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EXPORT PREPAREDNESS
INDEX 2024
Economics and Finance - II Division Export Preparedness Index 2024
Copyright@ NITI Aayog, 2026
Published: January 2026
NITI Aayog
Government of India
Sansad Marg, New Delhi-110001, India Export
Preparedness
Index 2024 Export Preparedness Index 2024 iv
Preface
Exports are a key driver of economic growth and play a significant role in helping countries
strengthen their position in Global Value Chains (GVCs), earn foreign exchange, and increase
global competitiveness. For India – the fastest growing major economy in the world – exports
are crucial for improving economic resilience, reducing trade deficits, and promoting inclusive
growth. As global trade continues to evolve, it is essential for India to enhance its export
performance by supporting state governments and helping local businesses adopt a global
perspective.
This report provides a clear and structured framework to assess how well the States and Union
Territories in India are prepared to drive and enhance their exports. The Export Preparedness
Index (EPI) 2024 uses a consistent, data-driven approach to evaluate multiple factors, including
export policies, business environment, quality of infrastructure, and export outcomes. Data is
collected from both state and central government sources, and each indicator is assigned a
weight based on its importance. This ensures a fair and balanced comparison across all regions.
By ranking states on their level of export preparedness, the report highlights their strengths
and identifies specific areas where improvement is needed. In addition to scores and rankings,
the report offers detailed insights into the export landscape of each state and provides practical
recommendations tailored to their unique context. These recommendations aim to help states
build on their strengths, address existing gaps, and contribute meaningfully to India’s broader
export ambitions.
Importantly, the EPI 2024 aligns with the national development vision of Viksit Bharat
@2047, where a globally competitive and export-oriented economy is a cornerstone for India’s
transformation into a developed nation. Strengthening the export ecosystem across states and
enhancing India’s position in global trade are essential to achieving this goal. By empowering
subnational entities and promoting a unified trade agenda, the report supports a bottom-up
approach to realize the aspirations of Viksit Bharat.
The overall objective is to support policymakers, businesses, and other stakeholders in building
a strong, inclusive, and future-ready export ecosystem across the country. We thank Mr. Sanjeet
Singh, Senior Adviser at NITI Aayog, and his team for their guidance and support in this effort.
We are also grateful to the state governments, central ministries, and government agencies
whose active co-operation made this report possible. Their inputs were critical in ensuring that
the Export Preparedness Index (EPI) 2024 presents a comprehensive and inclusive view of
India’s export potential.
This report would enable continued collaboration and coordinated action to make India a
leading force in global trade and a key pillar in realizing the vision of Viksit Bharat @2047. Export Preparedness Index 2024 v
India’s export landscape is entering a defining era shaped by shifts in global trade, technology,
and supply chains. As the world undergoes rapid transformation, driven by geopolitical
realignments, the rise of green and digital industries and supply chain diversification, India
has an unprecedented opportunity to strengthen its global economic position. Moving from
a predominantly low-value participant in global value chains to a major contributor in high-
value, innovation-led segments is essential for realizing the national vision of Viksit Bharat
@2047.
In this context, India’s export performance reflects not just resilience but a clear shift toward high-
value manufacturing, green technologies, advanced materials, and digital services – domains
reshaping the nation’s integration into global value chains and strengthening its position as an
innovation-driven economy. The need for diversified, innovation-led, and sustainable export
capabilities at the subnational level is therefore essential to bolstering economic resilience,
improving employment outcomes, and deepening India’s global value chain participation,
especially as the country advances toward $1 trillion in merchandise exports by 2030, a key
milestone on the path to Viksit Bharat 2047.
Against this backdrop, the Export Preparedness Index (EPI) 2024, developed by NITI Aayog,
stands out as a critical enabler. By promoting districts as export hubs and unlocking regional
competitiveness, the EPI highlights India’s diversity as a unique advantage in shaping a more
robust export ecosystem. Its comprehensive framework offers states a nuanced understanding
of their strengths and improvement areas, equipping them with actionable insights for targeted
interventions. Importantly, as each edition follows its own methodology, comparisons across
years should be viewed within the context of evolving factors and priorities.
