which would further expand Indian products’ footprint at a global
level.
To facilitate such a detailed, potential expansion of Indian exports, the Export Preparedness Index can provide
major insights into state-level performance and growth. Based on its coherent structure, which includes four pillars,
eleven sub-pillars and multiple indicators, the Index can pinpoint the strengths and weaknesses across all states and
union territories. This would enable all relevant stakeholders to take prompt action in improving the existing export
ecosystem at a sub-national level.
The development of the Export Preparedness Index was an inclusive process. It contains extensive engagement with
the states in the process of data collection. The timely completion of the first-ever Export Preparedness Index could not
have been possible without the support and cooperation of all the partners.
We are grateful to the Vice Chairman and CEO of NITI Aayog, who took up this crucial initiative and led it to fruition.
We thank everyone who provided their insights to help create the right structure for evaluating export preparedness
across the sub-national level.
ISHTIYAQUE AHMED
ADVISER
इिश्तयाक अहमद
सलाहकार
भारत सरकार
नीित आयोग, संसद मागर्
नई �दल्ली-110001
Government of India
NATIONAL INSTITUTION FOR TRANSFORMING INDIA
NITI Aayog, Parliament Street
New Delhi-110 001
Tel : 011-23096584
E-mail : ahmed.i@nic.in
(Ishtiyaque Ahmed)
MESSAGE Amit Kapoor | Honorary Chairman
MESSAGE
In the post-Independence era, export was not the most favoured economic pillar. This is evident in the first two Five
Year Plans, which had no provisions for export. This combined with strong import-substitution industrialization further
dwindled the attention on Indian exports. However, in the post-Liberalization world, it is impossible to sustain as a
fast-developing economy without a strong push for domestic exports. And India has already reaped massive economic
benefits by turning to exports in the last 30 years.
However, it was noted recently that the current economic slowdown has adversely impacted the progress of Indian
merchandise exports. India needs to create a sustainable path for maintaining a steady outflow of goods to various
economic destinations across the globe. In a world that has been severely hurt by Covid-19, this task poses a great
challenge.
To address the above problems, India has turned to its states to establish “export hubs”. These hubs will be responsible
for meeting global requirements while improving safety compliance and quality goods to expand their global market
share. In order to achieve such a mammoth feat, Indian states and union territories must be evaluated to assess their
preparedness to meet long-term demand for domestic exports.
The Export Preparedness Index is a data-driven effort to identify the core areas crucial for export promotion at the
sub-national level. All the states and union territories have been assessed on crucial parameters that are critical for
any typical economic unit to achieve sustainable export growth. The Index would be a helpful guide for the state
governments to benchmark regional performance with respect to export promotion and thus deliver key policy insights
on how to improve and enhance the same. The Export Preparedness Index is the first of its kind; hence, it is expected
to be refined over time, and improvements made to the methodology and evaluation process in the coming years.
The Institute for Competitiveness is pleased to deliver NITI Aayog with knowledge support in this endeavor and help
the country towards a stronger export promotion at a sub-national level. I would like to thank Shri Ishtiyaque Ahmed,
Senior Adviser, NITI Aayog, for his tireless support throughout the evaluation process of the Export Preparedness Index
2020. I would also like to thank Dr Rajiv Kumar, Vice Chairman, NITI Aayog, and Shri Amitabh Kant, CEO, NITI Aayog,
for their invaluable feedback during the process.
Finally, I would like to acknowledge the support of my team at the Institute for Competitiveness, including Aniruddh
Duttaa, Chirag Yadav, Jatin Nair, Manisha Kapoor, Sampriti Mukherjee, Souma Sekhar Gangopadhyay and Suprerana
Chakraborty in preparing this report. I am certain that the study outlined here will enable a transformational shift in the
Indian export landscape.
(Amit Kapoor) Executive
Summary
For a country as vast and geographically diverse as India,
the state of preparation to strengthen exports needs to
be understood at the regional level; a policy measure at
the national level will not suffice. Each state needs to
have its own policy measure, and understand its unique
strength and valuable resources, so that exports get a
shot in the arm at the regional level.
With the objective to provide an empirical tool to
policymakers at the sub-national level, the Export
Preparedness Index examines the export ecosystem of
Indian states and union territories. It is the first index
that has been developed to study export preparedness
and competitiveness at the sub-national level.
The study and the methodology utilized for the
preparation of the index have been developed keeping
in mind the complexities and challenges in light of
spatial segregation. Therefore, the study takes into
consideration that policy implications will largely
vary across states. The approaches for measuring
export preparedness look at parameters, such as an
existing policy measure, business ecosystem, export
infrastructure, and the export performance of the
states. Overall, there are 55 indicators that have been
distributed across these crucial four pillars, and export
performance remains the only output-based indicator
to study the export footprint of the states and union
territories.
The report consists of three thematic areas. The first
(chapters 1–5) delineates the importance of exports
as one of the key indicators for promoting economic
growth, and how they have shaped the Indian economy.
It discusses the reasons for an increasing focus on
boosting export competitiveness at the regional
level, why it is important, and the need to do so at
the state level. Apart from this, there is a chapter on
different global approaches to measure trade indices,
and a comparison between the Indian economy and a
few select countries to provide an idea of how these
economies fare in terms of their export footprint in the
global landscape.
The second (chapters 6–8) lays out the methodology
employed to construct the index, followed by key
findings at the state level and a further analysis of each
sub-pillar. Gujarat emerged as the top-performing state
in the ‘Coastal States’ category, followed by Maharashtra
and Tamil Nadu. In the category of ‘Landlocked States’, Rajasthan was
the best-performing state. Among ‘Himalayan States’
and ‘City-States’, Uttarakhand and Delhi are the top
performing states respectively. This section makes in-
depth analyses of the multitudes of factors that have
developed the export ecosystems at the state and sub-
pillar levels. It is hoped that these analyses will ignite
the spirit of competitive federalism among the states to
boost their export preparedness.
The third and final portion (chapters 9–11) provides
learnings and the way forward in the form of
recommendations for sub-national policymakers to
ponder over. Several learnings emerged during the
course of the preparation of the report, and it is
hoped that the learnings derived from the report will
help policymakers to give them direction in terms of
enhancing the export competitiveness in their respective
states. Furthermore, the detailed state profiles and
scorecards are also attached in this portion, which
provide a comprehensive snapshot of the current export
landscape of each state and union territory.
Finally, Appendix I provides the list of 55 indicators in
detail, a brief explanation of the same, and the sources;
Appendix II delineates the calculation of the Market
Performance Index, one of the key indicators in export
performance. Introduction
Focus on Indian States
The Importance of Exports
India’s Trends in the Global Market
Export Trends in Pre-Reform Period
Export Trends in the Post-Reform Period
Present-Day Trends
Missed Opportunities
Global Approaches to Measure Trade Indices
India’s Position
Methodology
State Categorization
Geographic Coverage
Index Calculation Steps
Indicator Selection and Data Collection
Dealing with Missing Values
Data Transformation
Aggregation
Export Preparedness Index: Key Findings
Country-Level Analysis
State-Level Analysis
Pillar Wise Scores across States
Policy Pillar
Business Ecosystem Pillar
Export Ecosystem Pillar
Export Performance Pillar
Content
02
06
08
14
17
20
26
27
29 57
64
66
140
148
35Sub-Pillar Analysis
Pillar 1: Policy
Sub-Pillars
Export Promotion Policy
Institutional Framework
Pillar 2: Business Ecosystem
Sub-pillars
Business Environment
Infrastructure
Transport Connectivity
Access to Finance
Pillar 3: Export Ecosystem
Sub-pillars
Export Infrastructure
Trade Support
R&D Infrastructure
Pillar 4: Export Performance
Sub- Pillars
Growth and Orientation
Export Diversification
Learnings and Strategies
Key Learnings
Strategies
The Way Forward
State Profiles
Appendix I
Appendix II Page 2
Introduction
The global trade scenario recently saw massive
changes due to the ongoing Covid-19 pandemic.
With major economies of the world completely
shutting down operations, the export of goods and
services has been adversely affected.
Manufacturing slowdown in China due to the
pandemic and protracted trade wars have created
ripple effects in economic activity across the globe
1
.
India’s exports have been badly hit as well,
especially since the domestic manufacturing base
is heavily dependent on Chinese imports
2
. Over the
years, India has sought to decrease this reliance
with a greater focus on in-house assembling of
products and by boosting the local manufacturing
ecosystem
3
.
1
UNCTAD. (2020, March 4). Coronavirus outbreak has cost global value chains $50 billion in exports. Retrieved from https://unctad.org/en/pages/newsdetails.
aspx?OriginalVersionID=2297
2
PRS Legislative Research. (2020). Impact of Chinese goods on Indian industry. Retrieved from https://www.prsindia.org/report-summaries/impact-chinese-goods-indian-
industry
3
Fensom, A. (2020, February 18). Coronavirus deepens India’s economic chill. Retrieved from https://thediplomat.com/2020/02/coronavirus-deepens-indias-economic-chill/
A UNCTAD study
estimates a $50 billion
decrease in exports across
global value chains. Export Preparedness Index 2020 However, this shift has only been marginal with
Chinese inputs being primarily used within the Indian
sectors of pharmaceuticals, electronics, power,
furniture, cars, apparel and other related products. The
disruption in the supply chain could potentially lead to
a shortage of consumer products, increased prices and
decreased job opportunities
4
.
Nonetheless, The Hon’ble Prime
Minister has sought to rectify this
situation by exhorting Indians to become
“Aatmanirbhar” or Self-reliant – one of
the main components being to strengthen
domestic demand and supply chains.
Additionally, with other market leaders and countries
seeking to diversify beyond China, the Indian exports
sector has the potential to become a viable alternative
supplier to several major economies. To achieve this
goal, it is important to strengthen the manufacturing
capability of the states, such that it not only leads
to more output but also the development of better
innovative techniques.
A superior domestic capability would allow India to
compete with its Asian peers, especially Vietnam,
Bangladesh and Taiwan, who have been able to attract
more investors through a better cost-competitiveness
strategy. India has also not been able to move up the
value chain since the domestically produced final
products are mostly low value added thereby reducing
the overall export competitiveness of the country vis
a vis its peers. This is reflected in a decline of India’s
integration and value addition within global production
chains.
5
India’s reduced level of integration within global value
chains is especially worrying when juxtaposed with
its current account deficit. The current account deficit
measures the difference between the value of the
goods and services a country imports and the value of
its exports. The deficit widened to 2.1 per cent of GDP
in the first quarter of 2019 from 1.8 per cent in the first
quarter of 2018
6,7
. The widening of the deficit signifies
that increasingly growth came from the non-tradable
sector, that is, from the domestic sector.
4
Singh, S. (2020, February 16). Coronavirus crisis: It’s time for India Inc to create opportunities. Retrieved from https://economictimes.indiatimes.com/news/economy/
foreign-trade/coronavirus-crisis-its-time-for-india-inc-to-create-opportunities/articleshow/74153826.cms?from=mdr
5
Kwatra, N. (2020, March 15). Coronavirus supply chain disruptions: is there a silver lining for India? Retrieved from https://www.livemint.com/news/india/coronavirus-
supply-chain-disruptions-is-there-a-silver-lining-for-india-11584086922001.html
6
Ray, S. & Miglani, S. (2020). India’s GVC integration: An analysis of upgrading efforts and facilitation of lead firms. ICRIER, Working Paper 386. Retrieved from http://icrier.
org/pdf/Working_Paper_386.pdf
7
Nayak, G. (2019, June 28). CAD widens to 2.1 per cent of GDP, highest in six years. Retrieved from https://economictimes.indiatimes.com/news/economy/indicators/
fy19-cad-inches-up-to-2-1-but-more-than-halves-in-q4/articleshow/69992114.cms Page 4
Furthermore, an in-depth analysis of India’s growth drivers
highlights that its economic growth has been primarily
propelled by domestic demand. As the numbers suggest,
the domestic demand constituted of 59.1 per cent of the
Gross Domestic Product (GDP) during the period of 2017-
18
8
. During the same period, exports stood at 19 per cent
of the GDP, which was significantly lower than that of the
contribution of domestic demand. While it is imperative
to accelerate domestic demand to promote higher
consumption and investment, it should also be recognised
that an economy with only $2,000 per capita income will not
be able to expand simply based on domestic demand.
Moreover, too much focus on domestic demand might
strengthen imports faster than exports, which could
potentially lead to a widening deficit. Consequently, it is
essential for India to not merely rely on domestic demand,
but also boost its export potential in the meanwhile to
enhance its growth.
Hence, the advancement of Indian exports becomes crucial
to reduce the current account deficit and attract investments
within the domestic manufacturing and services sectors.
The benefits of focusing on increasing exports are multi-fold
with the most critical being, its contribution to the Gross
Domestic Product (GDP). Even during the severe global
recession of 2008, India’s exports contributed to 24.1% of
its GDP. As globalisation peaked, India’s exports grew at an
unprecedented rate, contributing between 21 and 25 per
cent to the Gross Domestic Product (GDP). Even with the
global growth experiencing sluggishness, India’s exports
grew at around 19.74 per cent as of 2018
9
.
IIn fact, the positive outcome of exports is not merely
restricted to its contribution to the GDP. Among other
advantages of increasing exports are a rise in wages for
high-skilled workers as well as an increase in formality
levels within the country, as highlighted by a World
Bank–ILO collaborative study. Furthermore, exports
have the potential to bring in an increased number
of job opportunities by opening new markets and
entrepreneurial prospects
11
. This is notable, since most
of the employment generation within the manufacturing
sector, post-1991 has been concentrated within export-
oriented industries such as garments and textiles
12
.
Hence, improving exports could also be a potential
solution towards minimising job-less economic growth
within India.
Realizing this, the Indian government sought to improve
exports through trade policies and reforms—such as the
Goods and Services Tax—and by incentive creation—
through the Merchandise Exports Scheme, Service
Exports from India Scheme and Trade Infrastructure for
Export Scheme. While the Central government has sought
to advance exports through several policy mechanisms,
the sub-national governments have an equally important
role in boosting the overall export ecosystem in the
country.
Figure A : India’s exports of goods and services (as a percentage of GDP) – 1988 – 2018
10
.
8
Country Profiles | United Nations Conference on Trade and Development
9,10
World Bank. (2019). Exports of goods and services (% of GDP)- India. Retrieved from https://data.worldbank.org/indicator/NE.EXP.GNFS.ZS?locations=IN
11
Artuc, E, Lopez, A, Gladys, C, Robertson, R, & Samaan, D. (2019). Exports to Jobs : Boosting the Gains from Trade in South Asia (English). South Asia Development Forum.
Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/255821551109391137/Exports-to-Jobs-Boosting-the-Gains-from-Trade-in-South-Asia
12
Thomas, J.J. (2013). Explaining the “jobless” growth in Indian manufacturing. Journal of the Asia Pacific Economy, 18(4), 673-692. https://doi.org/10.1080/13547860.2013.827462
INDIA’S EXPORTS OF GOODS AND SERVICES (AS % OF GDP) Export Preparedness Index 2020 As India seeks to improve its share of global trade, states
become relevant stakeholders by forming the manufacturing
backbone of the country. Furthermore, as highlighted
in the Economic Survey 2017-18, improving the export
competitiveness of states could also improve their wealth
and standard of living, thereby minimising regional disparity.
As of present, 70 per cent of India’s export
has been dominated by five states –
Maharashtra, Gujarat, Karnataka, Tamil Nadu
and Telangana
13
.
The Survey established that the states that trade the most
are the most competitive and run the largest trade surpluses.
It also mentioned that states which engage with the world
markets as well as with the other states within the country
are richer
14
. The findings ascertained the conventional
wisdom: a state’s GSDP per capita is highly correlated with
its export share in GSDP. This implies that the participation
of the states in the global economy, therefore, becomes
vitally important for the economic growth and the standard
of living for the states. This would contribute to the overall
economic growth of the country
An increasing number of Indian states have made sincere
attempts towards creating an enabling framework that
would facilitate and promote exports. This happened
particularly after India made notable progress in terms of
expansion of exports as well as the geographic outreach
after the economic reforms. Hence, some of their best
practices could be replicated by the states which have not
been able to boost their export ecosystem yet. While some
states have done exceptionally well, there needs to be a
more focused analysis of how other states could develop
their export markets. This is because a one-size-fit-all policy
will not work for all states owing to their different inherent
strengths and competitive advantages. Improving the
competitiveness of exports cannot be wholly driven from
the top level. It requires active participation from the state
level authorities and identification of export focus areas
based on the state’s core growth drivers.
The Hon’ble Prime Minister, Narendra Modi, in his address
to the nation (2019), had stressed on the need to boost
exports at a disaggregated level. He suggested that each
district of India can be made into an export hub, considering
that locally made products hold huge potential.
Strengthening export competitiveness at a disaggregated
level will thus play a crucial role in boosting the overall
export ecosystem in the country.
Lately, there has been a concerted effort from the Central
Government to encourage the subnational actors to ‘think
locally and act globally’. This has also been reflected in
Honourable Prime Minister Modi’s statement on “Vocal
for Local” to develop India to become a key player in the
global supply chain. Of course, it is important to take into
account that the states across India are not only at different
stages of development, but they also differ in terms of their
geographical reach as well as production capacities. Hence,
export preparedness and export competitiveness would vary
widely among the states.
Considering this, the Indian states need to be assessed
on various parameters required for an export-led growth
strategy, in order to account the variations in performance.
This will enable them to harness their export potential,
productivity and improve their manufacturing base so that
the overall economy of the country can benefit from the
same.
Under this background, this report is an attempt to initiate
competition among states such that they carry out measures
to improve their export markets in the long-term. This
report brings about the Export Preparedness Index which
aims to rank states based on their export readiness through
an analysis of their export promotion policies, regulatory
framework, available infrastructure, access to finance and
output.
This would allow the states to track their performances over
time and would enable them to track their export drivers
over time. The chapters ahead give a glimpse as to why there
is a need to focus on exports, how the Indian states fare in
terms of their ability to export, and the road ahead.
13
Ministry of Finance. (2018). Economic Survey 2017-18. Retrieved from http://mofapp.nic.in:8080/economicsurvey/#
14
The survey analysed twenty of the major states, and their export share in their Gross Domestic State Product (GSDP).
Focus on Indian States Page 6
The Importance
of Exports Export Preparedness Index 2020 Exports are one of the engines of economic growth
15
. In
most cases, it has been observed that high and sustained
economic growth is preceded by shifts from traditional
import substitution to more export-oriented and outward-
looking policies, resulting in export growth rates reaching
20 per cent per year (or more) over extended periods of
time
16
.
For instance, it was the Japanese economy that effectively
followed the export-led strategy, - in the 1960s, their
merchandise exports grew at an average annual rate of 16.9
per cent in the 1960s and inthe 1970s, 21 per cent (World
Bank estimates). A similar economic trajectory was adopted
by the East Asian economies like South Korea and Singapore
in the 1980s as well as the 1990s. These economies have, in
fact, recorded the most impressive economic performances
over the past few decades.
The impressive economic performances of the East Asian
countries led economists to emphasise on the vital role
played by exports driving growth. The learnings that
emerged from the export-led hypothesis are:
17
•
Export
so that they become more competitive and are able to innovate new technology more rapidly.
•
The export-led growth trajectory would also fuel
domestic competition, in turn encouraging even non- exporters to try to become more competitive. They would be driven to adopt or innovate new technology more rapidly, leading to faster productivity gains throughout the economy and faster economic growth.
•
Market access to larger world markets would allow
successful exporters to increase their output and employment more swiftly.
These parameters are pertinent, especially in the context of developing nations. This is because an export-led growth strategy, through various governmental and economic policies, aims to increase the capability of the producers who are then able to compete in the world market, utilise advanced technology, as well as provide foreign exchange needed to finance imports. For instance, among developing nations, Vietnam has been able to successfully follow the export-led policy and attract foreign direct investment.
This strategy allowed led to capital intensity, productivity growth, improved prosperity and dramatically reduced poverty levels in Vietnam.
18
However, the financial crisis of 1997 in the East Asian economies, and the recent global economic slowdown have led to some scepticism regarding exports playing a role in sustaining economic growth. Although the export-oriented approach is vital in terms of achieving growth, but it is incomplete and does not necessarily provide with clear guidance to avoid policies that could be potentially harmful over time. This approach requires some necessary factors to enable any economy to be competitive. Some of these factors include a well-defined export policy, a conducive business environment etc.
Nonetheless, the relevance of export-led growth is far
from over. Despite the scepticism, it has been found that
export-led growth has provided countries with short-
term effectiveness and relative ease of export-oriented
strategies. In fact, export-drives can push growth rates up,
at least for a short while.
However, in consideration of the changing times, traditional
export-led growth policy orientations need to move beyond
and incorporate competitiveness within their strategies.
Competitiveness, in this context, essentially implies
productivity
19
. Productivity, here, is viewed as the critical
driver of long-term sustainable prosperity, which is the aim
of any economic policy. Exports have a dual role in this
context: acting as enablers of competitiveness. They also
act as a signaling tool to represent the signs of underlying
competitiveness.
Not only this, exports are also contributes to growing
innovation. In a sense, the more a country exports, the more
it is exposed to foreign competition and ideas which in turn
will improve its capabilities to innovate further.
20
Although import substitution provides a protectionist
regime, export policies provide a potential of competition,
innovation and future growth possibilities.
15
Bhagwati, J, “The “Miracle that did Happen: Understanding East Asia in Comparative Perspective”, 2000, MIT Press
16
Kokko, A., Kravtsova, V. (2012). Regional characteristics and effects of inward FDI: The case of Ukraine. Organizations and Markets in Emerging Economies, 3(2(6)): 91-118
17
Bhagwati J., “Export-Promoting Trade Strategy: Issues and Evidence”, 1988, The World Bank Research Observer
18
Kettels, C, “Export Competitiveness – Reversing the Logic”, 2010, Harvard Business Review
19
Porter, M. E. (1998). On Competition. Boston: Harvard Business School Press.
20
Kettels, C, “Export Competitiveness – Reversing the Logic”, 2010, Harvard Business Review
Export Preparedness Index 2020 Page 8
India’s
Trends in the
Global Market Export Preparedness Index 2020 In the post-independence era, Central Planning could
not emphasize on promoting Indian exports, which
was evident from the First and Second Five Year Plans
where exports were largely neglected. This decision was
justified on the ground that demand for Indian exports
was inelastic; due to limited production capacities
and overvalued currency exchange rate with other
economies.