The successful publication of the EPI 2024 reflects the collective commitment of NITI Aayog,
central ministries, the State / UT government and our knowledge partner, Deloitte. Building on
the foundations of earlier editions, this report further provides a strategic roadmap for states
to elevate their export readiness, thereby advancing India’s aspiration of becoming a global
export powerhouse.
I extend congratulations to the entire team for the release of EPI 2024, an initiative that
continues to strengthen India’s export preparedness, foster competitiveness, and harness the
nation’s diversity for an export-led growth trajectory.
Suman K Bery
Vice Chairman
NITI Aayog Export Preparedness Index 2024 vi Export Preparedness Index 2024 vii
Harnessing the power of competitive cooperative governance has become increasingly important
as India positions itself more firmly within global value chains. With states playing a central
role in shaping the country’s export momentum, their ability to channel regional strengths,
diversify capabilities, and nurture an enabling environment will be essential to sustaining long-
term growth.
The Export Preparedness Index (EPI) 2024 has been developed as a strategic tool to support
this evolving landscape. By offering a clear and structured framework to assess export
preparedness, the index helps states understand where they stand, how they compare, and
where meaningful opportunities for progress lie. It encourages outcome-driven governance
by promoting transparency, benchmarking performance, and enabling states to learn from one
another.
As India expands its network of Free Trade and Economic Partnership Agreements, the
importance of strong domestic foundations only grows. For states, this means fostering
ecosystems that can respond to new opportunities, align with global standards, and build
competitiveness across districts. In recent years, several states have already begun strengthening
their export vision through dedicated policies, institutions, and infrastructure—indicating a
clear shift toward a more proactive and structured approach.
The EPI serves as a guide in this journey by highlighting broad patterns, identifying areas of
strength, and pointing to where strategic attention is required. It equips stakeholders with an
overarching view of the factors that shape export readiness, helping them plan more effectively
and prioritize long-term capability building. Beyond measuring performance, the index acts as
a platform for meaningful dialogue and collaboration between the states and the center.
India’s future export trajectory will depend on the collective efforts of all states and Union
Territories. By encouraging a spirit of shared learning and purposeful competition, EPI aims to
support a governance model that is not only cooperative but also transformative. This edition
seeks to reinforce that vision, empowering states to chart their growth pathways, contribute to
national goals, and strengthen India’s role in global trade.
B.V.R. Subrahmanyam
Chief Executive Officer
NITI Aayog Export Preparedness Index 2024 viii
Over the past three years, India’s export landscape has evolved amid significant global volatility.
The world economy has been reshaped by the lingering effects of the pandemic, the Russia-
Ukraine conflict, persistent inflation, and shifting supply chains. Despite these challenges,
India’s external sector has shown notable resilience. Merchandise exports crossed the USD
450 billion mark in FY 2022-23, services continued to expand, and districts across the country
adapted with agility. This performance reflects both the dynamism of Indian exporters and the
efforts of states and Union Territories in strengthening their trade ecosystems.
The Export Preparedness Index (EPI) 2024, now in its fourth edition, sharpens its focus on the
sub-national drivers of export performance. Beyond benchmarking, it encourages states and
UTs to reassess their strengths and weaknesses and to identify clear opportunities for growth.
It offers deeper insights into the factors that shape competitiveness on the ground, including
logistics, institutional capacity, cluster development, digital readiness, and the overall policy
environment.
A significant advancement in this edition is its emphasis on districts as the core units of export
competitiveness. By mapping capabilities, emerging specializations, infrastructure gaps, and
constraints faced by enterprises, this index enables states to design strategies rooted in district
realities. This translates broad export goals into practical action through stronger district export
promotion committees, improved logistics, focused skilling, and better support for MSME
clusters. The report also encourages states to diversify beyond traditional export baskets and
develop higher-value sectors such as electronics, pharmaceuticals, processed foods, services,
and green technologies. This edition highlights several examples of effective practices,
from digital trade facilitation to coordinated state–district initiatives and successful cluster
development. These offer practical models that other states can adapt.
As global trade moves toward more sustainable and technology-driven paradigms, EPI 2024
provides states with a clear pathway to align with emerging opportunities. I am confident it will
serve not only as a diagnostic tool but as a practical guide, helping states and Union Territories
convert preparedness into measurable performance through focused planning, grounded
execution, and stronger district-led growth.
I extend my sincere appreciation to the Vice Chairman of NITI Aayog, Shri Suman Bery,
the CEO, Shri B.V.R. Subrahmanyam and Member, Dr. Arvind Virmani, for their unwavering
guidance and support in shaping this report. My gratitude also goes to the dedicated team at
NITI Aayog and Deloitte, the knowledge partner whose expertise and commitment have been
instrumental in bringing the EPI 2024 to fruition.
Sanjeet Singh
Senior Adviser
NITI Aayog Export Preparedness Index 2024 ix
We are pleased to present the Export Preparedness Index (EPI) 2024, a comprehensive
assessment of India’s export ecosystem that provides deep insights into the emerging trends,
structural challenges, and opportunities shaping the nation’s global trade trajectory.
At this crucial juncture, The Government of India’s vision of Viksit Bharat 2047 sets a
clear goal for the nation - to become a developed economy within the next two decades.
Achieving this vision will require every state, union territory (UT), and district to strengthen
its competitiveness, build on local capabilities, and expand its reach into international markets.
Exports will therefore be a central pillar in this transformation journey. The journey is not
just about GDP growth, but also about creating jobs, accelerating innovation, and connecting
Indian industries to global value chains.
It is in this context that the EPI 2024 assumes particular significance. By benchmarking export
preparedness across the States and UTs, the index empowers policymakers and industry leaders
with actionable insights to accelerate reforms, unlock new sources of growth, and ensure that
India’s export momentum is broad-based and inclusive.
Traditionally, India’s export performance has been concentrated in select sectors and geographies,
leaving substantial capacity in others underutilized. Today, however, the confluence of rising
global demand, evolving trade agreements, and a renewed policy focus on competitiveness and
self-reliance is prompting states to recalibrate their strategies. With these in perspective, the
EPI 2024 underscores the importance of district-level competitiveness, sectoral differentiation,
and targeted policy interventions in unlocking this latent potential and advancing a more
balanced, inclusive growth nationwide. These would serve as the building blocks for an export-
led transformation that aligns directly with the ambition of a Viksit Bharat@2047.
The EPI 2024 highlights emerging opportunities across high-growth sectors, value-added
manufacturing, and services exports, while also drawing attention to persistent structural
constraints, including infrastructure bottlenecks, regulatory complexity, and skill development
needs. By combining insights from state governments, industry stakeholders, and international
best practices, the EPI provides a strategic roadmap for enhancing export ecosystems, fostering
innovation, and positioning states for sustainable global competitiveness.
Looking ahead, India’s export landscape is on the threshold of profound transformation. States
that embrace innovation, deploy data-driven strategies, and prioritize district-level initiatives
will be best positioned to capture new opportunities and strengthen their global presence. The
EPI 2024 is designed not only as a diagnostic framework but also as a forward-looking guide,
helping stakeholders anticipate shifts, implement strategic interventions, and reinforce India’s
standing as a resilient and competitive leader in global trade.