21
During 1970s India’s export share picked
up vis-à-vis global levels. The buoyancy experienced by
world demand in the same period was complemented
by favourable domestic policies such as the depreciation
of the real effective exchange rate (REER), the
establishment of export subsidy and a comparatively
liberal import policy for export production.
22
However, the same buoyancy could not be carried
forward into the 1980s as world exports were severely
affected by the second oil price hike. The global export
rate turned negative and adversely affected India’s
export growth rate as well which came down from 17.97
during 1970-79 to 2.39 during 1980-85.
23
However
India made a strong recovery in the second half of the
1980s by further depreciating REER and increasing
export subsidies. This was supported by industrial
deregulation and liberalisation of capital goods imports.
With the liberalisation of the Indian economy in 1991,
it was hoped that strategic policy would boost export
growth rates through efficient resource distribution,
better specialisation, dissemination of international
knowledge and heightened competition
24
. The immediate
impact of economic reforms gave Indian exports a
massive lift with several commodity groups registering
double-digit growth
Export Trends in Pre-Reform Period
Export Trends in the Post-Reform Period
1993-97
Commodity Groups
Food and live animals14.42
Beverages and tobacco 23.44
Crude materials, inedible, except fuels12.56
Mineral fuels, lubricants and related materials-4.14
Animal and vegetable oils and fats14.49
Chemicals20.41
Manufactured goods classified chiefly by material9.7
Machinery and transport equipment17.1
Miscellaneous manufactured articles9.82
Commodities and transactions not classified according to kind 17.58
Table A: India’s Average Merchandise Export Growth Rates for Selected Commodity Groups
(Source: COMTRADE-WITS, Veeramani, 2007)
1993-97
21
Veeramani, C. (2007). Sources of India’s export growth in pre-and post-reform periods. Economic and Political Weekly, 2419-2427.
22
Joshi, V and M D Little. (1994). India: Macroeconomics and Politics
al Economy, 1964-1991, World Bank and Oxford University Press, Washington DC and New Delhi
23
Merchandise Export Data (1950-2020), WTO database.
24
See (1)
Export Preparedness Index 2020 Page 10
In the latter stages of the 1990s, merchandise exports
took a hit due to the East-Asian crisis and the previously
tried depreciation of REER could not prevent the decline
of exports. Indian markets were closely associated with
the East-Asian markets and the fall in demand from the
latter’s side, affected Indian exports.
25
Export growth started recovering around 2001-02. From
2002 through 2005, India recorded a remarkable growth
as merchandise exports displayed a high growth rate of
about 25 per cent per annum. This success was attributed
to the recovering global economy post-East Asian crisis
and also India completely opening its market in 2001. The
latter meant increased inclusion of imported goods as a
part of the production process. This eventually translated
into improved export values.
The above momentum was strong enough and lasted for
the next few years. India’s economy was growing close
to 9% between 2005-08; thus, boosting global exports
as well. However financial crisis of 2008-09 brought this
momentum to a halt. Export growth was brought down
to a single-digit of 5.4%. The financial crisis validated the
fact that there is a high-income demand elasticity for
Indian exports which makes it extremely sensitive to GDP
movements.
26
In the post-crisis period, it was found that a mixture of
key factors affected export growth. Stagnant real rural
wage growth, limited investment in infrastructure and
a stronger rupee combined with falling global demand
constrained Indian exports.
27
Present-Day Trends
India, when analysed from a longitudinal perspective, has
steadily managed to increase its overall share in global
merchandise exports. From 0.6% in 1993 to 0.8% in 2003
to 1.7% in 2018; India possesses the immense potential
to climb the manufacturing export ladder in the future.
28,29
However, the trajectory observed for Indian merchandise
exports in the last 5 years has been relatively inconsistent
when compared to the last few decades. Since late 2014-
15, India’s merchandise export growth has been falling
continuously, reflecting the slowdown of world growth
and trade.
30
Figure B : India’s
Merchandise Export (%
of GDP) 1970-2018
(Source: World Bank)
Table B : India’s merchandise export
value 2013-2018 (Source: WITS)
Years
Export (Value in
US$Billion)
Change
2013 336.61-
2014 317.54 -5.66432
2015 264.38 -16.7421
2016 260.33 -1.53343
2017 294.36 13.07494
2018 322.29 9.487244
25
Dua, P., & Sinha, A. (2007). East Asian crisis and currency pressure: The case of India (No. 158).
26
Kumar, R. & Alex, D. (2009). The Great Recession and India’s trade collapse. VOX CEPR Policy Portal.
27
Kumar, R. & Krishna, G. (2015). Indian Exports Loss of Global Competitiveness. EPW august 22, 2015 vol l no 34
28
WTO data, 2017
29
PIB. (2019). Indian Global Trade Share.
30
Prasad, H.A.C et al. (2017). Reviving and Accelerating India’s Exports: Policy Issues and Suggestions. Department of Economic Affairs; Ministry of Finance-
Government of India
MERCHANDISE TRADE (% OF GDP) Export Preparedness Index 2020 A combination of factors adversely affected India’s
merchandise exports during of 2014-16. Weaker global
trade, combined with faltering major economies hurt India’s
exports as demand fell that period. Problems from India’s
side such as restricted Rupee overvaluation as compared to
other developing economies didn’t help in attracting foreign
demand as Indian exports would be relatively more expensive
for the importers
31
. Also, CRISIL pointed out that lack of
export diversification in terms of destinations also negatively
affected the overall exports. Around 50% of total goods were
exported to Asia which was more than the combined share
of Europe and the US at 31.8%
32
. Export diversification often
plays a key role in stabilizing any external shocks thus ensuring
consistent levels of merchandise exports for a nation.
It was only from late 2016-17, that Indian merchandise
exports picked up the pace and finally showed positive
growth.
And in 2019-20, India achieved a record high
of USD 330. 07 billion of merchandise exports,
registering positive growth of 8.75%.
33
This consistent positive growth has been a result of key
measures adopted by the government post-2016 for the
promotion of merchandise exports
34
.
•
A mid-term review of the Foreign Trade Policy 2015-20
was conducted in 2017 to assess the policy interventions required to boost the export levels. For labour-intensive/MSME sectors, incentive rates were revised by 2% and also interest equalization at 3% (both pre and post-shipment) was introduced.
•
A new Logistics Division was established in the
Department of Commerce to organize the integrated development of the logistics sector.
•
Trade Infrastructure for Export Scheme (TIES) was
launched in April 2017 to address the existing export infrastructure gaps.
•
Other sector-specific policies such as Agriculture Export
Policy were rolled out to target export contribution at a micro-level.
•
Transport and Marketing Assistance (TMA) scheme was
also introduced for the export of specified agriculture products to mitigate the disadvantage of the higher cost of transportation.
Weakened global trade during 2014-2016, severely affected the exporting capacities of some of the top contributing nations such as China. China is the biggest contributor to merchandise exports
35
and thus its decline
in exports during the same period created a window of opportunities for other nations to take over.
China’s poor performance could be attributed to a number
of factors. The country is known to import raw materials
and other intermediate goods from other developing
nations in Asia. Thus, soft trade performance observed
across emerging economies in Asia hurt the chain of
the production and consequently translated into poor
exports.
36
Inconsistent and unpredictable valuation of the
Yuan subject to global market also hurt the prospects of
Chinese exports
37
. Finally, falling global demand and the
declining prices of bulk commodities were also cited as
another key reason for falling exports during 2014-2016.
38
Missed Opportunities
31
Nayyar, D. (2016). Great fall of India’s exports. liveMint 22 Jan 2016.
32
Hindustan Times. (2015). Exports hit India’s growth story in 2015, fall to be steeper in 2016.
33
Press Information Bureau. (2019). Merchandise Export.
34
Rajya Sabha Unstarred Question No. 54. (2019). Growth Rate Of Exports.
35
World Bank. (2019). Merchandise exports (current US$). data.worldbank.org/indicator/TX.VAL.MRCH.CD.WT
36
Guardian. (2016). Chinese economy: exports fall by 2% and imports by 11% in April. www.theguardian.com/world/2016/may/08/chinese-economy-exports-fall-by-2-and-
imports-by-11-in-april
37
CNBC. (2017). China exports slump more than expected in December, imports growth cools. www.cnbc.com/2017/01/12/china-2016-exports-fall-while-imports-rise-
slightly.html Page 12
China has also rapidly moved up the Global Value Chains
(GVC) in the same period. According to the Global Value
Chain Development Report 2017; “GVCs break up the
production process so different steps can be carried out
in different countries.” Thus, China is going through a
transition where the production process shifted away
from labour-intensive manufacturing towards automated
routes. Plus, labour wages have been increasing rapidly.
Thus, its export basket for both products and destinations
have seen some drastic changes.
38
During this vital period, there was an
opening for other developing economies
to enter and subsume those lines of
production from where China had been
either weakened or its influence toned
down.
Bangladesh and Vietnam successfully managed to
integrate the above GVCs, which were previously
dominated by China. Vietnam introduced few policy
initiatives such as opening up new trading avenues for
producers, establishing a favourable investment climate,
entering into mega-regional and bilateral agreements with
the US and Europe.
All these factors combined with the presence of a large
pool of low-cost labour, Vietnam positioned itself as
an attractive destination for investment by MNCs. As a
result, Vietnam has emerged as an Asian manufacturing
powerhouse thanks to its specialization in assembly
function in sectors such as automotive, electronics,
agribusiness, textiles and apparels. It also cemented
itself as the second-largest global smartphone exporter.
Similarly, Bangladesh is now the third-largest exporter of
apparels and footwear after China and Vietnam on the
back of low-cost labour
Figure C : China’s Growth Rate of Exports to the World (Source: World Trade Atlas (WTA) Database; Prasad et al. 2017
CHINA’S EXPORTS TO WORLD
38
China Daily. (2016). China sees total export and import volume fall 7% in 2015. www.chinadaily.com.cn/business/2016-01/13/content_23064441.htm Export Preparedness Index 2020 Vietnam’s rise as an exporting nation has been meteoric,
to say the least. This is evident from the diminishing gap
between the merchandise exports between India and
Vietnam. While, the fall in exports during 2014-2016
turned out to be detrimental for India, on the other hand
Vietnam through the aforementioned reforms managed to
close the gap.
India missed an opportunity to gain an advantage in
those areas where China faltered. India did bring in
reforms in late 2017 to ensure that the export sector
remained competitive and attracts potential investors.
However, Bangladesh and Vietnam had made the most
of the situation before India and enhanced their export
competitiveness by targeting their strengths. These
strengths include cheaper labour supply and emphasizing
on core sectors that could produce large-scale exporting
products at competitive rates
39
. While India already
possesses these strengths, there is an urgent need to
efficiently utilize them and move towards the next step,
i.e. product specialization, which would further boost the
export levels.
The recent trade wars between the US and China was one
such instance that benefited Indian exports. According to
a UN report, India grew about $755 million in additional
exports, largely from chemicals, metals and ore, to the
US in the first half of 2019 due to the latter’s trade
diversion from China
40
. India must seize these limited
opportunities to expand its export footprint. And of the
most key opportunities is to focus and improve exports
at a more disaggregated level, i.e. to focus on state-level
contribution to overall exports.
Figure D : A comparison of Merchandise Exports between India and Vietnam
(Source: World Bank Data 2009-2018)
Vietnam India
Nevertheless, new avenues have emerged for
India to boost its overall exports
39
Bloomberg. (2020). Countries Can Still Get Rich From Manufacturing- Keep an eye on Vietnam and Bangladesh.
40
Economic Times. (2019). India gained $755 million in additional exports to US due to US-China trade war: UNCTAD.
MERCHANDISE EXPORTS (USD BILLION) INDIA VS VIETNAM Page 14
Global
Approaches
to Measure
Trade
Indices The most important development that the global
economic system has gone through in the last few
decades is the integration of national economies. It has
resulted in remarkable growth in trade which in turn has
facilitated efficient use of resources. The biggest virtue
of unconstrained trade is that it allows individuals and
institutions to successfully exchange ideas, goods and
services which further spurs innovation. The influence
of trade has been so strong in the last few decades that
today, about one-fourth of the global production is
exported
41
.
With the growing influence of exports, it was deemed
essential that global trade must be measured to assess
nation-wide contribution. This has been carried out
through data-driven indices that use a relevant set of
indicators to analyse the trading capacity of nations and
policy recommendations that could be used to further
respective trade volumes.
Multilateral organizations such as the World Bank,
World Economic Forum and OECD have released some
key indices that have given strong analytical findings.
The main objective of such indices is to create a
comprehensive source of information on publicly available
cross-country databases which would guide policymakers
across the world.
41
Ospina, E. & Beltekian, D. (2018). ‘Trade and Globalization’. Our World in Data.
Figure E: Global Export Volume in USD Billion (Source: World Bank, OECD Data)
EXPORT VOLUME IN BILLION U.S. DOLLARS (1985-2018)
Export Preparedness Index 2020 Table C: Global Indices, India’s performance and top performers
Index Logistics Performance
Index (LPI)
Trading Across Borders
–Doing Business
Trade Facilitation
Index
Enabling Trade Index
Publishing
Agency
World Bank World Bank OECDWorld Economic Forum
What it
measures
Logistics Friendliness of
countries
Time and cost of the
logistical process of
countries
Assessment of trade
facilitation policies,
areas for action and
impact of reforms
Factors, policies and
services that facilitate
trade across borders and
to destination.
India’s Rank 44/160 (2018) 68/190 (2019) 1.52/2 (2018) 102/136 (As per 2016)
Best
performing
states/
countries
Top 5: Germany,
Sweden, Belgium,
Austria, Japan
Austria, Belgium,
Denmark, France,
Hungary, Italy,
Netherlands, Spain all
tied for Rank 1
1.86/2- Netherlands Top 5: Singapore,
Netherlands, Hong Kong,
Luxembourg, Sweden
Page 16 Export Preparedness Index 2020
India’s
Position All these indices suggest that while India may not
be a top exporting nation, it has been improving its
position constantly. India’s performance in OECD’s
Trade Facilitation Index has improved from 2015 to
2017
42
which reflects the constant strive made by
the Indian Government to facilitate smooth trade
of goods and services across global borders.
The above improvement can be corroborated with
successful policy interventions taken in the last few
years. The Foreign Trade Policy (2015-2020) was
introduced to improve the share of India’s foreign
trade. It established a strong ground to provide
rewards to exporters to offset infrastructural
inefficiencies and associated costs.
43
Similarly,
according to the Ease of Doing Business 2018/19;
India has made major improvements in “Trading
Across Borders”. This was achieved by integrating
trade stakeholders under a single electronic
platform and by enhancing the electronic
submission of documents
44
.
Trade
community
involvement
Advance
rulings
Appeal
procedures
Fees &
charges
Document
2015 2017
1
0
AutomaonProcedures
Internal
border
agency
cooperaon
External
border
agency
cooperaon
Governance
& Imparality
Informaon
availability
Figure F: India’s performance in OECD’s Trade Facilitation Index
2015-2017.
Figure G: India’s perfor-
mance in Trading across
Borders 2015-2020
(Source: World Bank Data
2015-2020)
42
India Summary 2018. https://www.oecd.org/trade/topics/trade-facilitation/
43
Directorate General of Foreign Trade. Foreign Trade Policy (2015-2020). Chapter 3- Exports from India Schemes.
44
World Bank Group. 2020. Doing Business 2020; Comparing Business Regulation in 190 Economies.
TRADING ACROSS BORDERS SCORES: INDIA
COUNTRY TRENDS 2015 - 17
Based on components covered in both years
Page 18 Export Preparedness Index 2020
However, there are areas where India, can certainly
improve and make itself an export-friendly nation. One
such area has been highlighted under the Logistics
Performance Index; India has not scored well in the
“infrastructure pillar” that analyses the quality of trade
and transport-related infrastructure (e.g. rails, ports and
information technology)
45
.
Scrutinizing and addressing such issues at a subnational
level would provide better introspection of local
export policies and how they cumulatively impact the
National trade volumes. Thus, the Export Preparedness
Index would guide our policymakers in pinpointing
the underlying gaps present in the export policies at a
disaggregated level.
45
lpi.worldbank.org/international/
scorecard/line/254/C/
IND/2018#chartarea Page 20
Methodology
The Export Preparedness Index (EPI) aims to assess the
readiness of the states, in terms of their export potential
and their performance. The primary goals of the Index are
to inculcate competition among all states in India in order
to:
•
bring favorable export promotion policies,
• ease regulatory framework to prompt subnational
promotion of exports
• create necessary infrastructure for exports, and
• help in identifying strategic recommendations for
improving export competitiveness.
Furthermore, the Index attempts to provide with an
extensive framework for the continual assessment of
export readiness of Indian States and the Union Territories
and intends to serve the following purposes:
•
Ranking of states and UTs based on their index score
• Examining export preparedness and performance of
Indian States
• Identification of challenges and opportunities
• Enhancing effectiveness of government policies
The framework has been created post extensive
discussions with officials from Central Ministries, State
Departments as well as experts in the field of trade. The
consensus was to include some of the key parameters
such as business environment, infrastructure, transport
connectivity, access to finance, export infrastructure and
trade support. It is hoped that this will give a direction
to the states and the Union Territories to work on their
policies as well as infrastructure to create an enabling
environment for exports.
Structure
As a result, the new framework was introduced to include
all the broader aspects pertaining to export promotion.
The new framework also ensured that more emphasis is
laid on the Business Ecosystem which is crucial to assess
the growth of local businesses that could add to the
export basket of a particular state.
Furthermore, the framework of the index was refined by
incorporating essential feedback from key organizations
such as EXIM Bank, Indian Institute of Foreign Trade (IIFT)
and DGCIS. This helped in retention and repositioning
of key indicators across various pillars and sub-pillars to
accurately assess the preparedness of Indian States with
respect to export promotion.
The final structure of Export Preparedness Index includes
four Pillars and eleven Sub-pillars
46
which will enable
precise and fair assessment of all the Indian States and
Union Territories. The rationale behind the selection of
each of the four pillars are listed as below:
Establishing Framework for EPI
46
List of Indicators under each sub-pillar available in the Appendix section. Export Preparedness Index 2020 1. P
strategic direction for exports and imports. Primarily,
this pillar has been incorporated to evaluate whether
a state has introduced enabling policy measures
to steer export-led growth. Further, it looks into
dimensions that will shed light on the exact measures
and policy mechanisms that states have adopted to
enable exporters to be competitive.
2.
Business Ecosystem: An efficient business ecosystem
can help states attract investments and create an enabling infrastructure for individuals to initiate start-ups. This particular pillar sheds light on the core infrastructure facilities, and how states fare in terms of creating such an ecosystem. Availability of such essential facilitating factors enable production units to enhance their production capacities and foster future growth of their existing exporting capacities. The pillar manages to cover multidimensional aspects
of fostering a successful business ecosystem such as labour, innovation, power, IT, logistics, banking and so on.
3.
Export Ecosystem: This pillar aims to assess the
business environment, which is specific to exports. An enabling export ecosystem can support different firms in all the states and Union Territories to increase productivity and boost competition. This pillar takes into consideration indicators that underline the research and development infrastructure, and the trade support available to the businesses in the states.
4.
Export Performance: This pillar examines the export
performance of states and Union Territories to identify focus areas and track improvements. This pillar focuses on two sub-pillars: Growth of Exports and Export Diversification
Export Promotion
Policy
Institutional
Framework
10%
10%
20%
Growth &
Orientation
Export
Diversification
10%
10%
20%
Business
Environment
Infrastructure
10%
10%
Transport
Connectivity
Access to
Finance
10%
10%
40%
Export
Infrastructure
Trade Support
5%
10%
R & D
Infrastructure
5%
20%
Policy
Export
Performance
Business
Ecosystem
Export
Ecosystem
Weightage
Figure H: Weightage structures of the pillars and sub-pillars Page 22
The sub-pillars have been assigned carefully to group
relevant indicators to assess all the dimensions related to
exports. After due consideration and detailed deliberation
with DGCIS, EXIM Bank and State Representatives,
weightages were assigned to each Pillar and Sub-pillar.
Business Ecosystem has been allocated the highest
weightage out of all the pillars. This pillar involves the basic
necessary criteria, required for any thriving production
unit with a strong exporting capacity. It also includes 17
distinct and important indicators that are vital to assess any
business environment.
Export performance is the only output-based pillar and
examines the reach of export footprint for each State and
Union Territory. The other three pillar have a major role
in influencing the final scores for this pillar and as a result
have been allocated 20% weightage. However, given the
dynamic nature of India’s economic progress and subject
to new developments regarding export promotion at the
sub-national levels; the weightages could see modifications
in the coming few years.
Data Limitations and Constraints
Creating a framework and computing scores for a sub-
national level index requires extensive list of carefully
picked indicators. However, there were certain constraints
that were faced during the preparation of index due to
paucity of data. One of the major constraints was the
absence of service export across major trade databases.
Service export form a major crux of total exports and in
2018 Indian services export accounted 204, 955, 578,
850 (Current USD) in BoP
47
. However, it is expected that
with growing efforts to promote data-driven governance,
in future the Export Preparedness Index will be able to
successfully capture both merchandise and service exports.
For a country as vast and as diverse as India is, the states
had to be categorized in accordance to a host of factors:
their sizes and most importantly their geographical
outreach. There are two steps that have been taken to
classify the states. The first step has been to identify
them according to their sizes. The size of Uttar Pradesh,
for instance, matches the approximate size of the United
Kingdom. On the other hand, there is Sikkim which
measures 65 kms by 115 kms in size; or the approximate
size of the country Switzerland. Union Territories, which
were formed for the purpose of ease in administrative
support, are even smaller in size.
Major StatesMajor StatesHimalayan States UT/City States
Group A - Coastal Group B - Landlocked Group C Group D
Andhra Pradesh AssamArunachal Pradesh Andaman and Nicobar
GujaratBiharHimachal Pradesh Chandigarh
KarnatakaChhattisgarhManipurDadra and Nagar Haveli
KeralaHaryanaMeghalayaDaman and Diu
MaharashtraJharkhandMizoram Delhi
OdishaMadhya Pradesh NagalandGoa
Tamil NaduPunjab SikkimLakshadweep
West BengalRajasthanTripura Puducherry
Uttar Pradesh Uttarakhand
Telangana
Jammu and Kashmir
48
*
State Categorization
47
https://wits.worldbank.org/CountryProfile/en/IND
48
*Jammu & Kashmir has been categorized as ‘Landlocked’ despite having been declared as a Union Territory in 2019. The reason is that the report considers the data available
for the period from 2016-17 up to 2018-19. Since Ladakh had not been constituted as a Union Territory at that point of time, it has not been included in the list of City States/
UTs. However, subsequent iterations of the Export Preparedness Index will classify Ladakh and Jammu and Kashmir as Union Territories, using updated information.
Figure I: Export Preparedness Index: State Classification Export Preparedness Index 2020 Geographic Coverage
The Index is applicable to Indian States. India comprises of
twenty-eight states and eight Union Territories. The scope
of this project extends to all the states and the Union
Territories.
Now, comparing the states without acknowledging the
spatial segregation would introduce complexities within
the calculation. This is because the states will vary in
terms of their export potential, ability to create business
ecosystem, and their overall capacity to engage in export-
related activities. This implies they vary in terms of their
productivity as well as competitiveness. Therefore, the
policy implications will largely vary across states. They
are thus segregated into three categories: Major States
(Coastal and Landlocked), North-Eastern and Hilly
States, and Union Territories/City States/Small States,
categorized based on the area in order to account for the
spatial variations across states. This will make for a fair
comparison to assess export readiness.
It must be noted, that due to the aforementioned reasons,
Goa has been incorporated under the category of “Union
Territory/City States/Small States”, despite being a state
as per the Indian Constitution. The North-Eastern and
Hill States from North India have been clubbed under the
same category due to their geographical similarities.
In the second step, the states have been classified in
accordance with their geographical outreach. Under the
category of Major States, there was a need to further
categorize them into coastal and landlocked states. There
are eight major states in India that lie on the coastal
belt, and enjoy access to maritime export facilities and
have ports. Freedom of transit is restricted in land-
locked states, considering they do not have access to
and from the seas. Hence, nine major states have been
incorporated under the sub-category of “Landlocked”.
Indicator Selection and Data Collection
The process flow of the Export Preparedness Index
calculation started with indicators being finalized after
discussions regarding the same were held with experts.
Furthermore, the credibility of sources, expert feedback,
and data availability were also taken into consideration.
An iterative method was followed to reach the final set of
indicators with follow-up meetings held with experts. The
data was primarily provided by the state governments. For
some of the indicators, the data was provided by the RBI,
the DGCIS, and some of the Central Ministries. Certain
indicators were filled in from publicly available data. The
index consists of four pillars, eleven sub-pillars, and fifty-
five indicators.
Dealing with Missing Values
The problem of missing values was addressed by assigning
the worst possible value to the indicator for the states
in question. This implies that the indicators were given
a value of 0, given the condition that the data was not
available from any of the reliable public sources. For
instance, in case of an indicator that highlights the
functioning of an empowered export committee within
a state, for which the data was not available from any
reliable public sources, the worst scenario was taken into
consideration. Adequate information was not provided
by seven states and Union Territories, consequently,
either data has been used from publicly available reliable
sources, or the worst possible value has been assigned. In
Indicator Selection
and Data Collection
Dealing with
Missing Values
Data
Transformation
Aggregation
Index Calculation Steps Page 24
certain indicators such as for internet facilities available in
the north-eastern hilly states, a proxy average value pulled
out from the total number was assigned to each of these
states. The following table further highlights the exact
number of missing values, and how the final scores have
been attached on the premise of that.
Indicator
Number
Indicator Missing ValueFinal Value
1.2.5 Establishment and
Functioning of an
Empowered Committee
14 missing values: This indicator was broken
up into two parts. For the first component
that includes Establishment of an Empowered
Committee, almost all the states provided a
response. For the second component which
is Functioning of the Committee, majority of
the state values are missing for Arunachal
Pradesh, Bihar, Chandigarh, Chhattisgarh, Delhi,
Goa, Jharkhand, Karnataka, Kerala, Mizoram,
Puducherry, Tamil Nadu, Telangana, and Tripura.
In this scenario, the worst
possible value has been
assigned.
2.1.3.1 Power CostThe value is missing for Mizoram. The highest value has been
assigned in this case to
impute the missing value.
3.1.4 Trade GuideThere is only one missing value for Kerala. The worst possible value has
been assigned.
3.2.1 Projects Approved
under Trade
Infrastructure for
Export Scheme (TIES)
There are six missing values for the following
states: Chandigarh, Goa, Jharkhand, Karnataka,
Kerala, and Meghalaya.
In this case as well, the
worst possible value has
been assigned.
3.2.3 Capacity Building/
Orientation Workshops
There are 17 missing values in this:
Andaman and Nicobar Islands, Chandigarh,
Chhattisgarh, Goa, Gujarat, Haryana, Himachal
Pradesh, Jharkhand, Kerala, Madhya Pradesh,
Meghalaya, Mizoram, Nagaland, Puducherry,
Punjab, Sikkim, and Telangana
The worst possible value has
been assigned.
3.2.4 Membership of
Exporters in trade
promotion council
There are 7 missing values:
Himachal Pradesh, Kerala, Meghalaya, Nagaland,
Punjab, Tamil Nadu, and Telangana.
The worst possible value has
been assigned.
Data Transformation
The measurability of the indicators was varied: while for
some of the indicators, scores were used, for others ratios
and values were given. In the sense, all the indicators had
measurements in different units. Most of the indicators
had binary scoring, and the indicators that did not, had to
be standardized to make them comparable. Otherwise, a
variable that has less variation relatively but is measured
on a larger scale compared to other variables may appear
to have much greater variation than it does. For instance,
if an indicator related to the measurement of an area was
calculated, the unit was taken as square kms to make
them comparable for ease in calculation.
In case of Memorandums of Understanding, signed by
the states within a period of 3 years (between 2016-19)
under the pillar of Business Ecosystem, the data points Export Preparedness Index 2020 sent in by the state have been scaled down for calculation
purposes with a State having held a summit every year
scoring 1. A similar process has been adopted for the
Labor Reforms Index under the same pillar, scaling it down
to a score between 0 and 1 for ease in calculation.
In case of Export to GDP ratio under the pillar of
Export Performance, the indicator is composed of two
components: Value of exports of States and the GDP of
the State. In order to arrive at the ratio for the same, the
data for value of exports of the states has been provided
by DGCIS, while the GDP of the state is publicly available.
Here, the DGCIS data include the export value originating
from the states. After procuring the data, the ratio has
been computed to standardize it for further analysis. Thus,
standardization has been utilized to solve the problem by
making the indicators ultimately unitless so that they are
rescaled with a mean of zero and standard deviation of
one.
Aggregation
The Export Preparedness Index uses the Principal Component Analysis (PCA) for calculating the weights of indicators
within a component.
The following steps have been adopted for the calculation :
The indicator values transformed on a 0 to 1
scale using the following formula:
The score on “Export Preparedness” is the
average of the four pillars:
The component values are calculated by
summing up the weighted scores using the
following formula:
The component scores are averaged out for
getting the pillar score:
(where, Xj represents the raw component values.)
(where x is the number of components in each) pillar
Xj-Worst Case
Export
Preparedness
Index
s
0.20(Policy
s
)
+ 0.40(Business Ecosystem
s
)
+ 0.20(Export Ecosystem
s
)
+ 0.20 (Export Performance
s
)
Sub-Pillar Scores = ∑ (wi * indicator)
Pillars = 1/x ∑ Sub-Pillars,
100x
Best Case-Worst Case
01
04
02
03
= Page 26
Export
Preparedness
Index: Key Findings
The Export Preparedness Index is the outcome of extensive research to assess the readiness
of the states in terms of their export potential. The framework is an aggregation of four pillars,
eleven sub-pillars, and fifty-five indicators, which capture the export landscape of the sub-national
governments in the country. Country-Level Analysis
Figure J: Country-Level Analysis of Export Preparedness Index
Before heading towards the state-level analysis, a
macroscopic view of the framework must be presented to
understand the export readiness for India. A country-level
analysis would provide a comprehensive outline of India’s
strengths and weaknesses regarding export preparedness,
which would be extremely helpful in formulating efficient
nation-wide policies and strategies.
On the whole, India has scored an average of 39 on the
index. This shows the tremendous potential that India
holds towards transforming into an export-based super-
economy. When the average is broken down into Pillars
and Sub-pillars, a much clearer picture emerges.
Both Policy and Business Ecosystem are the two highest-
scoring pillars, with the Export Ecosystem being the least
scoring pillar.
EPI
Export Promotion
Policy
Institutional
Framework
Business
Environment
Transport
Connectivity
Export
Infrastructure
Growth and
Orientation
Export
Diversification
R&D
Infrastructure
Access to Finance
Trade Support
Infrastructure
This suggests that while India may possess
a conducive business environment and
export policies may be in place; it is not
necessarily translating into a stronger
export ecosystem.
A strong trade support system enhances the capacity
of exporters which in turn results in stronger export
performance. This is lacking in most states, as captured in
the sub-pillar analysis.
Some of the major reasons why India has a weaker export
ecosystem range from poor trade support to the inability
of the states to build export hubs. Only 9 states have
projects approved under TIES, which is supposed to act
as an inducement to the states to channelize funds from
the centre towards the creation of export infrastructure.
It is an important scheme because it is the only scheme in
the country where the Central Government is working in
close coordination with the State Government to equally
share the cost of projects. The scheme is supposed to
enhance setting up of and up-gradation of infrastructure
projects with overwhelming export linkages like the
Border Haats, Land customs stations, quality testing and
certification labs, cold chains, trade promotion centres,
dry ports, export warehousing and packaging, SEZs and
ports/airports cargo terminuses and improve export
logistics. It is the only scheme in the country that aims
to bridge the gap in export infrastructure among all the
states.
Export Preparedness Index 2020
39.59
44.86
34.72
44.61
51.07
53.73
35.53
38.22
16.94
23.38
18.01
55.02 Page 28
The idea is that this would enhance the export
competitiveness of the states if the gaps in export
infrastructure are plugged in. Export Infrastructure
remains a low-scoring sub-pillar, and one of the reasons
is that not enough states have projects approved under
TIES. This makes it difficult for states to seek financial
assistance to upgrade their export ecosystem.
However, the states are also largely lacking in terms of
providing basic trade support, such as a trade guide. There
are only 10 states in the country that provide a trade
guide, while only 15 states have ensured an online portal
for dissemination of information to exporters. Accessibility
of information to exporters is a primary support that the
states must extend, and if even that is absent then there
is a serious need to focus on strengthening the export
infrastructure right from ensuring the very basics.
Finally, the low average for the export growth and
orientation is a worrying sign as it shows limited annual
growth of exports in the country. It further implies most
of the states have not been able to gain access to a larger
share of the world market. It is only due to a recent rise in
export diversification (by country) that there has been a
better average for the Export Performance pillar.
The Business Ecosystem has performed relatively better
than the pillar of the Export Ecosystem. However, it is
a worrying sign that one of the major challenges that
emerge from this pillar is the lack of access to financial
facilities. This is particularly because most of the states
don’t have any form of loan facilities to be provided to
the exporters. Only 12 states have the same provision in
place. It is encouraging to find that smaller states such
as Tripura and Chandigarh provide loan facilities to its
exporters as a form of incentives.
The low export credit also remains a
challenge. Delhi and Chandigarh are the
only two states that provide high credit
of around 5.31 percent and 3.36 percent
respectively, in comparison to the country
average of 0.6 percent.
The bigger states, such as Maharashtra, Gujarat and Tamil
Nadu lag in this particular parameter. The smaller states
such as Sikkim, Tripura and Nagaland do not provide any
export credit. Resultantly, access to financial facilities
remains a challenge in the majority of states. Export Preparedness Index 2020 There is a high scoring range amongst
Indian states on the EPI where Gujarat has
the highest score of 75.14 and Jammu &
Kashmir with the lowest score of 12.27.
Gujarat has topped the index with a strong display in
various sub-pillars such as Export promotion policy,
Business Environment and Infrastructure. Notably, other
coastal states such as Maharashtra and Tamil Nadu occupy
the second and the third positions in the index. All the
three states have performed consistently across all the
pillars, thus consolidating strong scores. The results are
supported by the findings from the Economic Survey of
2018, which ranked the aforementioned three states
amongst the top five exporting states in the country.
Previous literature strongly suggests that Innovation
plays a key role in boosting the overall export growth
49
.
This could be achieved by directing strategic investment
towards R&D infrastructure and through successful
collaboration between the Government, Academia
and Industries. The best performing states in EPI have
also been some of the top scorers in the Innovation
Index. Gujarat, Maharashtra and Tamil Nadu have
managed to score high in India Innovation Index with a
dedicated emphasis on crucial factors such as business
ecosystem, investment on R&D etc
50
. These states have
struck a balance by attaining relative competitiveness
by driving innovation and thus boosting their overall
export figures. An additional advantage that these states
State-Level Analysis
Figure K: EPI Scores for the
Indian States
49
Sahu, S. K., Ramaswamy, S., & Choutagunta, A. (2017). Export Performance, Innovation, and Productivity in Indian Manufacturing Firms (No. 2017-159). Page 30
enjoy is the strong presence of industrial clusters that
ensure producers remain competitive which further
enhances their innovative tendencies
51
. This balance
between competitiveness, innovation and strong export
performance needs to be replicated across the nation.
On the other spectrum, Andhra Pradesh leaves room
for major improvements. Andhra Pradesh might have an
enabling business infrastructure, but the state does not
have a proper export ecosystem in the place. It is yet to
have a policy mechanism in place and hence has scored
below par overall.
From landlocked states, it is Rajasthan that emerges as a
top performer. Except for export growth and orientation,
the state has performed tremendously well across all
pillars and sub-pillars. Bihar and Jammu and Kashmir are
some of the weaker states in this category. They need
to improve their performance under the Policy and the
Export Ecosystem pillars, considering that they indicate
a glaring paucity in both enabling and facilitating factors
that could drive the states towards export-oriented
growth. Bihar not only lacks a policy measure in place but
also does not have adequate infrastructure to facilitate an
enabling export environment. One of the outliers in this
category is Jharkhand which has performed exceptionally
well in the first pillar. However, barring a policy measure,
the state has not been able to foster any business growth.
As a result, their export potential remains low.
Amongst Himalayan states and City-states, Uttarakhand,
and Delhi are the top-performing states.
Delhi is an anomaly because it does not provide enough
trade-related support, such as a trade guide or an online
portal for easy accessibility of information. Despite these
shortcomings, Delhi has been able to perform at par
with high-performing states. This is because Delhi has
been able to attract businesses and investments, thereby
creating an enabling business infrastructure. The state has
tremendous potential to translate this into an ideal export
ecosystem, once has the prerequisite basic infrastructure
in place.
On the other hand, Uttarakhand faces some of the
inherent challenges of being a hilly state in terms of
attracting businesses, such as transport connectivity.
However, it has shown strength in terms of creating an
enabling export ecosystem, by providing easy accessibility
of information to exporters. The state also has organised
a significant number of capacity building workshops and
trade fairs for exporters, and efforts such as these have
ensured that Uttarakhand has a high score.
Both Uttarakhand and Delhi have scored above the
national average, thus highlighting the urgency for the
rest of the states in these categories to step up and take
necessary actions to drive their respective export growth.
However, some promising signs suggest that positive
anomalies are emerging at sub-pillar levels. For instance,
Mizoram has scored a perfect 100 in the Export Growth
and Orientation sub-pillar while Puducherry has the
strongest score for R&D infrastructure.
50
NITI Aayog. 2019. India Innovation Index Report, 2019
51
Institute for Competitiveness. (2018). Clusters: The Drivers of Competitiveness. Export Preparedness Index 2020 RankState
Export
Preparedness
1 Gujarat75.19
2 Maharashtra 75.14
3 Tamil Nadu 64.93
4 Odisha58.23
5 Karnataka 55.17
6 Kerala 54.11
7 Andhra Pradesh35.58
8 West Bengal 34.05
RankState
Export Preparedness
1 Rajasthan 62.59
2 Telangana 57.43
3 Haryana56.03
4 Chhattisgarh 55.95
5 Uttar Pradesh 53.63
6 Madhya Pradesh 49.47
7 Jharkhand 48.00
8 Punjab39.63
9 Assam 22.81
10 Bihar 21.55
11
Jammu and Kashmir
12.27
Rank UT/City States
Export Preparedness
1 Delhi45.80
2 Goa40.94
3 Chandigarh26.07
4 Puducherry21.86
5
Dadra and Nagar Haveli
20.77
6
Andaman and Nicobar Islands
17.65
7 Daman and Diu12.76
8 Lakshadweep12.40
RankState
Export Preparedness
1 Uttarakhand48.11
2 Tripura 40.79
3 Himachal Pradesh 38.85
4 Meghalaya34.66
5 Mizoram 29.53
6 Nagaland29.00
7 Arunachal Pradesh28.28
8 Sikkim26.75
9 Manipur19.40
Category Wise Rankings
Coastal
LandlockedUnion Territories / City States
Himalayan Page 32
Rank StateExport Preparedness State Category
1 Gujarat75.19Coastal
2 Maharashtra75.14Coastal
3 Tamil Nadu64.93Coastal
4 Rajasthan62.59Landlocked
5 Odisha58.23Coastal
6 Telangana57.43Landlocked
7 Haryana56.03Landlocked
8 Chhattisgarh55.95Landlocked
9 Karnataka55.17Coastal
10 Kerala54.11Coastal
11 Uttar Pradesh53.63Landlocked
12 Madhya Pradesh49.47Landlocked
13 Uttarakhand48.11Himalayan
14 Jharkhand48.00Landlocked
15 Delhi45.80UT/City States
16 Goa40.94UT/City States
17 Tripura40.79Himalayan
18 Punjab39.63Landlocked
19 Himachal Pradesh38.85Himalayan
20 Andhra Pradesh35.58Coastal
21 Meghalaya34.66Himalayan
22 West Bengal34.05Coastal
23 Mizoram29.53Himalayan
24 Nagaland29.00Himalayan
25 Arunachal Pradesh28.28Himalayan
26 Sikkim26.75Himalayan
27 Chandigarh26.07UT/City States
28 Assam22.81Landlocked
29 Puducherry21.86UT/City States
30 Bihar21.55Landlocked
31 Dadra Nagar and Haveli 20.77UT/City States
32 Manipur19.40Himalayan
33 Andaman and Nicobar Islands 17.65UT/City States
34 Daman and Diu12.76UT/City States
35 Lakshadweep12.40UT/City States
36 Jammu and Kashmir12.27Landlocked
Overall Rankings Export Preparedness Index 2020 StateScores
Maharashtra94.93
Gujarat85.70
Jharkhand79.16
Karnataka79.16
Rajasthan78.28
Tamil Nadu77.57
Uttar Pradesh76.34
Chhattisgarh76.24
Telangana75.28
Kerala74.77
Odisha71.29
Uttarakhand69.52
Madhya Pradesh66.10
Haryana59.62
Goa51.13
Punjab51.05
Himachal Pradesh41.98
Meghalaya38.74
Tripura35.01
Nagaland34.38
Andhra Pradesh27.25
Sikkim22.00
Assam18.24
Mizoram14.74
Andaman and Nicobar Islands 10.10
Manipur9.19
Delhi9.05
Arunachal Pradesh5.69
Bihar0.00
Chandigarh0.00
Dadra and Nagar Haveli 0.00
Daman and Diu0.00
Jammu and Kashmir0.00
Lakshadweep0.00
Puducherry0.00
West Bengal0.00
StateScores
Gujarat90.61
Delhi83.80
Tamil Nadu80.63
Maharashtra71.17
Karnataka68.09
Uttar Pradesh65.02
Rajasthan64.70
Chhattisgarh62.91
Haryana56.82
Kerala56.23
Odisha55.81
Chandigarh53.83
West Bengal53.65
Tripura52.85
Telangana52.27
Andhra Pradesh50.46
Himachal Pradesh47.68
Goa46.69
Madhya Pradesh45.89
Jharkhand45.14
Punjab43.86
Arunachal Pradesh42.50
Uttarakhand39.28
Nagaland35.14
Sikkim35.13
Dadra and Nagar Haveli 33.52
Bihar31.18
Andaman and Nicobar Islands 29.04
Assam26.31
Mizoram25.77
Meghalaya24.99
Puducherry24.63
Daman and Diu24.13
Manipur17.02
Jammu and Kashmir14.92
Lakshadweep12.88
Policy PillarBusiness Ecosystem Pillar
Pillar Wise Scores across States Page 34
StateScores
Maharashtra81.19
Odisha65.94
Rajasthan65.00
Uttarakhand62.67
Telangana60.88
Haryana60.30
Tamil Nadu57.83
Madhya Pradesh48.41
Gujarat47.35
Tripura44.73
West Bengal44.24
Karnataka43.93
Meghalaya43.39
Jharkhand40.70
Chhattisgarh38.80
Uttar Pradesh36.92
Puducherry27.46
Kerala26.99
Andhra Pradesh21.46
Delhi18.78
Himachal Pradesh16.14
Punjab15.61
Chandigarh13.78
Arunachal Pradesh8.16
Goa8.03
Dadra Nagar and Haveli 7.43
Bihar6.97
Jammu and Kashmir5.63
Daman and Diu5.56
Sikkim5.18
Manipur5.16
Assam3.85
Andaman and Nicobar Islands 3.40
Mizoram3.33
Nagaland3.17
Lakshadweep2.46
StateScores
Mizoram78.07
Gujarat61.71
Maharashtra57.26
Kerala56.30
Goa52.16
Manipur48.63
Haryana46.60
Telangana46.45
Punjab43.74
Arunachal Pradesh42.57
Odisha42.29
Meghalaya41.22
Madhya Pradesh41.04
Himachal Pradesh40.75
Rajasthan40.27
Assam39.33
Chattisgarh38.91
Bihar38.41
Nagaland37.18
Sikkim36.35
Lakshadweep33.77
Delhi33.57
Puducherry32.56
Jharkhand29.89
Uttarakhand29.82
Dadra and Nagar Haveli 29.36
Andhra Pradesh28.27
Tamil Nadu28.00
Jammu and Kashmir25.87
Uttar Pradesh24.88
West Bengal18.69
Tripura18.50
Andaman and Nicobar Islands 16.67
Karnataka16.61
Daman and Diu9.99
Chandigarh8.91
Export Ecosystem Pillar Export Performance Pillar Export Preparedness Index 2020 Sub-Pillar Analysis
PILLAR 1: POLICY
Sub-pillars
Export Promotion Policy
The Policy Pillar comprises two sub-pillars: Export
Promotion Policy and Institutional Framework. Coastal
category scores the biggest average due to strong
performance shown by Gujarat and Maharashtra. Andhra
Pradesh’s performance remains poor in this particular
pillar due to lack of policy measures.