Romal Shetty
Chief Executive Officer
Deloitte South Asia Export Preparedness Index 2024 x
Table of Contents
Preface��iv
Table of Figures��xii
Executive Summary��xiv
1. Introduction to Export Preparedness Index (EPI) 2024��1
1.1 Our Approach for Export Preparedness Index (EPI) 2024��1
1.2 Framework for Evaluation of States��2
1.3 Key Enhancements in Export Preparedness Index (EPI) 2024��8
2. Global Economic Landscape��11
2.1 Macroeconomic Scenario ��11
2.2 Global Trade – Growth and Trends ��12
3. India Exports – Trends��21
3.1 Viksit Bharat @2047 – Focus on Trade��21
3.2 Merchandise Exports ��22
3.3 States and UTs – Export Trends��28
3.4 Services Exports��32
3.5 India’s Trade Partnerships��33
4. Export Preparedness Index (EPI) 2024 - Evaluation and Outcomes��35
4.1 Large States – Ranking and Classification��36
4.2 Small States, NE & UTs – Ranking and Classification��37
5. State Profiles��39
5.1 Large States��39
5.1.1 Andhra Pradesh��41
5.1.2 Bihar��49
5.1.3 Chhattisgarh ��57
5.1.4 Gujarat��65
5.1.5 Haryana��73
5.1.6 Jharkhand��81
5.1.7 Karnataka��91
5.1.8 Kerala��101
5.1.9 Madhya Pradesh��111
5.1.10 Maharashtra��121
5.1.11 Odisha��131
5.1.12 Punjab��139
5.1.13 Rajasthan��147
5.1.14 Tamil Nadu��157
5.1.15 Telangana��165
5.1.16 Uttar Pradesh��173
5.1.17 West Bengal��181 Export Preparedness Index 2024 xi
5.2 Small States, NE & UTs��189
5.2.1 Andaman & Nicobar Islands��189
5.2.2 Arunachal Pradesh��197
5.2.3 Assam��205
5.2.4 Chandigarh��215
5.2.5 Dadra & Nagar Haveli and Daman & Diu��223
5.2.6 Delhi��231
5.2.7 Goa��239
5.2.8 Himachal Pradesh��247
5.2.9 Jammu and Kashmir��255
5.2.10 Ladakh��263
5.2.11 Lakshadweep��271
5.2.12 Manipur��279
5.2.13 Meghalaya��287
5.2.14 Mizoram��295
5.2.15 Nagaland��303
5.2.16 Puducherry��311
5.2.17 Sikkim��319
5.2.18 Tripura��327
5.2.19 Uttarakhand��335
Authors and Research Team��344 Export Preparedness Index 2024 xii
Table of Figures
Figure 1: EPI Evaluation Framework - Pillars & Sub-Pillars.................................................2
Figure 2: EPI 2024 Framework – Pillars and Parameters.......................................................3
Figure 3: Export Infrastructure – Parameters and Weightages...............................................4
Figure 4: Business Ecosystem – Parameters and Weightages................................................5
Figure 5: Policy and Governance – Parameters and Weightages............................................6
Figure 6: Export Performance – Parameters and Weightages.................................................7
Figure 7: Enhanced categorization of states and union territories..........................................9
Figure 8: Comparison of Annual GDP Growth Rate 2022-24................................................11
Figure 9: Global Inflation Rate Trends 2022-24 Source: IMF Datamapper...........................12
Figure 10: Shifts in Trade Patterns Within and Between Geographical Blocs.......................13
Figure 11: Year on Year growth rate of exports......................................................................13
Figure 12: Regional trade landscape.......................................................................................14
Figure 13: Year-on-Year change in merchandise trade growth by product category..............15
Figure 14: Trade flows in real terms, January 2018–July 2024 (Average 2021=100)............16
Figure 15: Quarterly World Trade of Merchandise and Services 2015 - 24...........................17
Figure 16: Sector-Wise Services Exports Trade Growth Comparison....................................17
Figure 17 : India’s Total Merchandise and Services Export Value (INR Lakh Crore)...........21
Figure 18: Viksit Bharat - Vision for India’s share of global exports ....................................21
Figure 19: India’s Merchandise Export Value (INR Lakh Crore)...........................................22
Figure 20: Engineering Goods Exports...................................................................................23
Figure 21: Leading Destinations for Engineering Goods from India in FY24.......................24
Figure 22: Electronics Goods Exports....................................................................................25
Figure 23: Leading Destinations for Electronics Goods from India in FY24.........................25
Figure 24 : Chemical and Allied Products Exports ................................................................26
Figure 25 : Leading Destinations for Chemicals and Allied Products from India in FY24....26
Figure 26 : YoY Comparison of Agricultural Goods Export Value (INR lakh crore).............27
Figure 27: Share of Top 10 Export Destinations in Agricultural
Goods Exports from India in FY24)......................................................................28 Export Preparedness Index 2024 xiii
Figure 28 : Share of States in India’s Merchandise Exports...................................................28
Figure 29 : Institutional mechanism to promote exports at district level...............................30
Figure 30 : Distribution of Exports at District Level..............................................................31
Figure 31 : Top 10 Districts – Merchandise Esports of India (All commodities)...................31
Figure 32 : India’s Services Export.........................................................................................32
Figure 33 : Major Trade Partnerships and Initiativesss..........................................................33
Figure 34 : Export Preparedness Index 2024 Results.............................................................36
Figure 35 : Scores for Large States.........................................................................................36
Figure 36 : Scores for Small States, NE & UTs ..................................................................... 37 Export Preparedness Index 2024 xiv
Executive Summary
India’s export landscape is defined by the diverse economic strengths and trade potential of
its States and Union Territories (UTs). Recognizing this diversity, the Export Preparedness
Index (EPI) 2024 focuses on a comprehensive assessment of export ecosystems to identify key
challenges, growth levers, and opportunities at state level.