Landlocked states are not far behind with Jharkhand and
Rajasthan receiving decent scores. However, states such
as Bihar have performed poorly in this particular pillar,
primarily because Bihar has no policy mechanism in place.
Amongst Himalayan states, Uttarakhand is the only
outlier.
Amongst UT/City-states, Goa is the clear outlier. Most of
the City-states have scored zero in this pillar, as a result
bringing down the category average drastically. Union
Territories such as Delhi and Puducherry have no policy in
place and hence have performed poorly in this pillar.
As the average above suggests, this
sub-pillar is dominated by Coastal and
Landlocked states as top performers.
Coastal states have the highest average
as with Gujarat and Tamil Nadu scoring a
perfect 100.
Category Average Score
Coastal63.83
Himalayan30.13
Landlocked52.75
UT / City-States 8.78
CategoryAverage Score
Sub-Pillar Average 44.85
Landlocked 58.79
Coastal71.53
UT/City-States 10.53
Himalayan/Hilly States34.64
Figure L: State-wise
export promotion
scores Page 36
ANDHRA PRADESH, despite being a coastal state has
not performed well in this sub-pillar, having only identified
thrust sectors for exports, with no definitive export policy
in place. The Himalayan states and UT/City-states, have
also fared poorly in this sub-pillar. Most of the states
under these categories have scored below the sub-pillar
average of 44.85. Lack of sector-specific export policies,
marketing support or financial incentives to boost exports
has dragged the Himalayan states and Union Territories
down in the sub-pillar rankings.
Only 14 out of 36 states and UTs that do not have a
defined export policy. However, there are about 13
states that have policies emphasizing on product quality
and standards. Product quality and standard checks are
Identifying the policy focus areas are not
enough for an effective export policy; there
is a need to improve other allied policy
measures such as financial incentives to
boost exporters, an award for excellence,
creating a performance measurement
system, providing marketing support and
laying better emphasis on product quality
and standards.
necessary to instil confidence amongst importers and thus
make exports reliable in the international market. Also, it
has been found that there is a strong correlation between
frequent quality checks and the volume of exports
52
.
TAMIL NADU is a perfect example that proves the above
point of thanks to its strong of export promotion policies.
The state also provides land allotment for companies with
a clear roadmap for Export based business
53
. Along with
this, there are sector-specific export plans for industries
such as Automobiles, IT and Marine products. Finally,
the state government provides financial aid to deserving
exporters on the recommendation of Export Promotion
Councils, to meet legal costs and other associated
expenses
54
.
JHARKHAND has performed extremely well in this
sub-pillar because it has a policy measure in place. It has
mechanisms in place, such as financial incentives, award
systems, allotment of land to create an encouraging
infrastructure. This is why its performance is at par with
the coastal states of Gujarat and Tamil Nadu.
On the other hand, Bihar, a state out of which Jharkhand
was carved out, has performed poorly in this pillar
because it has no policy measure in place.
52
International Trade Centre. (2011). Export Quality Management A Guide for Small And Medium
Sized Exporters Second Edition.
53
t.tn.gov.in/en/ELCOSEZ/Madurai-Vadapalanji
54
The Federation of Indian Micro and Small & Medium Enterprises- Tamil Nadu Export Schemes Export Preparedness Index 2020 Institutional Framework is one of the sub-pillars with the
lowest average. There are 11 states/UTs (7 of which could
not share the complete data) with a zero score which
adversely affects the sub-pillar average. However, there
is one positive outlier in Maharashtra that has a perfect
score of 100. Unlike the ‘Export Promotion Policy’ sub-
pillar; Institutional Framework consists of state scores
that are closely distributed. Thus, the difference between
the category averages is lower as compared to the
previous sub-pillar.
CategoryAverage Score
Sub-Pillar Average34.72
Landlocked46.72
Coastal56.14
UT/City-States7.04
Himalayan/Hilly States 25.64
Tamil Nadu, which has performed well in the previous sub-pillar, has performed relatively poorly in this sub- pillar, primarily since it does not have an empowered export committee in place.
This implies that while states have
identified specific export promotion
measures, they have not focused equally
on building policy infrastructure that is
required to implement the policy vision.
For instance, there are only 15 States with a State-Centre
coordination cell. Absence of such cells prevents the
States/UTs from efficiently harnessing the benefits of
central schemes. Similarly, only half of the states/UTs
have a grievance redressal office that could help exporters
and eliminate any existing information asymmetry.
Institutional Framework
Figure M: State-
wise institutional
framework scores Page 38
On average, UT/City-States and Himalayan states have been the worst performers.
The hilly states such as Arunachal Pradesh and Mizoram
have performed poorly, due to absence of a state-centre
coordination cell, formulation of definitive measures
to gain access to international markets and lack of
knowledge among stakeholders regarding the export
promotion measures taken by the state government.
Moreover, these states do not have any policy focus
oriented towards export promotion, as observed in
the first sub-pillar. The same problem exists for Union
Territories such as Delhi and Chandigarh. Consequently,
these states have heavily underperformed.
AMONG THE HILLY STATES, the only encouraging
performance has been displayed by Uttarakhand. The
state has access to international markets, an existing
empowered export committee, as well as a state-centre
coordination cell. It has even appointed a full-time export
commissioner. The efforts reflect in their performance,
wherein Uttarakhand is at par with much bigger coastal
states such as Tamil Nadu.
Thus, to promote the export policy pillar of the
relatively smaller states, there needs to be a concerted
effort to develop the policy vision as well as enabling
infrastructure.
MAHARASHTRA’S success can be used as a best-
practice measure for other states. It has 18 Sectoral
Export Promotion Councils that focuses on key exporting
industries such as Pharmaceuticals, Gems and Jewellery,
Processed food products etc. The State Government also
has a grievance redressal office for exporters to approach
the Government for any information or resolution of
problems
55
. Maharashtra is one of the few states to have
an export newsletter which updates exporters about the
latest policy changes within the State and the current
export scenario.
It is essential to nurture a business environment that
attracts investment and fosters growth through good
governance and balances between the levels of protection
and incentives
56
.
The Business Ecosystem pillar consists of four
components: Business Environment, Infrastructure,
Transport Connectivity, and Access to Finance.
If we take into consideration the average
scores of all the pillars, then this pillar has
the highest average.
55
dgftcom.nic.in/dgftmumbai/html/efc.htm
56
India Innovation Index Report, 2019
57
World Bank, Ease of Doing Business Report, 2016
PILLAR 2: BUSINESS ECOSYSTEM
CategoryAverage Scores
Coastal65.83
Himalayan35.59
Landlocked46.27
UT / City-States38.56
This implies that a considerable number of states have
taken significant steps to create an enabling environment
to facilitate the business ecosystem.
The coastal regions have performed exceedingly well
in this particular pillar, due to the strong performances
registered by Gujarat, Tamil Nadu, and Maharashtra.
Landlocked states such as Uttar Pradesh, Rajasthan,
Haryana and Chhattisgarh are not far behind either.
Unsurprisingly, Gujarat has topped the list of states across
all the categories, not to forget it had also topped the
ranking of World Bank’s ‘Ease of Doing Business’ with a
score of 71.14 percent. The same is true for Maharashtra.
Both of these states offer investor-friendly services for
obtaining infrastructure-related utilities like electricity,
water and sewage, in a time-bound manner
57
. Export Preparedness Index 2020 The overall average score of the landlocked states
suggests that there is scope for improvement in
comparison with the coastal states. It is, however,
important to reflect on the noteworthy reforms that these
states are trying to bring in to be more competitive. For
instance, Haryana, in 2016, had decided to offer private
companies village council land on a 33-year lease
58
. This is
due to the fact that the state faces a shortage of industrial
land. A move such as this would benefit the villages from
increased employment and revenue generation while
retaining ownership rights over the land. Initiatives such
as these despite natural shortcomings, for example, lack
of adequate land, could help other states to boost their
business ecosystem.
Under the category of UT/City-States, Delhi has
expectedly performed almost at par with Gujarat,
leaving the other top performers such as Tamil Nadu,
Maharashtra, and Uttar Pradesh behind.
Delhi performs well on this front mainly
due to higher investments attracted
owing to the fact that it is the national
capital. Delhi has displayed strength in
terms of its performance logistics sector.
This is reflected by its score of 3.57 in
Leads Index
59
. The India Innovation Index
Report also noted that Delhi’s business
environment is conducive for innovation.
Hence, Delhi’s high performance in this
pillar is not surprising.
The Himalayan states grapple with issues such as poor
transport connectivity, especially in comparison with all
the other categories of states, which particularly reflect in
their scores. This could be daunting in terms of attracting
significant investment to these states. However, there
is room for improvement by providing higher access to
finance to businesses, better internet connectivity, and
better access to banking facilities. Himachal Pradesh,
Arunachal Pradesh, and Uttarakhand emerge as the top
performers in this category.
58
CSIS Wadhwani Chair in US-India Policy, 2016
59
Leads Index Report, 2019 Page 40
Sub-pillars
Business Environment:
CategoryAverage Scores
Sub-Pillar Average 44.61
Coastal67.61
Himalayan29.33
Landlocked54.29
UT/City-States25.52
This sub-pillar sheds light into the different enabling aspects of the business environment: labour reforms initiated by the states, their innovative capacities, the investments they have been able to attract, single-window clearances, as well as the industrial power tariffs.
As the average scores suggest, the coastal states have
performed better than all the other states. The over-
performance of Gujarat, Maharashtra, Karnataka and Tamil
Nadu has significantly contributed to this.
Figure N: State-wise
business environ-
ment scores Export Preparedness Index 2020 ON THE OTHER HAND, RAJASTHAN, which is a
landlocked state, follows Gujarat closely with a score
of 92.18, leaving Maharashtra, Karnataka and Tamil
Nadu behind. This is primarily because the investments
attracted between 2016 and 2017 and 2018-19 were
proportionately higher.
Some of the significant steps Rajasthan has taken
are: simplified the process of filing applications by
implementing a system that allows online application
submission, payment, tracking and monitoring without the
need for a physical touchpoint for document submission
60
.
The state has further established specialized commercial
courts (in major towns/clusters of districts to cover the
whole state) to hear and resolve commercial disputes.
In terms of ensuring smooth electricity connections,
the state has ensured that distribution companies use
automated tools to monitor outages in all industrial areas.
The efforts have brought in significant transparency in the
business ecosystem in the state.
On the other hand, Jharkhand, which has
performed significantly well in the Policy
pillar, has failed to maintain its performance
in this pillar. It’s not enough for a state
to have a policy mechanism in place, it
must also have the an ability to foster an
environment that will attract businesses
and investments. Jharkhand’s innovative
capacity remains low, with a score of 6.2.
The state needs to focus on creating a
better business infrastructure to expand its
export capacities.
One of the surprising top-performances was Odisha
among the coastal states. Although Odisha, unlike
its other high-performing coastal and landlocked
counterparts, has not been able to attract significant
investments within the assigned period. However, it has
taken other measures to create an enabling environment
to attract businesses. For instance, Odisha has been
rated as the most cost-competitive state judged by the
criteria of the cost of setting up and running a business
61
.
It has been observed that the state has dwelt on
ensuring the lowest costs for key parameters: wage rate
of skilled labour, industrial power tariff and land costs.
This is reflected in their score of 92.08 in Ease of Doing
Business
62
.
Cost-competitiveness is a practice that can be emulated
by other states across all the categories to boost their
business environment.
Himalayan states such as Nagaland, Arunachal Pradesh
and Mizoram that have performed poorly, need to take
concrete measures for example introducing single-window
clearances, for attracting more investments in order to
better their business environment.
The top performances among the Himalayan states were
again displayed by Uttarakhand and Himachal Pradesh.
These two states have been able to attract significant
investments, bring in initiatives such as single-window
clearances to ease the process of setting up businesses,
as well as lower power to around Rs.5 per unit. Their
power costs are significantly lower than that of the other
Himalayan states which are Rs.6 per unit or higher.
60
State Business Reform Assessment, 2018, Ministry of Commerce and Industry, Government of India
61
Asian Development Bank, “Investment Climate Improvement in East Coast Economic Corridor of India: Regulatory, Institutional, and Policy Reforms
Support to Tamil Nadu”, 2018
62
State Business Reform Assessment, 2018, Ministry of Commerce and Industry, Government of India Page 42
Infrastructure
CategoryAverage Scores
Sub-Pillar Average 51.07
Coastal64.52
Himalayan59.63
Landlocked38.73
UT/City-States44.97Himalayan states that have performed
below average in most of the other sub-
pillars, have displayed strength in this
sub-pillar. Hilly states such as Arunachal
Pradesh, Nagaland Tripura, and Himachal
Pradesh have performed as well as Gujarat,
Odisha, Tamil Nadu, and Maharashtra
among the major coastal states.
This has to be,
however, read with caution.
Figure O: State-wise
infrastructure scores Export Preparedness Index 2020 It is important to denote here that some of the indicators,
such as the number of existing industrial corridors, did
not apply to all the states. The Himalayan states (except
Uttarakhand) do not have an industrial corridor. Hence,
these states did not get assessed on such parameters, as
a result of which their scores were proportionately high.
Furthermore, Arunachal Pradesh has three designated
Food Parks within the state, Maharashtra has five-
hundred and seventy software technology and food
parks. However, the registered number of exporters
in Maharashtra is also significantly higher than that of
Arunachal Pradesh, which leads to Maharashtra’s average
in this particular indicator being smaller than that of
Arunachal Pradesh.
This is also the primary reason why landlocked states have
performed poorly in comparison to the Himalayan states.
One of the main reasons why HIMACHAL PRADESH
has also performed well in this sub-pillar is because it is a
power surplus state, and provides the highest number of
internet connections in comparison to not only the hilly
states but also states in other categories. The state has
69488 subscribers per lakh population, which is higher
than the country average of 50960. On the other hand,
a comparable state such as Uttarakhand has only 20960
subscribers.
The hilly states might be at a disadvantage due to not
having adequate infrastructure to steer business growth.
However, initiatives such as providing adequate power
and bringing in steps to ensure internet connectivity
throughout the states have helped them to perform well
under this sub-pillar.
On the other hand, among the Union Territories,
Delhi is at par with Gujarat in this sub-pillar. Among
the landlocked states, Telangana, Uttar Pradesh and
Chhattisgarh have emerged as the better performing
states.
The components within this sub-pillar highlight that the
landlocked states have performed differently across the
various indicators. Uttar Pradesh is, for instance, the
top-performer in terms of displaying cluster strength. Its
score in terms of cluster strength stands at 123, while the
country average stands at 40. This provides the state with
an opportunity to promote these clusters and accelerate
their exports. However, in terms of internet facilities, the
most populous state in the country provides internet to
only 31703 subscribers per lakh population, while the
country average hovers around 50960. This leaves scope
for the state to improve on this key parameter to create
an enabling infrastructure.
The high score of Delhi is particularly driven by the fact
that it provides the highest internet connections in the
country. The number of wireless data subscribers per lakh
population for Delhi is 146430 while the country average
stands at 50960
63
.
63
TRAI data report, 2019 Page 44
Transport Connectivity
CategoryAverage Scores
Sub-Pillar Average 53.73
Coastal67.95
Himalayan45.20
Landlocked55.99
UT/City-States46.00
Gujarat, Maharashtra and Tamil Nadu have emerged as the
top-performing states under this sub-pillar. Delhi, is at par
with the top-performing states. The common factor is that
all of them have well-established air-cargo facilities, multi-
modal logistic hubs, as well as inland container depots.
This enables them to ensure smooth transport of goods,
as well as attract major investments for the states. Delhi
has the record of handling the second highest freight
management in the country, primarily because it is the
nation’s capital.
Figure P: State-wise
transport connectiv-
ity scores Export Preparedness Index 2020 Conventional wisdom says the coastal regions would
outperform the landlocked states in this parameter.
While it holds overall, landlocked states
such as Haryana, Madhya Pradesh and
Telangana have performed at par with the
coastal states.
Haryana and Telangana each have a score of 3.4 and
3.37 respectively in the LEADS Index, which measures
performance in the logistics sector. Their scores are
comparable with coastal states such as Tamil Nadu and
Maharashtra.
TELANGANA, for instance, has reduced problems of
congestions and delays of exports through various
transport modes. They have done so through their single-
window clearance system that allows international traders
to submit clearance forms at a single window. They can
complete all the formalities at the same location. This
also eases the process of customs clearance. Because 24
states now have single-window clearances available, this
step can be emulated by other states to ease the transport
of goods.
On the other hand, Odisha, despite being a coastal state,
is an underperformer in this sub-pillar owing to lack of
multi-modal hubs and lesser freight capacity in terms of
air-cargo facilities in comparison to other coastal states.
Expectantly, the hilly states have performed
poorly in this category. Barring Uttarakhand
and Himachal Pradesh, the other six
Himalayan states lack freight management,
multi-modal hubs, as well as inland
container depots.
Access to Finance
Figure Q: State wise
access to finance
scores Page 46
CategoryAverage Scores
Sub-Pillar Average 35.52
Coastal63.24
Himalayan8.21
Landlocked36.09
UT/City-States37.77
Tamil Nadu, Delhi and West Bengal have emerged as the
top-performing states under this sub-pillar.
The most encouraging factor which has
emerged from this sub-pillar that among
Union Territories, Delhi and Chandigarh
have performed at par with the major
states.
This is primarily driven by the fact that Delhi and
Chandigarh respectively provide export credit of 5.31
and 3.36 percent when the country average for the same
stands at 0.6 percent. This practice can be adopted by
states across categories to enhance the accessibility of
finance for the exporters.
Among the coastal states, Tamil Nadu and West Bengal
provide export credit of 2 and 1.08 percent respectively
which is significantly higher than the national average.
In contrast, Maharashtra and Gujarat, which are
comparable to Tamil Nadu and West Bengal in terms
of providing banking facilities, have lagged because of
providing relatively low export credit.
Majority of the Himalayan states do not even have the
provision of a scheme to provide loans to their exporters.
Their poor performance is reflective of the same. For
instance, even though Tripura has a scheme in place the
state does not provide any export credit. On the other
hand, even if Uttarakhand provides 0.43 per cent of its
GDP as export credit, the state has no provision in place
to provide any form of loans to the exporters.
PILLAR 3: EXPORT ECOSYSTEM
This is the worst-performing pillar with an average score of only 29.19. This is primarily because of the absence of special economic zones, export zones for agricultural products as well as trade centres in most states. This exempted many states from being compared to others. Furthermore, most states do not have an enabling trade support system in place which brought down the average scores of this pillar significantly.
In contrast, Business Ecosystem was the best performing
pillar, which implies that the states have made significant
progress in creating an enabling business environment.
But, majority of them are yet
to achieve the same in
terms of creating an export environment.
The coastal states of Maharashtra, Odisha and
Rajasthan have occupied the top three ranks. For
instance, Odisha has performed well in terms of
providing trade support. The state has conducted
24 capacity building workshops to provide exposure
to traders which guides the latter into adopting best
practices in exports. Furthermore, it’s one of the top
five states in terms of strengthening its research and
development infrastructure. This has put the state at
an advantage among others in this pillar.
Among the landlocked states, Rajasthan, Telangana,
and Haryana emerged as the top-performing states
in this pillar.
CategoryAverage Scores
Coastal48.61
Himalayan21.32
Landlocked34.82
UT / City-States 10.86 Export Preparedness Index 2020 Sub-pillars:
Export Infrastructure
CategoryAverage
Scores
Sub-Pillar Average 38.22
Coastal67.87
Himalayan 28.76
Landlocked 47.85
UT/City-States 5.97
The hilly states have performed poorly primarily because
there is inadequate support for trade. Except for Tripura
and Uttarakhand, the other hilly states do not have an
informational portal for the exporters. These two states
also conduct trade fairs and capacity building workshops
as part of trade support. Uttarakhand, however lacks an
informative trade guide. The steps undertaken by the
states have been clearly inadequate and there is scope
for improvement in terms of creating an enabling export
infrastructure.
Figure R: State wise
export infrastructure
scores Page 48
The states can enhance their export competitiveness by
plugging the infrastructural gaps. This can be achieved
by introducing export promotion hubs and by making
relevant export information more transparent as well as
accessible.
In this sub-pillar, Maharashtra, Telangana and Tamil Nadu
have performed exceedingly well, in terms of providing
designated areas for trade centres, a trade guide, as well
as an online portal for exporters.
MAHARASHTRA boasts of the largest number of special
export promotion zones. The state has promoted the
development of several export promotion hubs for sectors
such as IT/ITeS, pharmaceuticals, biotechnology, textile,
automotive & auto components, gems & jewellery and
food processing. Their export promotion hubs are diverse
and spread across the state
64
. Maharashtra can serve as
a role model for its peer states, in terms of strengthening
export promotion parks and hubs.
Only 10 states provide a trade guide, and 15 states
provide an online portal for exporters.
All those which under the category of Union
Territories, do not have any trade guide or
online portal.
This reflects in their extremely poor average score within
the sub-pillar.
FOR INSTANCE, DELHI which has displayed strength in
the sub-pillars of the Business Ecosystem has performed
poorly in this particular sub-pillar. Delhi does not
provide a trade guide or an online portal where relevant
information about exporters is made accessible.
Accessibility of information, thus, remains a major
challenge for the majority of the states.
64
Indian Maharashtra Industry Report (December, 2019), IBEF Export Preparedness Index 2020 Trade Support
CategoryAverage Scores
Sub-Pillar Average 16.94
Coastal37.64
Himalayan12.76
Landlocked17.15
UT/City-States0.65
States need to have in place strategic policy interventions
to guide the states into improving their export quality and
quantity.
Such policies include a platform for
exporters to showcase their products and
interact with new partners; and capacity
building workshops to train and disseminate
knowledge amongst exporters.
Figure S: State-
wise trade support
scores Page 50
Maharashtra, Odisha and Uttarakhand are the top
performers under this sub-pillar.
UTTARAKHAND’S performance serves as an encouraging
example for other states, particularly the hilly states and
the Union Territories. Uttarakhand has held 21 trade
fairs and conducted 10 workshop training for capacity
building of exporters
65
. Furthermore, they have 11
projects approved under TIES, which is the highest across
all the states. The enrolment of members in the export
promotion council stands at 13.56 percent, which stands
at zero for all the other comparable states. Uttarakhand’s
efforts in these parameters have helped the state to
perform as well as the other states.
The Union Territories have performed extremely poorly
in this sub-pillar. Except for Delhi, the others do not have
any project approved under TIES. This limits their financial
assistance to upgrade export infrastructure. Furthermore,
none of the Union territories conducts training workshops
for exporters, which have put them at a disadvantage.
R&D Infrastructure
65
In the period of 2016-17 and 2018-19
Figure T: State-wise
R&D Infrastructure
scores Export Preparedness Index 2020 CategoryAverage Scores
Sub-Pillar Average 23.38
Coastal21.09
Himalayan15.02
Landlocked26.43
UT/City-States30.87
A higher frequency of research and quality checks
accelerates the innovation; Therefore ,research institutes
and NABL accredited laboratories play a vital role in
pushing exporters to enhance the quality of products in
tune with international standards.
Overall, the Union Territories have performed exceedingly
well as displayed by their average scores. Puducherry is
the top performer in this sub-pillar with a perfect score of
100.
However, this sub-pillar includes indicators
that are measured in proportion to the state
population. Thus, it may affect the positions
of states with large populations and as a
result, states such as Gujarat and Tamil
Nadu both lie below the average score. The
smaller states such as Uttarakhand and
Himachal Pradesh have also performed
well owing to the same reason. Their over-
performance has to be read with caution.
There is a serious paucity in terms of Research Institutes,
thus curbing the innovative tendencies of the subnational
economy. Furthermore, inspection agencies which are
accredited by NABCB are only available in 14 states.
There is a disparity in terms of availability of NABL
accredited research labs across states. While Maharashtra
has 895 accredited labs, Uttar Pradesh has only 83 labs at
an internationally acceptable level of competence. Smaller
states such as Sikkim have no such labs. The states
therefore perform differently in terms of scaling R&D
infrastructure in the country, which in turn, affecting their
productivity.
On the other hand, professional colleges are abundant,
which indicates the states are producing substantial
numbers of graduates. However, on an average, India has
a dearth of R&D workers per million.
66
Indian states need
to address these gaps to increase their productivity.
Furthermore, government expenditure, almost entirely
borne by the Centre, is the driving force of R&D in India in
contrast to advanced countries where the private sector is
the dominant and driving force of R&D spend.
67
There is
a need for greater participation of state governments and
the private sector in overall R&D spending. This would
also provide greater employment opportunities, leading to
greater innovation and a higher volume of exports.
Gujarat, which has performed exceedingly well in majority
of the sub-pillars, has severely underperformed in this
particular scenario. The state’s ratio of professional
colleges stands at 0.7 percent, which is poorer even in
comparison with other well-performing states such as
Maharashtra, Tamil Nadu, and Karnataka. Maharashtra’s
figure stands at 2 percent.
On the other hand, Gujarat’s ratio of research institutes
stands at 0.04 percent, while that of a state such as
Rajasthan stands almost close to 1.49 percent. This leaves
scope for Gujarat to boost its R&D infrastructure, which
could complement and sustain the high business growth
in the state. This will further accelerate the innovation
process in the state and better their quality of exports.
It is to be noted that the landlocked states, especially
Rajasthan have performed better than the coastal states
in R&D infrastructure Rajasthan, in comparison to Gujarat,
has no inspection agency but has a significantly greater
ratio of NABL labs as well as research institutions. Their
ratio of research institutes stands at 1.5 percent, much
higher than Gujarat’s 0.04 percent.
66
India Innovation Index Report, 2019
67
R&D expenditure Eco-System Report”, Ministry of Heavy Industries & Public Enterprises, 2018 Page 52
PILLAR 4: EXPORT PERFORMANCE
Strong performances from the Himalayan states of
Mizoram and Manipur have put the average score higher
than other states. Mizoram is a distant topper of this pillar
after delivering strong results in Export Orientation and
Market penetration. The state’s success can be credited
to remarkable average export growth. It offers immense
potential for commercial utilization of the natural resources
for export-oriented industries. Even if Mizoram’s export
base is relatively low, this growth sets the right precedence
and will further promote state intervention to ensure the
sustainability of the said growth rate.
Mizoram specialises in the production of bamboo in India,
with more than 30 species found in the state. It caters
to 14 percent of India’s bamboo needs. Apart from this,
Mizoram also specialises in the production of spices such as
turmeric and ginger, as well as fruits.
It is no surprise that India recorded an exceptionally high
export growth of spices in 2017-18
68
. The country exported
a record 10,28,060 tonnes of spices and spice products
valued at Rs 17,929.55 crore in 2017-18, if we take a closer
look at Mizoram’s export basket, it can be found that spices
constitute almost 20 per cent of their overall exports.
It is encouraging to observe that smaller states which
have displayed little to no strength in other pillars are
performing well in this one. A strong export performance
should encourage states such as Mizoram to improve their
performance in other pillars as well.
While Gujarat and Maharashtra occupy the second and
third position respectively; states such as Tamil Nadu
and Karnataka which have fared better in other pillars
feature in the bottom half of the rankings. This could be
attributed to negative average export growth and weaker
export concentration.
However, the encouraging performances by the smaller
states have to be viewed with caution. In the case of Tamil
Nadu, for instance, the volume of exports has been large
throughout the years, and hence the average growth is
not as significant for the state. But Mizoram has been able
to increase its volumes from a relatively smaller share to a
larger share within the same period, and hence its average
growth is higher. Thus, in absolute terms, Tamil Nadu will
outperform Mizoram, but in average terms of growth, it
will not.
CategoryAverage Scores
Coastal38.64
Himalayan41.45
Landlocked37.76
UT / City-States 27.12
68
www.business-standard.com/article/pti-stories/record-export-growth-of-indian-spices-in-2017-18 Export Preparedness Index 2020 Sub- Pillars
Growth and Orientation
CategoryAverage Scores
Sub-Pillar Average 18.01
Coastal20.83
Himalayan25.84
Landlocked12.30
UT/City-States14.25Mizoram’s impressive average export
growth and percentage of increase in
exporters could be down to a low base for
the same indicators in the previous year.
Other Himalayan states, such as Manipur
and Sikkim are some of the other strong
performers, thus highlighting the influence
of a growing export footprint in the hilly
regions.
This sub-pillar measures the relative and absolute growth
in the state-level exports. Through export-GDP ratio, the
states will be able to assess the contribution of exports
and similarly, the number of exporters present in the
state will indicate the conducive environment.
Figure U: State-wise
growth and orienta-
tion scores Page 54
MANIPUR, like Mizoram, benefits from conducive climatic
conditions and specialises in the production of agricultural
products such as bamboo and spices. Apart from that,
it is home to many medicinal plants, which also reflects
on its export basket. Medicines constitute 17 percent of
Manipur’s export. In recent years, India’s exports of drugs
and pharmaceutical products have significantly grown
69
. This
could be one of the reasons for Manipur’s export growth.
AMONG THE UNION TERRITORIES, GOA AND
ANDAMAN & NICOBAR ISLANDS have registered the
best performance. For Andaman and Nicobar Islands, this
is primarily because of its significantly high export growth
of over 280 percent over the last three years. For Goa, its
mainly due to the high Export to GDP ratio and increase in
number of exporters. Andaman specialises in exports related
to textiles. The textile industry is one of the biggest export
industries in the country, and hence the island benefits from
it. If they can boost their infrastructure, it would further help
them to expand their exports.
On the other hand, states that have
performed relatively well in other sub-pillars,
have not been able to perform up to the
mark in this particular sub-pillar. For instance,
Rajasthan’s average export growth over
three years stands at a meagre 5 percent.
Maharashtra’s is as low as 0.12 percent. The
larger states must take initiatives to expand
their export growth. Because they already
have the prerequisite infrastructure in
place, their volume of exports should not be
restricted to lower valuations.
Export Diversification
69
Annual Report 2018-19, Ministry of Commerce and Industries
Figure V: State-wise
export diversification
scores Export Preparedness Index 2020
CategoryAverage Scores
Sub-Pillar Average 55.02
Coastal56.45
Himalayan57.07
Landlocked63.23
UT/City-States40.00
Export diversification measures both the dispersion of
export value across an exporter’s products and the extent
to which exports from a state reach already proven
markets. Better trade value concentration and market
diversification protect the exporting unit from external
shocks.
It has emerged from the findings, that the states are yet
to strike a balance between trade value concentration
and market diversification. Except for Kerala, none of the
states features in the top 12 for any indicator. Kerala is
the only state that has performed exceedingly well in this
sub-pillar.
For states scoring low on Market Penetration Index there
is a further need to assess why they are not being able to
reach potential markets, find out how competitive their
products are, and find newer possible markets for better
geographic outreach.
The states must adopt a balanced approach to export
growth and diversification. Export concentration is
just one half of the said approach which would protect
Export Concentration Top 12
Market Penetration Index Top 12
MeghalayaRajasthan
ManipurMaharashtra
AssamPunjab
NagalandTelangana
BiharGujarat
MizoramTamil Nadu
LakshadweepHaryana
Chhattisgarh Delhi
SikkimMadhya Pradesh
Arunachal Pradesh Uttar Pradesh
KeralaDadra Nagar and Haveli
TripuraKerala
the states them from internal economic shocks while
emphasizing on comparative advantage. However, the
focus must also be on expanding export diversification
both in terms of products and destinations. Proven
literature suggests that export diversification is one of the
key drivers of economic growth
70,71
.
The graph below depicts the average reach of the top
10 products across the world of the states. The states
with higher average reach have an advantage in avoiding
potential global economic shocks while also establishing
new trading partnerships.
70
Hesse, H. (2009). Export diversification and economic growth. Breaking into new
markets: emerging lessons for export diversification, 55-80.
71
Al-Marhubi, F. (2000). Export diversification and growth: an empirical investigation.
Applied economics letters, 7(9), 559-562. It is mostly the top-performing states that
have successfully diversified their export
basket in terms of destinations. Most of
the small and hilly states are heavily reliant
on natural resources. This makes it difficult
to diversify their baskets in comparison to
other categories of states.Himachal Pradesh, primarily exports medicines, to 152 of
226
72
countries that export this product. However, the
performance is not consistent across all the ten products
that the state exports. This remains a problem for most of
the smaller states.
72
Number of countries listed by International Trade Centre
AVERAGE NUMBER OF EXPORT DESTINATIONS
Figure W: State-wise average number of export destinations (Source: DGCIS, Author’s Calculations)
Page 56 Export Preparedness Index 2020
Learnings
and
Strategies Page 58
Key Learnings
The key learning that emerged from this edition of EPI has
been that India scored well on average across the sub-
pillars of exports diversification, transport connectivity,
and infrastructure for most of its states. The average score
of Indian states in these three sub-pillars was above 50%.
Amongst these three sub-pillars, export diversification
and transport connectivity show low standard deviation
(21.99 and 18.91 respectively) vis a vis other sub-pillars,
which signifies that in these two components, the
averages are not being skewed to the higher side by a
few over-achievers. Besides these strengths, Indian states
should also focus on other key components in order to
improve the overall export competitiveness.
To stimulate a favourable orientation towards exports,
states should incentivize the initiation of several
internal policy reforms. The findings of the Economic
Survey 2017–18 corroborate this: it indicated a strong
correlation between exports and prosperity in Indian
states.
It perhaps stands out that the impetus to improve export
orientation is not only restricted to the usual suspects
who have higher exports to GSDP ratio but also to several
emerging champions of exports, which face unique socio-
economic and geographic challenges.
Two of these champions are the landlocked states of
Chhattisgarh and Jharkhand, which have a cumulative EPI
ranking of 8 and 14 respectively. Despite their unique
challenges, which range from a lack of traditional export
orientation enjoyed by some coastal states to historic
regional underdevelopment stemming from a possible
resource curse, the impetus to promote exports as shown
by these two states is not only commendable but also
inspirational.
Steps such as ensuring the participation of exporters
in important trade fairs and buyer–seller meets, and
dissemination of information like market studies, design
trends, export trends, standards and specifications, and
trade enquires across exporter networks have facilitated
these states to achieve better export preparedness.
Other Empowered Action Group (EAG) states, which face
similar socio-economic challenges can take a page out of
Chhattisgarh and Jharkhand’s performances. It may help
them to not only achieve more prosperity but also escape
their “resource curse” by boosting the manufacturing base
in their regions.
Figure X: Correlation between exports and GSDP. (Economic Sur-
vey, 2017-18)
73
https://pib.gov.in/newsite/PrintRelease.aspx?relid=186255
https://commerce.gov.in/writereaddata/uploadedfile/MOC_636626711232248483_Annual%20Report%20%202017-18%20English.pdf
https://mofpi.nic.in/sites/default/files/2-ftpstatement2015.pdf
https://dgft.gov.in/sites/default/files/ftpst17-051217%20%283%29.pdf
INTERNATIONAL EXPORTS AND STATES’ PROSPERITY
STATES’ INTER-STATE GROSS TRADE AND PROSPERITY Export Preparedness Index 2020 Export orientation and preparedness are not just the
domains of prosperous or legacy states. Dynamic export
policy measures, functioning promotional councils,
and synchronization with national logistical plans can
provide opportunities even for emerging states to
embark on a path of prosperity backed by regional export
competitiveness.
However, regional divergences are not absent when it
comes to export preparedness in India. The challenge is
perhaps the same across the sub-pillars of trade support,
growth and orientation, and R&D infrastructure, where
the average score was barely able to touch 20 per cent in
only one out of the three indicators.
This shows that there is a need to establish coordinated
handholding in these three domains as the states
have been unable to cater to these requirements by
themselves.
Additionally, the divergence between mean and median
scores of the export infrastructure sub-pillar are among
the highest across all the sub-pillars - 18.73. This indicates
that almost half of the states and union territories are far
behind Telangana, Tamil Nadu and the sub-pillar leader
Maharashtra which has scored a perfect 100. Thus, across
states, the development of export infrastructure remains
skewed. The states will have to identify their key areas of
concern in this domain from the full scorecards and bridge
this gap individually or by convergence with Central
schemes.
Sub-PillarAverage Score Median ScoreDifference
Export Promotion Policy 44.8644.96-0.10
Institutional Framework 34.7233.481.25
Business Environment 44.6149.34-4.72
Infrastructure51.0751.50-0.42
Transport Connectivity 53.7353.310.41
Access to Finance 35.5330.315.22
Export Infrastructure 38.2219.4918.73
Trade Support16.942.0914.85
R&D Infrastructure 23.3819.533.85
Growth and Orientation 18.0112.715.30
Export Diversification 55.0256.75-1.73 Page 60
Sub-Pillar Key Learning
Export Promotion
Policy
Most states are mainly identifying their thrust areas/sectors for exports. This is not enough. Export
promotion policy needs to focus on incentives like providing market support, financial and non-financial
incentives to MSMEs, and an increased emphasis on product and process standards and quality
certifications.
Institutional
Framework
Institutional channels for operationalizing export promotion policy within states is leaving a lot to be
desired. There is a need to increase the number of grievance redressal cells, Centre-State coordination cells,
and outreach forum for exporters within states.
Business
Environment
Simplified processes of e-filing applications through online submission, payment, tracking and monitoring
have given significant benefits to exporters in many states. Furthermore, the establishment of commercial
courts in major cities to expedite conflict resolution and reduce associated legal costs have added to the
improvement of business environment in most leading states. The reduction in the cost of establishing and
running a business has been the key enabler for an improved business environment across states.
Infrastructure Along with creating infrastructure for co-locating industries in a region, states would also need to
emphasise the need for infrastructure that allows firms to collaborate with each other. Only when co-
locating agglomerations can effectively collaborate with each other, will they become a cluster. There is a
lot of potential for clusters, especially in land-locked states, to drive exports in many states.
Transport
Connectivity
Congestions and delays have been reduced across leading states by increasing the number of modes (multi-
modal) in a transport network. Moving forward, instead of increasing capacity of major modes of transport,
diversification of transportation across various modes would enable states to achieve lower congestion and
higher efficiency.
Access to FinanceThere is a crucial need to provide export focussed credit, especially for MSMEs, across most states in India.
The leading states in this sub-pillar offer almost X5 to X9 times the average percentage of export credits
in India to their exporters. State backed credits must to be explored in the short to medium term to boost
MSMEs potential for exports under the current global economic slowdown where private investment will
be tough to achieve.
Export
Infrastructure
The lack of soft-infrastructure such as an online portal and a trade-guide across states was alarming. Only
10 states had trade guides, and only 15 had an online portal for their exporters. Maharashtra can serve as a
model for its peers in terms of strengthening export promotion parks and hubs in operational terms.
Trade Support A platform for exporters to showcase products and interact with new partners and workshops to build
capacity for potential exporters to navigate international trade are two fundamental elements lacking
across states. Uttarakhand, and landlocked state, has done significantly well in this domain as it has been
able to mobilize 21 trade fairs and conduct over 10 workshops between 2017 and 2019. This was able
to support the highest enrolment of exporters within the export promotion council of the state when
compared to its peers in the same category.
R&D
Infrastructure
The inter-regional disparity in terms of availability of NABL accredited research labs is another concern.
While Maharashtra has 895 accredited labs, UP has only 83. Furthermore, state specific and state driven
R&D to boost local clusters emerged as a key area of focus in the analysis.
Growth
Orientation
This sub-pillar records the recent achievements of many North Eastern states that were able to export
more focussing on their indigenous product baskets. This shows that a focussed development of such
baskets – for example spices – can drive exports on one hand and also improve farmer incomes on the
other.
Export
Diversification
In the years to come, a balance needs to be struck between export value concentration and export
diversification as many conventional markets for Indian exports are expected to experience lower demands
owing to the economic slow-down. To tide over this situation states will have to individually come up with
market diversification strategies, with respect to their export baskets, to find new opportunities. Export Preparedness Index 2020 The situation is even more grim in the case of the trade
support sub-pillar, which although has an average score
of 16.9, half the states have only scored 2.1 or below.
To put this into context, the leader in this sub-pillar is
Maharashtra, which has a perfect score of 100. So, half
the Indian states are 97.9 points behind Maharashtra
when it comes to supporting trade. This is a cause of
concern. The trade support sub-pillar comprises indicators
that gauge the support that a state/UT provides to its
firms to be able to export. Since most firms in India are
heavily fragmented, collective action in export promotion
by firms is only possible through the facilitation of the
states. The large-cap organizations are mostly immune
to the lack of trade support as they can replicate the
necessary infrastructure in-house or successfully influence
trade confederations at the state and national levels to
gain support. The SMEs suffer from the lack of trade
support. If the vision of promoting exports by SMEs have
to be realized, then the trade support ecosystem will have
to be strengthened across the states. Merely creating
a common infrastructure for SME agglomerations will
perhaps not cut ice in the medium to long-term.
Furthermore, during this term states that are
geographically similar must be able to converge in terms
of their export potential, which is not the case now.
The gap between the best-performing coastal state and
the lowest score in the Export Preparedness Index is a
significant 41.15. Same in the case of landlocked states,
wherein the gap is even higher at 50.32.
One significant learning from this exercise was to
understand how favourable policy ecosystems and
facilitating regulations can harness not only geographic
advantages but also overcome geographic challenges.
The best-performing coastal states, for instance, perform
significantly better than most landlocked states due to
better policy ecosystems.
Based on the learnings, it is evident that export promotion
in India faces three fundamental challenges:
1.
Intra- and inter-regional disparities in export
infrastructure
2. Poor trade support and growth orientation among
states
3. Poor R&D infrastructure to promote complex and
unique exports
However, these are not the only problems faced by
the states. In fact, the whole purpose of this Index is
to counter the one-size-fits-all approach that focuses
on macro-trends. The foundational principle of this
Index is to promote competitive federalism wherein
each state can identify their critical challenges from the
detailed scorecards in the previous section and then
establish context-specific strategies to address the same.
However, the learnings do show that most states in the
country have failed to address these three main issues.
The inability of most states to come up with relevant
strategies for these three domains raises the question
if the states do not have the capacity to address these
issues. This has to be explored outside the context of this
study as it requires a much-detailed analysis. However, in
the short run, these three significant bottlenecks could be
addressed by undertaking the following strategies:
1.
Convergence: The creation of export infrastructure
is indeed a capital-intensive process, which may
CategoryHighest EPI Score Lowest EPI Score Gap
Coastal 75.1934.0541.15
Landlocked62.5912.2650.33
UT/City-States45.812.433.4
Himalayan/Hilly States 48.1119.428.7
Strategies Page 62
emerge as a challenge for many states even if they
have been able to perform better in other domains.
By convergence with various national infrastructure
development plans and coordinating the joint
development of export infrastructure, the Central
government can reward states that have taken
significant steps towards export promotion. It would
act as an incentive for others to undertake effective
policy reforms and not fall into policy inertia arising
from their inability to address the brick-and-mortar
issues.
2.
Robust government–industry–academia linkages:
With over 20 IIMs and several other institutes for management excellence spread across the country, creating good academia, industry, and government linkages to support trade should be a reasonably straightforward exercise. Yet, these linkages do not always organically develop in an emerging economy. Often capacity-building programmes in premier institutes of management tend to be expensive, with little support for vernacular speakers. Furthermore, there is a broader incentive problem to promote the operationalization of research on the ground by academia. Every state must actively create channels for government–industry–academia linkages by facilitating and encouraging the capacity building of SMEs and the establishment of general export councils. Industry–academia linkages should not just be restricted to the level of policy consultation but should also percolate down to regular capacity building exercises for SMEs in states that have done significantly well in exports. By identifying and educating such SMEs about inventory and cash-flow management, design and standard, and export operations, the government–industry– academia linkage will be able to address several legacy management issues that restrict the export competitiveness of the SMEs in Indian states.
3.
Creating state-level engagements for economic
diplomacy: India has several international chambers of commerce and trade facilitation centres. However, Indian states seldom engage directly with them. Under the newly christened ‘Economic Diplomacy and States’ vertical of the Ministry of External Affairs, NITI Aayog should create capacity within states and build frameworks to facilitate direct engagements with
such transnational trade bodies. It would allow states to leverage their unique socio-cultural, economic, and historic trade linkages to open new market channels. State-level engagement can align with the foreign policy of many of India’s partners, such as Singapore that is actively seeking to promote trade and investment engagements with Indian states. However, engaging with international forums may have national repercussions, and therefore the capacity for the same will have to be initially facilitated by the Centre. It would also have the potential to strengthen India’s para-diplomatic channels for economic and trade negotiations in the years to come.
4.
Focus on designs and standards to make products
export-ready: Focus must be placed on such aspects to tap into our export potential. Let us understand the importance of designs and standards with the help of an analogy. There are several unique and environmentally friendly handicrafts produced in India that have the potential to be exported abroad as items for interior decoration and upholstery. However, often these products have basic designs and do not meet export standards. The Central and state governments will have to coordinate and engage with design institutions within the country to create a national discourse on the importance of designs and standards needed for exports.