Aligned with India’s ambition of achieving $1 trillion in merchandise exports by 2030 and
the vision of “Viksit Bharat @2047,” the EPI 2024 evaluates the readiness of States and UTs
to contribute to the nation’s global trade aspirations. The Index underscores the importance of
policy coherence and collaboration between the centre and states in building a competitive,
resilient, and inclusive trade environment.
The EPI 2024 framework for evaluation of states has been structured with four core pillars -
Export Infrastructure, Business Ecosystem, Policy & Governance, and Export Performance
– that were further divided into 13 sub-pillars and 70 parameters (50 vital and 20 desirable).
Significant enhancements have been made on the EPI 2024 framework vis-à-vis earlier
framework (EPI 2022) with inclusion of new dimensions such as Macroeconomy, Cost
Competitiveness, Human Capital, Financial Access, and MSME Ecosystem and refinement of
existing indicators to enhance precision and relevance.
The evolving global context characterized by heightened volatility, geopolitical tensions,
inflationary pressures and supply chain disruptions requires India to work on a resilient and
diversified export strategy. With exports as a key driver of growth, the EPI 2024 evaluates
export competitiveness at state and district level which is critical for India, l to strengthen
economic resilience, reduce trade imbalances, and drive inclusive development.
For the EPI 2024, the states are divided into two categories - Large States and Small States,
NE & UTs. Subsequently, the states are classified into Leaders, Challengers, and Aspirers
(LCA) within their categories based on the evaluation on the framework, offering insights into
comparative performance and areas requiring policy attention.
In addition, each state has been profiled in detail enabled by the data analysis and insights from
the discussions with the state government agencies. Individual state profiles highlight strengths
and gaps across core dimensions. The state profile concludes with targeted recommendations
that include improving infrastructure maturity, reducing industrial costs, advancing digital
adoption, streamlining regulatory processes for SMEs, and expanding market linkages to
enhance export performance.
The EPI 2024, together with these insights reaffirm that state-level excellence and coordinated
policy action are central to realizing India’s vision of becoming a globally competitive, self-
reliant, and inclusive economic powerhouse by 2047. Export Preparedness Index 2024 xv Introduction to Export
Preparedness Index
(EPI) 2024
1 Export Preparedness Index 2024 1
India’s export performance is not a single, uniform story. It is the sum of the stories. Of the
States and Union Territories (UT) that vary widely in industrial structure, infrastructure, skills,
institutional capacity and access to markets. These variations between the states shape that
which sectors can scale quickly, which districts become export hubs, and where bottlenecks
persist. For policymakers charged with accelerating trade, this spatial diversity is both a
challenge and an opportunity as targeted, evidence-based actions at the state and district level
can deliver higher returns than one-size-fits-all measures.
The Export Preparedness Index (EPI) 2024 is designed to translate that diversity into practical
policy guidance. The EPI 2024 examines the enablers and constraints that determine whether
exporters, from micro-enterprises to large manufacturers can compete internationally. It
highlights where interventions will be most effective: improving last-mile logistics, simplifying
regulatory processes, strengthening skills and market linkages, or investing in trade-support
institutions.
For policymakers, the EPI 2024 serves three immediate purposes. First, it prioritizes action
by identifying the high-impact gaps where interventions will unlock high export potential.