5.
New use cases for products: Moreover, new use
cases for conventional products, such as coconut coir, woven textiles, and bamboo, will have to be identified with design thinking so that the vast export potential of the Indian micro-enterprises gets adequately harnessed. The same is also true for the case of the industrial design of products. Several contract manufacturers in the electronics sector can be upgraded to original equipment manufacturers with proper design support. Designs and standards would undoubtedly emerge as a crucial pillar to promote India’s exports.
Though states would ideally develop the strategies for export preparedness based on their scorecards, the five procedures of intervention identified above cannot happen without the Centre’s facilitation. It is therefore imperative that moving forward the Centre continues to support the states that have been able to create Export Preparedness Index 2020 functional policy ecosystems despite their unique socio-
economic challenges.
By creating convergence for building export infrastructure,
facilitating robust industry–academia–government
linkages to build trade-support networks, promoting
state-level engagements for economic diplomacy, and
an emphasized focus on designs and standards, India
would be able to develop some of the key learnings of
this analysis. The states will not only have to focus on
increasing and diversifying exports but also need to focus
on ensuring forward and backward integration to global
value chains, which would allow the states to export
higher value-added goods and services. In addition to
these, the appended table below identifies some key
indicators of concern across sub-pillars that show low
scores across most Indian states. While the states should
ideally develop context-driven actions for the same, some
recommended strategy for these indicators are listed in
the table below.
Sub-pillar Key Areas of Concern Recommended Strategies
Trade Support Number of projects
approved under
TIES; Membership
of Exporters in State
Export Council;
Capacity Building
and Orientation
Workshops.
States need to encourage more exporters to be a part of state export
councils by undertaking active membership drives. Furthermore, due to
the fragmented nature of firms in India, they often lack the necessary
capacity to navigate complex export deals in international markets. They
may also lack adequate knowledge about necessary risk mitigation or
risk management strategies associated with exports. In this regard, states
should create capacity workshops, perhaps in partnership with institutes
of foreign trade and management, to help exporters actively benefit from
potential export market opportunities.
Growth and
Orientation
Low Export to GSDP
ratio; Increase in
number of Exporters.
Export to GSDP ration is an outcome variable and cannot be impacted by
specific strategies. It is expected that when states would re-orient their
economic policy to engage better in export markets, the share of exports
in GSDP would gradually increase. However, states should actively
encourage more firms, especially MSMEs, to participate in exports by
improving their trade support policies.
R&D
Infrastructure
Low number of NABL
accredited labs and
inspection agencies.
The regional disparities in the R&D infrastructure has been dealt with in
great detail throughout this section. In fact, as globalization evolves
74
,
increased R&D in products and operational processes would be of key
importance in being competitive in the export markets. One low hanging
fruit is to get accreditation for existing testing facilities in a state by
retrofitting them to the national standard. Another step could be to
encourage more research in state government universities on relevant
issues that can influence the export potential of the state.
Export
Infrastructure
Absence of online
trade portal; Absence
of Trade Guides for
potential exporters;
Low number of Agri-
export Zones.
While the creation of new agri-export zones will depend on the overall
export policy of individual states, all states are strongly encouraged
to create an online trade portal providing exporters a single window
for accessing all trade related information. Exporters, especially agri-
exporters and MSMEs should be able to access market intelligence to
truly compete with firms globally. They are often unable to undertake
such exercise by themselves owing to their fragmented nature and lack
of knowledge resources.
74
https://www.weforum.org/agenda/2019/02/5-hidden-ways-that-globalization-is-changing/ Page 64
The Way
Forward The new world order is one in which production systems
are more consolidated, and supply chains significantly
reduced in size to increase efficiency. Given this new
paradigm of global production, India will face intense
competition in exports from other regions that compete
on cost-advantages, such as Vietnam, Cambodia, Laos,
and the Philippines. As mentioned in the previous
chapters, the key moving forward will not only be the
long-term productivity of Indian exporters but also their
ability to produce complex, unique, and hard-to-replace
commodities.
With three decades of economic growth witnessed after
the economic liberalization, India’s cost competitiveness
would soon wear out as the standard of living increases
in the country. This exercise, to assess the preparedness
of Indian states to export, was not only to identify the
major exporting regions of India but was also to determine
the level of future preparation in the years to come. For
instance, the analysis section of this report encourages
states to emulate the dynamic policy mechanisms of
Jharkhand over many other states that have higher share
in the total exports. It is because legacy exports, such as
large-scale exports of shrimps to East Asia and Western
markets, would be unsustainable in the long run. This will
happen as regions with comparatively lower standards
of living produce the same commodity at a lower labour
cost. It means buyers would be able to switch suppliers
rendering legacy exports vulnerable quickly unless
these legacy-exporting regions incorporate higher value
added production processes. It is achievable by creating
the necessary policy and export support ecosystems
advocated within the scope of this report.
Furthermore, design, research, and development are
incredibly high value-adding activities, which need to
be supported if India is to export complex and unique
economic goods in the global market. The focus on design
and research is difficult to achieve organically as the firm
structure in India is highly fragmented. It means there
should be active facilitation of the state and academia to
promote the importance of design and research vis-à-
vis export. If administered well, this would not only be
able to boost exports but also strengthen the overall
manufacturing base of the country—one state at a time.
Finally, moving forward, the best practices of the states
should be regularly documented and disseminated
to promote peer-to-peer learning under cooperative
federalism. For instance, depending on the unique
challenges identified in the state scorecards, each state
can choose to emulate some of the best practices.
For example, conducting targeted capacity-building
workshops like Tamil Nadu did or creating a targeted
retail platform like West Bengal’s Biswa Bangla, which
had over US$4.5 million in revenues over 2019. Again,
nothing specific is being specified here as a silver bullet
solution, as that is not the purpose of this report. Silver
bullet solutions often lead to agencies mimicking practices
without considering their unique economic and policy
contexts. The focus here is to identify the drivers and
the bottlenecks for each state in their scorecard and to
then create the capacity to address them using the four
strategies identified in the previous section. Further, with
states now engaging more directly with international
forums of business, it would be necessary to create
capacity across the board to ensure regional disparities do
not continue to exist in the country.
Celebrating innovative policymakers, facilitating linkages,
building capacity, and transitioning to more complex and
unique products depending on the inherent competitive
advantages of the states would be the way forward for
export promotion in the years to come.
Export Preparedness Index 2020 Page 66
State Profile
75
75
The Destination to Frontier and Comparative Analysis Graphs have sought to show the difference between the state’s and best performer’s score at the pillar-level Export Preparedness Index 2020 Andaman & Nicobar Islands
Rank: 33 Category : UT/ City-States
17.65Export
Preparedness
ScorecardStrength and Weakness is relative to 10 states / union territories with similar per capita GDP.
+RZWRUHDGWKHVFRUHFDUG All the values
are scores on a scale of 0-100. So, higher
score represents better performance.
Export Preparedness
17.65
Andaman and Nicobar Islands
Policy
10.1
Business Ecosystem
29.04
Export Ecosystem
3.4
Export Performance
16.67
Performing within expected rangeUnderperforming
Air Cargo Facilities0LEADS Index0
Number of ICDs0
Number of MMLH Hubs0
Export Promotion Policy
0
Existence of a valid policy0
Facilitating Measures0
Marketing support0
Policy emphasis on product quality & standards 0
Thrust sectors for exports0
Business Environment
19.73
Ease of Doing Business Index1.27Innovative Capacity17.81
Labour Reforms100
Number of Investor Summits0
Number of MoUs per summit0
Power Cost9.56
Single-window Clearance0
Value of MoUs per summit0
Institutional Framework
20.2
Appointment of full-time export commissioner 100
Empowered Committee37.44
Existence of a State-Centre co-ordination cell 0
Existence of Export Promotion Councils0
Grievance Redressal0
International Access0
Newsletter0
Infrastructure
51.5
Cluster Strength29.66
Internet Facilities20.54
Power Availability50.3
Transport Connectivity
0
Access to Finance
44.94
Banking Facilities62.79
Export credit to exporters0
Loan Schemes for Exporters0
Export Infrastructure
4.92
Presence of knowledge and information portal for exporters 0
Trade Guide0
Trade Support
0
Capacity Building/Orientation Workshops0
Membership of Exporters in trade promotion council/agencies 0
Number of trade fairs conducted by Government Departments 0
Projects Approved under TIES0
R&D Infrastructure
3.78
Ratio of Inspection Agencies0
Ratio of NABL Labs8.27
Ratio of Professional Colleges0
Ratio of Research Institutes0
Growth and Orientation
33.34
Average Export Growth29.56
Export to GDP Ratio7.92
Increase in Number of Exporters 35.28
Export Diversification
0
Export Concentration42.08
Market Penetration Index1.96
Andaman and Nicobar Islands
Page 68 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Andaman and Nicobar Islands Best State-wise Score Distance to Frontier
Comparative Analysis0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Andaman and Nicobar IslandsBest State-wise Score
Export Ecosystem
Export Preparedness Index 2020
Policy Business EcosystemExport Ecosystem Export Performance Page 70
Andhra Pradesh
Rank: 20 Category : Coastal
35.58
Export
Preparedness
Scorecard 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Andhra Pradesh Best State-Wise Score Export Preparedness Index 2020 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Andhra PradeshBest State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 72
Arunachal Pradesh
Rank: 25 Category : Himalayan
28.28
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Arunachal PradeshBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Arunachal Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 74
Assam
Rank: 28 Category : Landlocked
22.81
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Assam Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Assam Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 76
Bihar
Rank: 30 Category : Landlocked
21.55
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
BiharBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Bihar Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 78
Chandigarh
Rank: 27 Category : UT/ City-States
26.07
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
ChandigarhBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Chandigarh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 80
Chhattisgarh
Rank: 8 Category : Landlocked
55.95
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
ChhattisgarhBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Chhattisgarh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 82
Dadra and Nagar Haveli
Rank: 31 Category : UT/ City-States
20.77
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Dadra Nagar and HaveliBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Dadra Nagar and Haveli Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 84
Daman & Diu
Rank: 34 Category : UT/ City-States
12.76
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Daman and Diu Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Daman and Diu Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 86
Delhi
Rank: 15 Category : UT/ City-States
45.8
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
DelhiBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Delhi Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 88
Goa
Rank: 16 Category : UT/ City-States
40.94
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Goa Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Goa Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 90
Gujarat
Rank: 1 Category : Coastal
75.19
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
GujaratBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Gujarat Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 92
Haryana
Rank: 7 Category : Landlocked
56.03
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
HaryanaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Haryana Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 94
Himachal Pradesh
Rank: 19 Category : Himalayan
38.85
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Himachal PradeshBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Himachal Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 96
Jammu & Kashmir
Rank: 36 Category : Landlocked
12.27
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Jammu and Kashmir Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Jammu and Kashmir Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 98
Jharkhand
Rank: 14 Category : Landlocked
48
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
JharkhandBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Jharkhand Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 100
Karnataka
Rank: 9 Category : Coastal
55.17
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
KarnatakaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Karnataka Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 102
Kerala
Rank: 10 Category : Coastal
54.11
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
KeralaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Kerala Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 104
Lakshadweep
Rank: 35 Category : UT/City States
12.4
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Lakshadweep Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Lakshadweep Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Strength and Weakness is relative to 10 states / union territories with similar per capita GDP.
+RZWRUHDGWKHVFRUHFDUG All the values
are scores on a scale of 0-100. So, higher
score represents better performance.
Export Preparedness
49.47
Madhya Pradesh
Policy
66.1
Business Ecosystem
45.89
Export Ecosystem
48.41
Export Performance
41.04
OverperformingUnderperforming
Air Cargo Facilities0
LEADS Index82.04
Number of ICDs77.78
Number of MMLH Hubs20
Export Promotion Policy
59.9
8
Existence of a valid policy100
Facilitating Measures20.58
Marketing support100
Policy emphasis on product quality & standards 0
Thrust sectors for exports100
Business Environment
51.89
Ease of Doing Business Index98.98Innovative Capacity9.52
Labour Reforms100
Number of Investor Summits3.57
Number of MoUs per summit1.16
Power Cost14.99
Single-window Clearance100
Value of MoUs per summit0.37
Institutional Framework
72.22
Appointment of full-time export commissioner 100
Empowered Committee37.44
Existence of a State-Centre co-ordination cell 100
Existence of Export Promotion Councils0
Grievance Redressal100
International Access100
Newsletter100
Infrastructure
42.74
Cluster Strength21.19
Internet Facilities13.04
Number of Industrial Corridors20.17
Number of IT/Software Technology/Food Parks 21.24
Power Availability50.42
Transport Connectivity
65.47
Access to Finance
23.46
Banking Facilities23.86
Export credit to exporters8.1
Loan Schemes for Exporters0
Export Infrastructure
67.51
Number of Agri-Export Zones57.14
Presence of knowledge and information portal for exporters 0
Total area under trade exhibition centers (% of total area) 0
Trade Guide100
Trade Support
23.9
Capacity Building/Orientation Workshops0
Membership of Exporters in trade promotion council/agencies 0
Number of trade fairs conducted by Government Departments 19.64
Projects Approved under TIES27.27
R&D Infrastructure
34.7
Ratio of Inspection Agencies1.29
Ratio of NABL Labs61.41
Ratio of Professional Colleges8.63
Ratio of Research Institutes1.65
Growth and Orientation
9.37
Average Export Growth2.87
Export to GDP Ratio17.13
Increase in Number of Exporters 9.48
Export Diversification
72.7
1
Export Concentration37.27
Market Penetration Index71.21
Madhya Pradesh Page 106
Madhya Pradesh
Rank: 12 Category : Landlocked
49.47
Export
Preparedness
Scorecard 0.0
20.0
40.0
60.0
80.0
100.0
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Madhya Pradesh Best State-Wise Score Export Preparedness Index 2020 0.0
20.0
40.0
60.0
80.0
100.0
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Madhya Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport EcosystemExport Performance Page 108
Maharashtra
Rank: 2 Category : Coastal
75.14
Export
Preparedness
Scorecard 0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
MaharashtraBest State-Wise Score Export Preparedness Index 2020 0.0
50.0
100.0
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Maharashtra Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 110
Manipur
Rank: 32 Category : Himalayan
19.4
Export
Preparedness
Scorecard 0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Manipur Best State-Wise Score Export Preparedness Index 2020 0.0
50.0
100.0
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Manipur Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 112
Meghalaya
Rank: 21 Category : Himalayan
34.66
Export
Preparedness
Scorecard 0
10
20
30
40
50
60
70
80
90
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Meghalaya Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Meghalaya Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 114
Mizoram
Rank: 23 Category : Himalayan
29.53
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Mizoram Best State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Mizoram Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 116
Nagaland
Rank: 24 Category : Himalayan
29
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
NagalandBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Nagaland Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 118
Odisha
Rank: 5 Category : Coastal
58.23
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
OdishaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Odisha Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 120
Puducherry
Rank: 29 Category : UT/City-States
21.86
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
PuducherryBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Puducherry Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 122
Punjab
Rank: 18 Category : Landlocked
39.63
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
PunjabBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Punjab Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 124
Rajasthan
Rank: 4 Category : Landlocked
62.59
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
RajasthanBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Rajasthan Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 126
Sikkim
Rank: 26 Category : Himalayan
26.75
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
SikkimBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Sikkim Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 128
Tamil Nadu
Rank: 3 Category : Coastal
64.93
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Tamil NaduBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Tamil Nadu Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 130
Telangana
Rank: 6 Category : Landlocked
57.43
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
TelanganaBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Telangana Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 132
Tripura
Rank: 17 Category : Himalaya
40.79
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
TripuraBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Tripura Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 134
Uttar Pradesh
Rank: 11 Category : Landlocked
53.63
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
Uttar PradeshBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Uttar Pradesh Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 136
Uttarakhand
Rank: 13 Category : Himalayan
48.11
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
UttarakhandBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
Uttarakhand Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 138
West Bengal
Rank: 22 Category : Coastal
34.05
Export
Preparedness
Scorecard 0
20
40
60
80
100
0 0.5 1 1.5 2 2.5 3 3.5 4 4.5
Comparative Analysis
West BengalBest State-Wise Score Export Preparedness Index 2020 0
20
40
60
80
100
Policy
Business Ecosystem
Export Ecosystem
Export Performance
Distance to Frontier
West Bengal Best State-Wise Score Distance to Frontier
Comparative Analysis
Export Ecosystem
Policy Business EcosystemExport Ecosystem Export Performance Page 140
Appendix I Export Preparedness Index 2020 S. No. Sub-Pillar IndicatorsWeights (%)
1.1.1a Export Promotion
Policy
(10%)
Existence of a valid Export Promotion Policy2
1.1.1bExistence of valid sector-specific policy for exports
1.1.2Thrust sectors for exports2
1.1.3Policy emphasis on product quality and standards2
1.1.4Marketing Support2
1.1.5Performance Measurement System (Sub-indicator under Facilitating measures
around export promotion)
2
Award for Excellence in exports (Sub-indicator under Facilitating measures
around export promotion)
Financial incentives to boost exports (Sub-indicator under Facilitating
measures around export promotion)
Land Allotment for exporters (Sub-indicator under Facilitating measures
around export promotion)
1.2.1 Institutional
Framework
(10%)
Appointment of full time Export Commissioner1.4
1.2.2Existence of a State-Centre coordination cell1.4
1.2.3International Access1.4
1.2.4Export Promotion Councils (Sub-indicator under Existence of Export
Promotion Councils)
1.4
Sectoral Export Promotion Councils (EPCs) (as a percentage of total exporters)
(Sub-indicator under Existence of Export Promotion Councils)
1.2.5Establishment and functioning of an Empowered Committee1.4
1.2.6Newsletters1.4
1.2.7Grievance Redressal1.4
S. No. Sub-PillarIndicatorsWeights (%)
2.1.1 Business Environment (10%)
Ease of Doing Business Index2
2.1.2Number of Investor Summits (Sub-indicator under Investor Summits)2
MOUs/LoIs signed per summit (Sub-indicator under Investor Summits)
Value of MOUs/LoIs signed (Sub-indicator under Investor Summits)
2.1.3Power Cost (Sub-indicator under Cost of Doing Business) 2
Single-window Clearance (Sub-indicator under Cost of Doing Business)
2.1.4Labour Reforms2
2.1.5Innovative Capacity2
PILLAR: BUSINESS ECOSYSTEM
PILLAR: POLICY
Weightages & Indicator Profiles Page 142
S. No. Sub-PillarIndicatorsWeights (%)
3.1.1 Export Infrastructure
(10%)
Presence of knowledge and information portal for exporters 2
3.1.2Area under Export Promotion Industrial Parks, Export Promotion Zones and
Special Economic Zones (as percentage of State area)
2
3.1.3Total area under trade exhibition centres (as percentage of State area)2
3.1.4Trade Guide2
3.1.5Number of Agri-Export Zones2
3.2.1 Trade Support
(5%)
Projects Approved under Trade Infrastructure for Export Scheme (TIES)1.25
3.2.2Number of trade fairs conducted by government departments1.25
3.2.3Capacity Building/Orientation Workshops1.25
3.2.4Membership of exporters in Trade Promotion Council / Agencies 1.25
3.3.1 R&D Infrastructure
(5%)
Number of NABL accredited labs (per exporter)1.25
3.3.2Number of Inspection agencies - NABCB certification (per exporter) 1.25
3.3.3Research institutes dedicated to Industry/Export Specific Products (per exporter)1.25
3.3.4Number of professional colleges (per lakh of population)1.25
PILLAR: EXPORT ECOSYSTEM
PILLAR: EXPORT PERFORMANCE
S. No. Sub-PillarIndicatorsWeights (%)
4.1.1 Growth and Orientation
(10%)
Import Export Code (IEC) (As a percentage of total
businesses)
2.5
4.1.2Average Export Growth2.5
4.1.3Export to GDP ratio2.5
4.1.4Increase in number of exporters2.5
4.2.1 Export Diversification
(10%)
Export Concentration5
4.2.2Market Penetration Index5
2.2.1 Infrastructure (10%)
Power Availability2
2.2.2Internet Facilities2
2.2.3Number of Industrial Corridors2
2.2.4Number of Clusters2
2.2.5Number of IT Parks/Software Technology Parks/Food Parks 2
2.3.1 Transport Connectivity (10%)
LEADS Index2.5
2.3.2Multi-Model Logistic Hubs2.5
2.3.3Area covered by Air Cargo Facilities2.5
2.3.4Area covered by ICDs2.5
2.4.1 Access to Finance (10%)
Banking Facilities3.33
2.4.2Loan Schemes for exporters3.33
2.4.3Export Credit to exporters3.33 Export Preparedness Index 2020 Indicator Profiles
PILLAR: POLICY
SUB PILLAR: EXPORT PROMOTION POLICY
Indicator Name ExplanationSource
Existence of a valid
Export Promotion
Policy/Strategy
The Export Promotion Policy is a public policy measure aimed at enhancing export
activity at the national or State level.
State Government
Existence of a valid
sector-specific policy
for exports
Every State has an edge in some sectors either due to the presence of natural resources
or due to human capital. Some States focus on these sectors specific export policy
rather than a common one.
State Government
Thrust sectors for
exports
Each State has a competitive advantage in specific sectors. It is, therefore, necessary
that the States identify these thrust sectors and focus on developing their export
strategy around them.
DGCIS
Policy emphasis on
product quality and
standards
To become a part of the global value chain, it is important to adhere to international
standards and quality for exports as defined by WTO’s Agreement on Technical Barrier
to Trade (TBT Agreement), Sanitary and Phytosanitary Measures (SPS Agreements), Pre-
shipment Inspection (PSI Agreement), USDA Certification, Conformity European or any
other certification.
State Government
Marketing Support It is crucial for the State Government to work towards enhancing the visibility of State
level products in international markets.
State Government
Facilitating measures
around export
promotion
The Time Release Study (TRS) is an internationally recognized tool advocated by World
Customs Organization to measure the efficiency and effectiveness of international
trade flows.
The results of the TRS allow govt. agencies to diagnose existing bottlenecks that act as
a barrier to the free flow of trade.
State Government
Indicator NameExplanationSource
Appointment of full-time export commissioner
In 2015, the Centre had asked States to appoint Export Commissioners and prepare export strategies as a step to promote exports.
State Government
Existence of a State-Centre co- ordination cell
In order to facilitate a continuity with respect to trade policy at the level of the Centre and the States, a coordination cell is required to review and act upon new developments that are important to State exports
State Government
International Access
It is crucial for the State Government to work towards enhancing the visibility of State level products in international markets.
State Government
Export Promotion Councils
State level Export Promotion Councils are constituted for various sectors to direct, promote and ensure monitoring of the export related activities in the State.
State Government Department of Industries and Commerce
Establishment and Functioning of an Empowered Committee
An Empowered Committee is necessary for export related inter-departmental co-ordination and policy formulation. It will act as an advisory body of the State Government for export promotion. The Committee will also review the progress of different export infrastructural projects, export performance of the State, banking, discussing sectoral issues and other taxation issues faced by exporters.
State Government
Newsletter Publication of newsletter by the Government would help in updating exporters
about the latest policy changes within the State and the current export scenario. Such a publication would address the issues of information asymmetry between exporters and the State Government.
State Government Department of Industries and Commerce Export Promotion Council
Grievance Redressal
Exporters need to have access to grievance redressal mechanism to approach the Government for any information or resolution of problems.
State Government Department of Industries and Commerce
SUB PILLAR: INSTITUTIONAL FRAMEWORK Page 144
PILLAR: BUSINESS ECOSYSTEM
SUB-PILLAR: BUSINESS ENVIRONMENT
SUB-PILLAR: INFRASTRUCTURE
Indicator Name ExplanationSource
Ease of Doing
Business Index
Ease of Doing Business Index is a measure of regulations that enhance
business. It includes:
Starting a business, dealing with construction permits, getting electricity,
registering property, getting credit, protecting minority investors, paying
taxes, trading across borders, enforcing contracts, resolving insolvency,
etc.
DPIIT
Investor Summits Investment Summits are organized by State Governments to attract
investment. However, it is important to focus on the end results of
these summits as well.
State Government
Cost of Doing
Business
States compete among themselves on the cost of products and services
essential for running a business.
State Government
Labour Reforms Labour regulation is important to assess the optimal balance between
adequate worker protection and labour market efficiency. To attract
foreign investment to the country, firms consider the strength of worker
bargaining power when making sourcing decisions. Various legislative,
administrative and e-governance initiatives have been taken by the
Governments to generate employment and facilitate ease of doing
business. This indicator will capture those reforms.
Ministry of Labour
Innovative Capacity The innovative capacity of states shows the extent to which a state can
diversify its products and compete in different markets.
NITI Aayog
Power Availability Availability of quality power in States is a basic requirement for
production of goods and services.
National Power Portal, Central
Electricity Authority
Indicator NameExplanationSource
Internet Facilities The availability of information and communication technologies (ICTs) in a State is crucial for the ease of doing business operations.
TRAI
Number of Industrial Corridors To accelerate growth in manufacturing, ensure systematic,
planned urbanization, provide employment opportunities and promote sustainable development.
DPIIT
Number of Clusters Several towns have emerged as dynamic industrial clusters contributing handsomely to India’s exports. These industrial clusters maximize the States’ potential and enable them to move up the value chain and to tap new markets. (Towns of Export Excellence - TEE).
Cluster Mapping, EAC-PM
Number of IT Parks/Software Technology Parks/Food Parks
The objective of STPI - Software Technology Parks in India is to encourage, promote and boost software exports from India
Ministry of Electronics & Information Technology and Ministry of Food Processing Industries Export Preparedness Index 2020 SUB-PILLAR: TRANSPORT CONNECTIVITY
Indicator Name ExplanationSource
LEADS IndexLEADS makes a perception-based assessment of international
trade logistics across Indian states and UTs – focusing on users
and stakeholders. It also provides indicator-level assessments of
performance on specific dimensions.
Department of Commerce,
Ministry of Commerce and
Industry
Multi-Model Logistics Hubs
(MMLH)
The indicator will capture total area under MMLH catering to exporters
(as a percentage of state area)
Department of Commerce,
Ministry of Commerce and
Industry
Area covered by Air Cargo
Facilities (as a percentage of
total State area)
The indicator will identify the proportion of area within a State catered
by air cargo facilities to assess the connectivity of businesses to air
cargo facilities.
Ministry of Civil Aviation
Area covered by ICDs
(as a percentage of total
State area)
The last leg of the supply chain, denoting the transportation of goods
from a transportation hub to its final destination. This final destination
could be the location of an end customer or inland container depots
(ICDs)
Department of Commerce,
Ministry of Commerce and
Industry
SUB-PILLAR: ACCESS TO FINANCE
Indicator NameExplanationSource
Banking FacilitiesBanks serve as one of the main pillars of economic empowerment by taking care of the financial needs. They are critical for the industry to grow by ensuring credit availability.
RBI
Loan Schemes for Exporters To provide better terms of credit including rates of interest to
all eligible exporters, including those under small and medium sector, compared to those extended to other exporters by the State government.
State Government
Export credit to exporters Export credit intends to make short-term working capital finance available (both in Rupee & foreign currency) to exporters at internationally comparable interest rates.
RBI
Indicator NameExplanationSource
Area under Export Promotion Industrial Parks, Export Promotion Zones and Special Economic Zones (as percentage of State area)
The establishment of EPIPs, EPZs and SEZs by states provide exporters with attractive investment opportunities through incentives like tax benefits.
State Department of Industry and Commerce, SEZ India
Total area under trade exhibition centers (as percentage of State area)
The extent of trade exhibition centres (as a percentage of state area will provide more opportunities to exporters to highlight their commodities.
State Department of Industries and Commerce
Trade GuidePublication of trade guide with geography -based information on process, commodity, buyers/market intelligence etc. by state.
State Department of Industries and Commerce
Number of Agri-Export Zones An Agri Export Zone or AEZ is a specific geographic region
in a country demarcated for setting up agriculture-based processing industries, mainly for export.
Ministry of Food Processing Industries
PILLAR: EXPORT ECOSYSTEM
SUB-PILLAR: EXPORT INFRASTRUCTURE Page 146
SUB-PILLAR: ACCESS TO SUB-PILLAR: TRADE SUPPORT
SUB-PILLAR: R&D INFRASTRUCTURE
Indicator Name ExplanationSource
Projects Approved under
Trade Infrastructure for
Export Scheme (TIES)
The Government of India has launched TIES with the objective to assist
Central and State Government Agencies for creation of appropriate
infrastructure for growth of exports from the States. The Scheme
provides financial assistance in the form of grant-in-aid to Central/
State Government owned agencies for setting up or for up-gradation of
export infrastructure as per the guidelines of the Scheme.
Ministry of Commerce and
Industry
Number of trade fairs
conducted by Government
Departments
The number of trade fairs and exhibitions conducted by the State
Governments help the exporters by providing them a platform to
showcase their products, meet with industry partners and examine
recent market activities and trends.
State Government
Capacity Building/
Orientation Workshops
The capacity building schemes help by providing exposure to exporters. State Department of
Industries and Commerce
Membership of Exporters
in trade promotion council
/ agencies
Total membership of exporters (% of total exporters) in trade promotion
council / agencies
State Department of
Industries and Commerce
Indicator NameExplanationSource
Number of NABL) accredited labs (per lakh of business
Laboratory accreditation: an authoritative body gives formal recognition of technical competence for specific tests/ measurements, based on third party assessment and following international standards.
Directory of Accredited Testing Laboratories, NABL
Number of Inspection agencies - National Accreditation Board for Certification Bodies (NABCB) (per lakh of business)
NABCB accreditation: to provide international equivalence and acceptance of certificates and reports so that Government and Industry can take advantage and facilitate domestic trade, regulatory compliance and export competitiveness
Export Inspection Council
Research institutes (per lakh of population)
Research Programmes mainly on Crop Improvement, Biotechnological interventions, Soil testing based Nutrient Management Studies, Pest and Disease Management, Farm mechanisation feasibility etc. in States can boost their export readiness competitiveness in the global markets.
State Department for Industries and Commerce
Number of professional colleges (per lakh of population)
Professional colleges and universities that are All India Council of Technical Education (AICTE) accredited will be considered to promote a culture of research and development.
AICTE
Indicator NameExplanationSource
Import Export Code (IEC) (as a percentage of total businesses)
IEC is a registration code required by companies for importing and exporting from India, making them eligible for recognition as a status holder.
DGCIS
Average Export Growth This indicator is used to calculate the year on year growth in a States' exports DGCIS
Export to GDP Ratio This indicator gives the contribution of the exports of a State to its GDPDGCIS
Increase in Number of Exporters Increase in number of exporters in a State will indicate whether the business
environment in States promotes exports.
DGCIS
PILLAR: EXPORT PERFORMANCE
SUB-PILLAR: GROWTH & ORIENTATION Export Preparedness Index 2020 Indicator Name ExplanationSource
Export Concentration Product Concentration Index is used to measure the dispersion of trade value across an
exporter's products. it is also an indicator of an exporter's vulnerability to trade shocks.
DGCIS
Market Penetration Index Market Penetration Index measures the extent to which exports from a State reach
already proven markets. It is calculated as the number of countries to which a State
exports a particular product divided by the number of total countries that import that
product in a year.
DGCIS
SUB-PILLAR: EXPORT DIVERSIFICATION Page 148
Appendix II
* The following section has been taken from DGCIS – the information has not been modified in any manner.
* Export Preparedness Index 2020 State Rank HS Code DESCRIPTIONVal In Mil.
USD
% Share In
State’s Total
Export
No. Of
Countries
To Which
Exported
Andaman &
Nicobar
1 61091000 T-SHIRTS ETC OF COTTON0.60 15.0 3
2 41079900 OTHER/HIDES/SKINS INCLUDING SIDES 0.42 10.62
3 03035400 MACKEREL FROZEN0.36 8.91
4 39219094 OTHR PLTS, SHTS, FILM FOIL, STRIP ETC NES
FLEXIBLE, METALLISED
0.16 4.03
5 72230091 WIRE OF STAINLS STL THICKER THAN 1.5 MM 0.15 3.82
6 23064900 OTHER RESIDUES OF RAPE OR COLZA SEEDS 0.14 3.42
7 61142000 OTHER GARMENTS OF COTTON0.08 2.11
8 74199940 COPPER WORKED ARTICLES0.08 2.01
9 38089290 OTHERS FUNGICIDE NES0.07 1.81
10 76020010 ALUMINIUM SCRAP COVERD BY ISRI CODE
TABLET TABLOID, TABOO, TAINT/TABOR, TAKE,
TALAP, TALCRED, TALDACK, TALDON, TA
0.07 1.71
Andhra
Pradesh
1 03061790 OTHER SHRIMPS AND PRAWNS2187.06 15.5 61
2 89059090 OTHER UNDER HDNG 89051288.11 9.1 2
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
476.08 3.4 137
4 72023000 FERRO-SILICO-MANGANESE419.72 3.0 69
5 10063010 RICE PARBOILED413.15 2.9 45
6 09042110 OF GENUS CAPSICUM385.39 2.7 26
7 89051000 DREDGERS320.79 2.3 5
8 24012010 FLUE CURED VIRGINIA TOBACCO PARTLY/
WHOLLYSTMD/STRIPPED
272.31 1.9 53
9 16052900 OTHER SHRIMPS AND PRAWNS197.80 1.4 27
10 89052000 FLOATNG/SUBMERSIBLE DRLLNG/PRDCTN
PLATFORMS
195.60 1.4 2
Arunachal
Pradesh
1 72022100 FERRO-SILICON CONTNG>55% OF SILICON 0.99 43.1 4
2 08051000 ORANGES FRESH OR DRIED0.24 10.3 1
3 09011141 COFFEE ROB CHERRY AB0.21 9.31
4 25231000 CEMENT CLINKERS0.08 3.61
5 27101930 HIGH SPEED DIESEL (HSD)0.07 3.11
6 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.07 3.01
7 72023000 FERRO-SILICO-MANGANESE0.07 2.81
8 84743110 CONCRETE MIXERS0.06 2.51
9 12024210 KERNELS, H.P.S0.04 1.81
10 53031010 JUTE, RAW OR RETTED0.04 1.61 Page 150
Assam
1 09024020 TEA BLACK, LEAF IN BULK176.27 47.7 50
2 09024010 TEA BLACK IN PCKT>3KG BUT<= 20 KG 72.32 19.6 41
3 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
19.10 5.23
4 09024040 TEA BAGS13.80 3.728
5 27040020 COKE AND SEMI-COKE OF LIGNITE OR OF PEAT 10.94 3.01
6 09024090 OTHER BLACK TEA8.82 2.423
7 84118100 OTHR GAS TURBINES OF POWER <=5000 KW 6.77 1.82
8 27101930 HIGH SPEED DIESEL (HSD)5.99 1.64
9 44029090 OTHER4.13 1.11
10 27131200 PETROLEUM COKE CALCINED3.80 1.01
Bihar
1 27101930 HIGH SPEED DIESEL (HSD)654.18 39.9 16
2 27101219 OTHER204.45 12.5 1
3 27101920 AVIATION TURBINE FUEL (ATF)138.83 8.5 16
4 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
115.24 7.0 26
5 27111900 OTHR LQFD PETRLM GASES AND GASEOUS
HYDRCRBN
99.03 6.01
6 10059000 OTHER MAIZE (CORN)68.91 4.25
7 10061090 OTHR RICE IN HUSK50.30 3.12
8 10063090 RICE EXCPTG PARBOILED (EXCL BASMATI RICE) 27.22 1.73
9 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
25.60 1.61
10 10019910 WHEAT18.92 1.21
Chandigarh
1 84485190 SNKRS, NEDL ETC. OF OTHER TXTL MACHINERY 11.47 16.05
2 84523090 NEEDLES FR OTHER TYPE SEWNG MCHNS 8.06 11.2 3
3 90079100 PRTS AND ACCESSORS FR CINAMATOGRPHC
CAMERAS
4.31 6.0100
4 90181990 OTHR ELCTRO-DIAGNOSTC APPRTS4.16 5.83
5 90229090 OTHERS2.84 3.98
6 04059020 MELTED BUTTER (GHEE)1.82 2.57
7 63101010 WOOLLEN RAGS1.60 2.21
8 84594130 FINE BORING MACHINES, VERTICAL1.58 2.28
9 21069099 OTHER FOOD PREPARATION NES1.52 2.110
10 76169990 OTHERS ARTICLES OF ALUMINIUM N.E.S. 1.51 2.110
Chattisgarh
1 76011010 ALUMINIUM INGOTS-NOT ALLOYED450.22 36.2 14
2 10064000 BROKEN RICE143.39 11.5 20
3 10063010 RICE PARBOILED143.27 11.5 34
4 26011210 AGGLOMERATED IRON ORE PELLETS75.48 6.14
5 72023000 FERRO-SILICO-MANGANESE45.30 3.640
6 10063090 RICE EXCPTG PARBOILED (EXCL BASMATI RICE) 31.71 2.518
7 72071920 MILD STEEL (M.S.) BILLETS31.45 2.51
8 26011119 65% FE AND ABOVE28.86 2.31
9 26011139 65% FE AND ABOVE26.02 2.12
10 72021900 OTHER FERRO-MANGANESE23.87 1.924 Export Preparedness Index 2020 Dadra & Nagar
Haveli
1 54023300 TEXTURED YARN OF POLYESTERS455.85 21.3 79
2 76141000 STRANDED WIRE, CBLS ETC WTH STEEL CORE 144.88 6.846
3 76149000 OTHR STRNDED WIRE, CBLS PLAITD BNDS ETC 138.27 6.547
4 90011000 OPTCL FIBRS, OPTICAL FIBRE BUNDLES AND
CABLES
107.95 5.0 43
5 39269099 OTHR ARTICLE OF PLASTIC NES74.43 3.552
6 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
52.12 2.446
7 39219099 OTHR PLTS, SHTS, FILM FOIL, STRIP ETC NES
OTHER
43.44 2.08
8 27101990 OTHER PETROLEUM OILS AND OILS OBTAINE
FROMBITUMINOUS MINERALS NES
31.92 1.572
9 63053200 FLEXIBLE INTERMEDIATE BULK CONTAINERS
OF MAN MADE TEXTILE MATERIALS
29.64 1.444
10 71129990 OTHR WST AND SCRP OF OTHR PRCS MTLS
N.E.S.
28.69 1.31
Daman & Diu
1 54023300 TEXTURED YARN OF POLYESTERS103.75 9.8 44
2 39232100 SACKS AND BAGS OF POLYETHYLENE (INCL
CONES)
59.73 5.736
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
54.45 5.262
4 63053200 FLEXIBLE INTERMEDIATE BULK CONTAINERS
OF MAN MADE TEXTILE MATERIALS
41.98 4.037
5 96081019 OTHER BALL-POINT PENS WITH LIQUID INK
(FOR ROLLING BALL PEN)
34.37 3.387
6 23040010 OIL-CAKE AND OIL-CAKE MEAL OF SOYA BEAN
EXPELLER VARIETY
27.02 2.68
7 39232990 SACK AND BAG (INCL CONES)OF OTHR PLASTIC
NES
26.65 2.567
8 39241090 OTHER TABLEWARE AND KITCHENWARE OF
PLASTICS
25.59 2.484
9 30049081 PHENOBARBITONE, MEPHOBARBITONE,
PRIMIDONE, PHENYTOIN, CARBAMAZPIN,
ETHOSUCIMID, VALPORICACID, DIAZEPA,
LAMOTRIGIN, GAB
23.90 2.34
10 39191000 SELF-ADHSV PLTS ETC IN RLS, WDTH < = 20CM 23.65 2.227
Delhi
1 84111200 TURBO-JETS OF A THRUST>25 KN1564.69 16.5 17
2 71189000 OTHER COIN494.00 5.2 1
3 10063020 BASMATI RICE397.67 4.2 97
4 71131910 JEWELLERY OF GOLD UNSET242.78 2.6 14
5 88033000 OTHR PRTS OF AEROPLANES/HELICOPTERS 229.18 2.450
6 61091000 T-SHIRTS ETC OF COTTON181.42 1.9 113
7 62044390 OTHR DRESSES OF SYNTH FIBRES129.08 1.4 112
8 62114300 OTHER GARMENTS OF MAN-MADE FIBRES 120.45 1.3125
9 85171290 OTHER113.55 1.2 22
10 62044400 DRESSES OF ARTIFICIAL FIBRES92.76 1.090 Page 152
Goa
1 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
644.87 31.2 135
2 30049069 OTHER NONSTEROIDAL ANTIINFLAMATORY,
ANALGESTICS AND ANTIPYRATIC DRUGS
72.16 3.543
3 38089199 OTHER INSECTICIDE NES71.82 3.516
4 85176290 OTHER70.03 3.436
5 30049081 PHENOBARBITONE, MEPHOBARBITONE,
PRIMIDONE, PHENYTOIN, CARBAMAZPIN,
ETHOSUCIMID, VALPORICACID, DIAZEPA,
LAMOTRIGIN, GAB
69.78 3.419
6 30049079 OTHER ANTIHYPERTENSIVE DRUGS60.75 2.947
7 03035900 OTHER FISH INCL INDIAN MACKERELS,
CREVALLES, SILVER POMFRETS, SCADS,
CAPELIN, KAWAKAWA FROZEN
41.86 2.03
8 26011141 BELOW 55% FE38.04 1.82
9 30049039 OTHER ANTINISTANINICS, ANTACIDS,
ANTIULCER, ANTIEMITICS AND OTHER
GASTOINTESTINAL DRUGS
34.95 1.737
10 30049071 CAPTOPRIL, ENALAPRIL, LISINOPRIL,
PERINDOPRIL AND RAMIPRIL
32.52 1.622
Gujarat
1 27101930 HIGH SPEED DIESEL (HSD)10449.34 15.5 48
2 27101920 AVIATION TURBINE FUEL (ATF)5076.47 7.5 21
3 27101219 OTHER3583.45 5.3 20
4 29024300 P-XYLENE1887.27 2.8 10
5 27101290 OTHER1536.26 2.3 11
6 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
1016.33 1.5 179
7 52010015 INDIAN COTTON OF STAPLE LENGTH 28.5MM
(1.4/32) AND ABOVE BUT BELOW 34.5MM
920.03 1.4 30
8 10063020 BASMATI RICE893.97 1.3 85
9 15153090 CASTOR OILANDITS FRCTNS OTHR THN EDBLE
GRADE
770.08 1.1 86
10 87032291 MOTOR CAR WTH CYLNDR CPCTY>=1000CC
BUT< 1500CC WTH SPRK-IGNTN
694.52 1.0 59
Haryana
1 10063020 BASMATI RICE2222.04 16.1 121
2 84111200 TURBO-JETS OF A THRUST>25 KN1171.78 8.5 13
3 87032291 MOTOR CAR WTH CYLNDR CPCTY>=1000CC
BUT< 1500CC WTH SPRK-IGNTN
458.73 3.3 86
4 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
321.57 2.3 145
5 87083000 MOUNTED BRAKE LININGS197.00 1.4 99
6 87112029 MOTR CYCLWTH CYLNDR CPCTY >75 BT<=250
CC
190.46 1.4 58
7 62064000 BLOUSES,SHIRTS ETC OF MAN-MADE FIBRES 175.14 1.383
8 87032191 MOTOR CAR WTH CYLNDR CPCTY<=1000
WTH SPRK-IGNTN
169.90 1.2 63
9 62114300 OTHER GARMENTS OF MAN-MADE FIBRES 157.02 1.186
10 61091000 T-SHIRTS ETC OF COTTON152.22 1.1 94 Export Preparedness Index 2020 Himachal
Pradesh
1 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
289.79 21.9 137
2 30042099 OTHR MEDICAMENT CONTAINING OTHR
ANTIBIOTICAND PUT UP FOR RETAIL SALE
45.58 3.475
3 30049079 OTHER ANTIHYPERTENSIVE DRUGS45.31 3.465
4 29420090 OTHER DILOXANIDE FUROATE, CIMETIDINE,
FAMOTIDINE NES
42.43 3.276
5 30049039 OTHER ANTINISTANINICS, ANTACIDS,
ANTIULCER, ANTIEMITICS AND OTHER
GASTOINTESTINAL DRUGS
41.28 3.154
6 48239019 DECORATIVE LAMINATES39.16 3.057
7 30049081 PHENOBARBITONE, MEPHOBARBITONE,
PRIMIDONE, PHENYTOIN, CARBAMAZPIN,
ETHOSUCIMID, VALPORICACID, DIAZEPA,
LAMOTRIGIN, GAB
28.24 2.116
8 30042019 OTHER CEPHALOSPORINS AND THEIR
DERIVATIVES
26.04 2.067
9 30049049 OTHER ANTICANCER DRUGS25.82 2.063
10 30049069 OTHER NONSTEROIDAL ANTIINFLAMATORY,
ANALGESTICS AND ANTIPYRATIC DRUGS
23.33 1.860
Jammu &
Kashmir
1 62142010 SHAWLS OF WOOL34.96 17.8 44
2 57019090 CRPTS AND FLR CVRNGS KNOTTD OTHR THAN
COTTON
17.11 8.733
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
14.79 7.543
4 08023200 SHELLED WALNUTS FRSH OR DRIED8.86 4.520
5 10063020 BASMATI RICE7.47 3.812
6 55095100 OTHR YARN OF POLYSTR STPL FIBRS MIXED
MAINLY/SOLELY WITH ARTIFICIAL STAPLE
FIBRS
7.12 3.614
7 29333919 OTHER DERIVATIVES OF PYRADINE5.31 2.718
8 55095300 OTHER YARN OF POLYSTER STAPLE FIBRS
MIXED MAINLY/SOLELY WITH COTTON
4.51 2.313
9 52052390 OTHERS4.41 2.28
10 07123900 OTHERS (E.G.TRUFFLES ETC.) DRIED.4.21 2.19
Jharkhand
1 72083930 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS< 3 MM HOT-RLD, EXCL. PICKL
185.88 14.8 11
2 87042219 3-WHEELER GOODS VHCLS,WTH CMPRSN
IGNTN INTRNL CMBSTN PSTN ENGN WTH
G.V.W.>5 TONS BT<=20 TONS: LORRY AN
117.07 9.3 11
3 72083830 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF
A THCKNS>=3 BUT< 4.75MM HOT-RLD, EXCL.