Second, it supports resource allocation by showing which districts offer the strongest returns on
investments in infrastructure, capacity building, or institutional reform. Third, it promotes peer
learning and adaption of successful models, policy reforms and best practices between states.
Sustained export growth requires coordinated public-private action thus central ministries, state
governments, industry associations, logistics providers, skill-development bodies and financial
institutions must operate in an integrated manner. In this context, the government should
prioritise ease of doing export business for MSMEs and cluster enterprises, incentivise private
investment in logistics and utility infrastructure, and support market-linkages and buyer-seller
platforms through policy interventions. State nodal agencies and industry bodies have a crucial
role in tailoring those interventions to local strengths and ensuring that national schemes are
deployed with local ownership.
Monitoring, accountability and evidence-based target setting are central to sustained progress.
The EPI 2024 promotes use of comparable, actionable metrics at state and district levels so
policymakers can set clear targets, measure outcomes, and adjust course through periodic
reviews. Performance dashboards, quarterly reviews chaired by senior state officials, and inter-
state learning forums will help institutionalise accountability and peer benchmarking. Building
on these accountability mechanisms, the next step is to operationalize monitoring through a
clear set of KPIs. The subsequent section of this report dwells deeper into a structured approach
to arrive at the metrics needed for evaluation of States.
1.1 Our Approach for Export Preparedness Index (EPI) 2024
Each stage of the export process was examined in depth, mapping complex interactions,
dependencies, and value drivers to develop a structured framework that reflects both current
performance and future potential. The framework spans pillars, sub-pillars, and parameters
that capture the most critical dimensions of export readiness and competitiveness. Balanced
Introduction to Export Preparedness Index (EPI) 20241 Export Preparedness Index 2024 2
weightages were assigned to each parameter based on its relative impact in enabling exports
at the state level. This holistic approach supports stronger strategic decision-making, a clearer
policy roadmap, and measurable improvements in states’ export performance.
Figure 1: EPI Evaluation Framework - Pillars & Sub-Pillars
1.2 Framework for Evaluation of States
The critical areas of impact emerged from the export process analysis translated into four core
pillars for EPI 2024 framework. They are as below:
(i) Export infrastructure: Robust infrastructure including ports, transportation
and warehousing and, availability of utilities (power, water, communication etc.)
Underpins a state’s export preparedness by enabling trade at optimal costs.
(ii) Business ecosystem: A thriving business ecosystem forms the foundation of
export success, offering the necessary support for businesses to grow and compete
internationally. This pillar assesses the availability of skilled labor, access to capital,
and the overall ease of doing business.
(iii) Policy and governance: A conducing policy environment and delivery mechanism
at state level drives exports by enabling trade facilitation, collaboration and market
access. Proactive governance reduces barriers, fosters innovation, and aligns with
India’s export priorities.
(iv) Export performance: Export performance reflects a state’s success during FY2022-
FY2024 in terms of export value, growth trends, diversification and resilience.
These pillars were further broken down into 13 sub-pillars and a comprehensive list of 70
parameters categorized into vital and desirable:
(i) Vital Parameters (50) - These are foundational metrics that carry weightages in the
state’s final score and are essential for evaluating the core performance and operational
effectiveness of a state. These 50 parameters ensure that all critical touchpoints are
addressed, enabling precise assessment and informed decision making. Export Preparedness Index 2024 3
(ii) Desirable parameters (20) - Desirable parameters represent value-added metrics
that showcase Success Stories and aspirational achievements by any state. These 20
parameters highlight opportunities for growth and differentiation, complementing
the vital parameters for a well-rounded framework.