PICKL
110.02 8.8 10
4 87042319 3-WHEELER GOODS VHCLS, WTH CMPRSN
IGNTN INTRNL CMBSTN PSTN ENGN WTH
G.V.W.>20 TONS: LORRY AND TRUCK
75.33 6.010
5 72031000 FERS PRDCT OBTND BY DRCT RDCTN OF IRON
ORE
61.37 4.92
6 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
60.01 4.817
7 72101290 OTHER PLATES, SHEETS, STRIPS46.64 3.725
8 72139110 OTHER BARS AND RODS OF FREE CUTING
STEEL ELECTRODE QUALITY
38.29 3.13 Page 154
9 84829900 OTHER BALL/RLR BEARNG PARTS36.67 2.913
10 72083940 STRIPS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS<3 MM HOT-RLD, EXCL. PICKL
34.73 2.81
Karnataka
1 27101930 HIGH SPEED DIESEL (HSD)1386.95 8.0 12
2 27101920 AVIATION TURBINE FUEL (ATF)996.40 5.7 9
3 27101990 OTHER PETROLEUM OILS AND OILS OBTAINE
FROMBITUMINOUS MINERALS NES
588.27 3.4 33
4 62052000 MENS OR BOYS SHIRTS OF COTTON423.70 2.4 97
5 88033000 OTHR PRTS OF AEROPLANES/HELICOPTERS 361.20 2.148
6 27101950 FUEL OIL357.16 2.1 4
7 72083940 STRIPS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS< 3 MM HOT-RLD, EXCL. PICKL
279.34 1.6 11
8 62034200 TROUSERS BIB AND BRACE OVERALLS
BREECHES AND SHORTS OF COTTON FOR
MENS AND BOYS
254.06 1.5 80
9 85044090 OTHERS209.59 1.2 83
10 27101219 OTHER199.96 1.2 5
Kerala
1 71131910 JEWELLERY OF GOLD UNSET5842.41 59.4 8
2 27101990 OTHER PETROLEUM OILS AND OILS OBTAINE
FROMBITUMINOUS MINERALS NES
362.74 3.7 10
3 08013220 CASHEW KARNEL, WHOLE291.89 3.0 47
4 03061790 OTHER SHRIMPS AND PRAWNS287.61 2.9 45
5 27101920 AVIATION TURBINE FUEL (ATF)132.38 1.3 22
6 03074320 WHOLE SQUIDS FROZEN130.00 1.3 37
7 03074310 CUTTLE FISH FROZEN125.97 1.3 26
8 61112000 BABIES GARMENTS ETC OF COTTON93.18 0.948
9 57039090 OTHR FLR CVRNGS OF OTHR TXTL MATRL 61.32 0.680
10 33019029 OLEORESINES OF SPICES N.E.S.,58.14 0.684
Lakshadweep
1 03061790 OTHER SHRIMPS AND PRAWNS0.13 31.3 1
2 16052900 OTHER SHRIMPS AND PRAWNS0.08 18.6 1
3 63049250 TERRY TOWEL OF COTN, NTKNTD/CRCHTD 0.06 15.0 1
4 27101930 HIGH SPEED DIESEL (HSD)0.02 5.01
5 70109000 OTHR ARTCLES FOR CNVYNCE/PACKING OF
GOODS
0.02 3.91
6 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
0.01 3.51
7 20079910 JAMS JELLIES MRMLDS ETC. OF MANGOE 0.01 2.91
8 10061090 OTHR RICE IN HUSK0.01 2.81
9 27101219 OTHER0.01 2.71
10 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.01 2.61
Madhya
Pradesh
1 85451100 ELECTRODES OF A KIND USED FOR FURNACES 665.64 10.4 35
2 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
628.83 9.9 140
3 76011010 ALUMINIUM INGOTS-NOT ALLOYED371.45 5.8 19
4 23040030 MEAL OF SOYABEAN, SOLVENT EXTRACTED
(DEFATTED) VARIETY
325.12 5.1 46 Export Preparedness Index 2020
5 63053200 FLEXIBLE INTERMEDIATE BULK CONTAINERS
OF MAN MADE TEXTILE MATERIALS
191.93 3.0 71
6 23040010 OIL-CAKE AND OIL-CAKE MEAL OF SOYA BEAN
EXPELLER VARIETY
140.00 2.2 14
7 63026090 TOILET LINEN AND KITCHEN LINEN, OF TERRY
TOWELLING OR SIMILAR TERRY FABRICS, OF
COTTON, OTHER THAN HANDLOOM
126.46 2.0 33
8 52052410 GREY2401110.55 1.7 38
9 10063020 BASMATI RICE108.67 1.7 38
10 39206220 PLTES SHTS ETC OF PLYETHYLN
TEREPHTHALTE FLEXIBLE, PLAIN
105.69 1.7 66
Maharashtra
1 71023910 DIAMOND (OTHR THN INDSTRL DIAMOND)
CUT OR OTHERWISE WORKED BUT NOT
MOUNTED OR SET
23066.39 31.7 77
2 71131930 JEWELLERY OF GOLD SET WITH DIAMOND 2295.00 3.275
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
1158.29 1.6 198
4 71023100 NON-INDUSTRIAL DIAMONDS UNWORKED/
SIMPLY SAWN CLEAVED OR BRUTED
1108.13 1.5 18
5 87112029 MOTR CYCLWTH CYLNDR CPCTY >75 BT<=250
CC
960.89 1.3 84
6 89059090 OTHER UNDER HDNG 8905824.61 1.1 6
7 87032391 MOTOR CAR WTH CYLNDR CPCTY>=1500CC
BUT <3000CC WTH SPRK-IGNTN
722.22 1.0 22
8 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
667.49 0.9 155
9 02023000 BONELESS MEAT OF BOVINE ANIMALS ,
FROZEN
622.31 0.9 52
10 71131910 JEWELLERY OF GOLD UNSET607.25 0.8 47
Manipur
1 90183990 OTHERS1.27 47.82
2 90189099 OTHR SRGCL INSTRMNTS AND APPLNCS (INCL
VTRNRY)
0.43 16.2 1
3 27101930 HIGH SPEED DIESEL (HSD)0.28 10.6 1
4 85078000 OTHER ACCUMULATORS0.15 5.71
5 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.11 4.01
6 27101219 OTHER0.10 3.71
7 17049020 BOILED SWEETS W/N FILLED0.05 1.91
8 25231000 CEMENT CLINKERS0.04 1.51
9 30049057 OTHER ANTITUBERCULAR DRUGS0.03 1.21
10 53031010 JUTE, RAW OR RETTED0.03 1.11
Meghalaya
1 25210010 LIMESTONE FLUX (L.D BELOW 1% SIO2) 28.26 52.5 1
2 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
11.92 22.1 2
3 25210090 LIMESTONE OTHR THN LIMESTONE FLUX 6.74 12.5 1
4 25232910 ORDINARY PORTLAND CEMENT, DRY1.94 3.62
5 25061010 QUARTZ, LUMPS1.44 2.71
6 72022100 FERRO-SILICON CONTNG>55% OF SILICON 0.76 1.48 Page 156
7 12119080 AGARWOOD (INCLDNG CHIPS AND DUST) 0.71 1.34
8 25231000 CEMENT CLINKERS0.67 1.32
9 71023910 DIAMOND (OTHR THN INDSTRL DIAMOND)
CUT OR OTHERWISE WORKED BUT NOT
MOUNTED OR SET
0.47 0.94
10 09101110 FRESH0.18 0.31
Mizoram
1 08051000 ORANGES FRESH OR DRIED0.38 26.8 1
2 09101110 FRESH0.26 18.5 1
3 71023910 DIAMOND (OTHR THN INDSTRL DIAMOND)
CUT OR OTHERWISE WORKED BUT NOT
MOUNTED OR SET
0.15 10.72
4 14011000 BAMBOOS0.12 8.71
5 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.11 8.11
6 84282011 CONVEYORS,BELT0.05 3.31
7 62079110 DRESSING GOWNS AND BATHROBES OF
COTTON
0.04 3.01
8 73079190 NON-GALVANISED0.04 2.81
9 25231000 CEMENT CLINKERS0.04 2.81
10 27101219 OTHER0.03 2.41
Nagaland
1 67030010 HUMAN HAIR DRESSED OR OTHERWISE
WORKED
1.67 60.0 1
2 02062900 OTHR EDIBLE OFFAL OF BOVINE ANIMALS,
FROZEN
0.18 6.52
3 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
0.14 5.02
4 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.10 3.61
5 84244900 OTHER0.09 3.11
6 85447010 LEAD ALLOY SHEATHD CBLS FR LGHTNG
PURPOSES
0.08 2.71
7 84137010 OTHERS CENTRIFUGAL PUMPS PRIMARILY
DESIGNED TO HANDLE WATER
0.07 2.41
8 63049281 CUSHION COVERS OF HANDLOOM0.06 2.06
9 27101930 HIGH SPEED DIESEL (HSD)0.05 1.61
10 25231000 CEMENT CLINKERS0.04 1.31
Odisha
1 76011010 ALUMINIUM INGOTS-NOT ALLOYED1233.87 19.6 25
2 72024100 FERRO-CHROMIUM CARBON CONTNG>4% BY
WT
670.64 10.6 36
3 28182010 ALUMINA CALCINED626.01 9.9 12
4 26011210 AGGLOMERATED IRON ORE PELLETS573.07 9.1 11
5 03061790 OTHER SHRIMPS AND PRAWNS392.75 6.2 34
6 76012020 ALUMINIUM BILLETS-ALLOYED256.99 4.1 27
7 72083930 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF A
THCKNS< 3 MM HOT-RLD, EXCL. PICKL
248.42 3.9 9
8 27101219 OTHER223.68 3.5 6
9 27101930 HIGH SPEED DIESEL (HSD)202.58 3.2 3
10 72083830 SHEETS OF FLAT-ROLD PRDCTS IN COILS OF
A THCKNS>=3 BUT< 4.75MM HOT-RLD, EXCL.
PICKL
123.88 2.0 9 Export Preparedness Index 2020 Pondicherry
1 29420012 IBUPROFANE43.96 11.2 48
2 30049082 OTHER ANTIEPILEPTIC DRUGS28.62 7.31
3 84128090 OTHERS22.89 5.84
4 73082011 T0WERS FOR TRANSMISSI0N LINE W/N
ASSEMBLED
22.41 5.717
5 85361040 HIGH RUPTURING CAPACITY FUSES19.12 4.928
6 30049033 CIMETIDINE, RANTIDINE, NIZATIDINE AND R
ROXATIDINE
16.70 4.39
7 30049063 IBUPROFEN WITH OR WITHOUT
PARACETAMOL OR OTHER COMPOUNDS
13.04 3.314
8 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
10.59 2.736
9 29420090 OTHER DILOXANIDE FUROATE, CIMETIDINE,
FAMOTIDINE NES
10.42 2.719
10 87089400 STERNG WHEELS, STERNG COLUMNS AND
STERNG BOXS
10.16 2.68
Punjab
1 10063020 BASMATI RICE912.95 15.1 91
2 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
221.35 3.7 27
3 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
215.52 3.6 135
4 52052310 GREY196.67 3.3 55
5 63026090 TOILET LINEN AND KITCHEN LINEN, OF TERRY
TOWELLING OR SIMILAR TERRY FABRICS, OF
COTTON, OTHER THAN HANDLOOM
186.50 3.1 75
6 52052410 GREY2401172.66 2.9 35
7 73084000 PROPS AND SMLR EQUIPMENT FOR
SCAFFOLDING, SHUTTERING OR PIT-PROPPING
139.42 2.3 74
8 82041110 HND-OPRTED SPANERS NON ADJUSTABLE 111.70 1.8115
9 29419090 OTHER ANTIBIOTICS97.25 1.667
10 87019300 OTHER TRACTORS, OF AN ENGINE
POWEREXCEEDING 37 KW BUT NOT
EXCEEDING 75 KW
93.67 1.690
Rajasthan
1 94036000 OTHER WOODEN FURNITURE441.05 6.2 111
2 79011100 ZINC, NOT ALLOYD, CONTNG BY WT>=99.99%
ZINC
319.22 4.5 28
3 13023230 GUARGUM TREATED AND PULVERISED270.44 3.8 63
4 71039100 OTHERWISE WRKD RUBIES SAPPHIRES AND
EMERALS
217.21 3.1 61
5 40117000 OF A KIND USED ON AGRICULTURAL OR
FORESTRY VEHICLES AND MACHINES
178.97 2.5 82
6 71131120 SILVER JEWELLERY SET WITH GEMS159.62 2.3 99
7 71039990 OTHER STONE CUT (TOPAZ AQUAMARINE ETC) 143.16 2.076
8 25162000 SANDSTONE136.15 1.9 70
9 68022390 OTHERS129.76 1.8 119
10 55095100 OTHR YARN OF POLYSTR STPL FIBRS MIXED
MAINLY/SOLELY WITH ARTIFICIAL STAPLE
FIBRS
108.29 1.5 45 Page 158
Sikkim
1 19022010 COOKED STUFFED PASTA1.49 18.7 1
2 90278090 OTHERS0.83 10.422
3 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
0.59 7.417
4 21069091 OTHER DIABETIC FOODS0.54 6.89
5 30045036 VITAMIN D IN TABLETS, CAPSULES, SYRUP ET 0.44 5.61
6 25231000 CEMENT CLINKERS0.39 4.91
7 27101930 HIGH SPEED DIESEL (HSD)0.34 4.31
8 33049990 OTHERS0.26 3.36
9 30042096 VANCOMYCIN0.23 2.92
10 30049039 OTHER ANTINISTANINICS, ANTACIDS,
ANTIULCER, ANTIEMITICS AND OTHER
GASTOINTESTINAL DRUGS
0.22 2.81
Tamil Nadu
1 87032391 MOTOR CAR WTH CYLNDR CPCTY>=1500CC
BUT <3000CC WTH SPRK-IGNTN
1186.90 3.9 93
2 87032291 MOTOR CAR WTH CYLNDR CPCTY>=1000CC
BUT < 1500CC WTH SPRK-IGNTN
1148.73 3.8 96
3 61091000 T-SHIRTS ETC OF COTTON1087.36 3.6 161
4 87089900 OTR PRTSANDACCSSRS OF VHCLS OF HDG
8701-8705
939.20 3.1 138
5 87032191 MOTOR CAR WTH CYLNDR CPCTY<=1000
WTH SPRK-IGNTN
657.16 2.2 53
6 87041010 DUMPERS DESIGNED FR OFF-HIGHWAY USE
WTH NET WT >8 TONS AND MAXM PAY-LOAD
>=10 TONS
460.98 1.5 24
7 61112000 BABIES GARMENTS ETC OF COTTON447.57 1.5 105
8 85176290 OTHER384.22 1.3 58
9 71131910 JEWELLERY OF GOLD UNSET365.58 1.2 13
10 27101219 OTHER347.39 1.1 4
Telangana
1 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
849.72 11.9 168
2 29339900 OTHER HETERDCYCLIC CMPNDS WITH
NITROGEN HETRO ATOM (S) ONLY
292.02 4.1 99
3 25161100 GRANITE CRUDE OR ROUGHLY TRIMMED 157.77 2.226
4 02023000 BONELESS MEAT OF BOVINE ANIMALS,
FROZEN
136.52 1.9 29
5 29349900 OTHER HETEROCYCLIC COMPOUNDS131.57 1.8 87
6 29333990 OTHER CMPNDS CNTNG AN UNFUSED PYRDN
RING (W/N HYDRGNTD) IN STRUCTURE
123.76 1.7 90
7 29419090 OTHER ANTIBIOTICS122.04 1.7 70
8 30049034 OMEPRAZOLE AND LANSOPRAZOLE110.02 1.5 42
9 29335990 OTHER CMPNDS CNTNG A PYRIMIDINE RING
(W/N HYDRGNTD) OR PIPERAZINE RING IN
STRUCTURE
100.97 1.4 74
10 71131940 JEWELLERY OF GOLD SET WITH PRECIOUS
AND SEMI PRECIOUS STONES OTHER THAN
DIAMONDS
87.62 1.210
Tripura 1 07031010 ONIONS FRESH OR CHILLED0.40 23.2 1
2 03055990 OTHER DRIED N.E.S.NT SMKD0.20 11.9 1 Export Preparedness Index 2020 3 27011990 OTHER COAL W/N PULVRSD BUT
NTAGLDMRTD
0.15 8.71
4 27101930 HIGH SPEED DIESEL (HSD)0.12 6.91
5 25231000 CEMENT CLINKERS0.11 6.41
6 84119900 PARTS OF OTHER GAS TURBINES0.08 4.81
7 61083100 NIGHTDRESSES AND PYJAMAS OF COTTON 0.06 3.53
8 61044200 DRESSES OF COTTON0.05 2.71
9 61091000 T-SHIRTS ETC OF COTTON0.05 2.73
10 10063090 RICE EXCPTG PARBOILED (EXCL BASMATI RICE) 0.04 2.51
Uttar Pradesh
1 02023000 BONELESS MEAT OF BOVINE ANIMALS, FROZE 2012.51 12.4 49
2 85171290 OTHER1117.53 6.9 29
3 71131910 JEWELLERY OF GOLD UNSET424.06 2.6 15
4 73269099 ALL OTHER ARTICLES OF IRON/STEEL NES
OTHER STEERING OR RUDDER EQUIPMENT
FOR SHIPS AND BOATS, N.E.S.
336.58 2.1 132
5 76011010 ALUMINIUM INGOTS-NOT ALLOYED306.95 1.9 14
6 29061100 MENTHOL287.86 1.8 48
7 64039190 LTHR FTWEAR OF OTHR SOLE245.08 1.5 81
8 62114300 OTHER GARMENTS OF MAN-MADE FIBRES 207.60 1.391
9 76169990 OTHERS ARTICLES OF ALUMINIUM N.E.S. 201.67 1.2116
10 27101930 HIGH SPEED DIESEL (HSD)200.69 1.2 1
Uttaranchal
1 71189000 OTHER COIN504.15 21.4 5
2 89069000 OTHER UNDER HDNG 8906355.76 15.1 2
3 79011100 ZINC, NOT ALLOYD, CONTNG BY WT>=99.99%
ZINC
241.38 10.3 25
4 78011000 REFINED LEAD91.82 3.97
5 30049099 OTHER MEDCNE PUT UP FOR RETAIL SALE
N.E.S
85.36 3.6128
6 71131910 JEWELLERY OF GOLD UNSET70.41 3.03
7 29053100 ETHYLENE GLYCOL (ETHANEDIOL)62.91 2.713
8 87089200 SILENCERS AND EXHAUST PIPES55.36 2.423
9 87042190 OTHER GOODS VHCLS, WTH CMPRSN IGNTN
INTRNL CMBSTN PSTN ENGNWTH G.V.W. <= 5
TON
39.79 1.713
10 39206220 PLTES SHTS ETC OF PLYETHYLN
TEREPHTHALTE FLEXIBLE, PLAIN
36.39 1.547
West Bengal
1 71131910 JEWELLERY OF GOLD UNSET749.07 7.4 12
2 72071920 MILD STEEL (M.S.) BILLETS507.53 5.0 9
3 03061790 OTHER SHRIMPS AND PRAWNS491.73 4.9 40
4 85451100 ELECTRODES OF A KIND USED FOR FURNACES 375.16 3.729
5 39076100 POLY(ETHYLENE TEREPHTHALATE): HAVING A
VISCOSITY NUMBER OF 78 ML/G OR HIGHER
305.00 3.0 56
6 27101930 HIGH SPEED DIESEL (HSD)211.18 2.1 3
7 42023120 WALLETS AND PURSES OF LEATHER206.00 2.0 87
8 42032910 GLOVES FOR USE IN INDUSTRY194.88 1.9 102
9 72023000 FERRO-SILICO-MANGANESE191.52 1.9 63
10 27101920 AVIATION TURBINE FUEL (ATF)172.67 1.7 24 The Institute for Competitiveness
U24/8, U-24 Road, U Block, DLF Phase 3, Sector 24, Gurugram, Haryana 122022
info@competitiveness.in | www.competitiveness.in
Institute for Competitiveness, India is the Indian knot in the global network of the Institute for Strategy
and Competitiveness at Harvard Business School. Institute for Competitiveness, India is an international
initiative centered in India, dedicated to enlarging and purposeful disseminating of the body of research and
knowledge on competition and strategy, as pioneered over the last 25 years by Professor Michael Porter of
the Institute for Strategy and Competitiveness at Harvard Business School. Institute for Competitiveness, India
conducts & supports indigenous research; offers academic & executive courses; provides advisory services to
the Corporate & the Governments and organises events. The institute studies competition and its implications
for company strategy; the competitiveness of nations, regions & cities and thus generate guidelines for
businesses and those in governance; and suggests & provides solutions for socio-economic problems. Sansad Marg, New Delhi, India
www.niti.gov.in