Pillars Weightage Sub-Pillars Weightage
No. Of
Indicators
(Vitals)
No. Of
Indicators
(Desirable)
Total
Indicators
Export
infrastructure
20%
Utilities 10% 4 1 5
Logistics10% 6 0 6
Business
ecosystem
40%
Macroeconomy 10% 3 1 4
Cost competitiveness 5% 3 0 3
Human capital 5% 4 4 8
Finance and credit
accessibility
5% 2 0 2
MSME ecosystem 10% 3 1 4
Industrial and innovation
environment
5% 2 4 6
Policy and
governance
20%
State level policy support
and governance
15% 5 2 7
Regulatory environment and
compliance
5% 3 1 4
Export
performance
20%
State level exports and
trends
5% 4 1 5
Export promotion and
facilitation
5% 5 3 8
Export portfolio and market
access
10% 6 2 8
Figure 2: EPI 2024 Framework – Pillars and Parameters
Each of the four pillars along with the sub-pillars and parameters were detailed in terms of
scope, rationale and sources of information within the EPI 2024 framework.
The four major pillars of the study are as below:
Pillar 1: Export infrastructure
Export infrastructure pillar serves as the backbone of a state’s export readiness, ensuring
availability of key inputs for manufacturing and enabling the seamless movement of products
to international markets. The pillar covers supply of power and water, ports, logistics network
and last-mile connectivity that ensure timely delivery and reduced trade costs. By fostering
a reliable and efficient infrastructure network, states can significantly enhance their export
competitiveness and create an environment conducive to sustainable economic growth. Export Preparedness Index 2024 4
S.
No.
Sub-Pillars
Sub-Pillars
Weightage
Parameter
Parameter
Weightage
Source
1.1 Utilities
Vital - 10%
State-wise installed capacity of
power incl. Captive power plants
2.5%
Central Electrical
Authority and State
Governments
Power availability2.5%
Central Electrical
Authority
Energy penetration - renewable vs
non-renewable source of energy
2.5% NITI Aayog
State wise ground water availability2.5% Ministry of Jal Shakti
Desirable Internet penetration within the states0.0%
1.2 Logistics Vital - 10%
Total area of operational FTWZs
within the state
1.5%
Ministry of Commerce
and Industry - Press
information Bureau
Road - density and distribution2.5%
Ministry of Road
Transport & Highways
LEADS index2.5% Invest India
Total number of operational ICDs +
CFSs + AFSs within the state
1.5% State governments
Number of active air cargo terminals
operating within the state
0.5% State governments
Cold storage warehouse capacity1.5% State governments
Figure 3: Export Infrastructure – Parameters and Weightages
Pillar 2: Business Ecosystem
A thriving business ecosystem forms the foundation of export success, offering the necessary
support for businesses to grow and compete internationally. This pillar assesses the availability
of skilled labor, access to capital, and the overall ease of doing business. It also evaluates the
presence of industrial clusters, special economic zones (SEZs), and innovation hubs that enable
businesses to scale efficiently. By fostering entrepreneurship, enhancing market linkages, and
encouraging private-sector participation, states can strengthen their business ecosystems. This
pillar emphasizes the need for creating a collaborative environment where businesses can thrive
and contribute to the state’s export potential.
S.
No.
Sub-Pillars
Sub-Pillars
Weightage
Parameter
Parameter
Weightage
Source
2.1 Macroeconomy
Vital - 10%
GSDP value per capita 4.0%
Ministry of Statistics and
Programme Implementation
(MOSPI)
Contribution of
manufacturing to GSDP
4.0% State governments
State-wise gross fiscal
deficit
2.0%
Reserve Bank of India
(RBI)
Desirable FDI inflow as a % of GSDP0.0%
Department for Promotion
of Industry and Internal
Trade (DPIIT) Export Preparedness Index 2024 5
2.2
Cost
competitiveness
Vital - 5%
Average wage rates 2.0% State governments
Industrial power cost 1.5%
State governments (Latest
tariff orders)
Industrial water cost 1.5%
State governments (Latest
tariff orders)
2.3 Human capital
Vital - 5%
Workforce availability 2.0% State governments
Contribution of women in
the workforce (%)
1.5% State governments
Number of STEM
graduates
1.0%
Department of Higher
Education
Youth unemployment 1.0%
Ministry of Skill
Development and
Entrepreneurship
Desirable
Training centres covered
under Skill India Mission
(PMKK, JSS, PM YUVA,
SANKALP)
0.0%
Ministry of Skill
Development and
Entrepreneurship
Number of government
and private universities in
the state
0.0%
University Grants
Commission
Labor productivity 0.0% State governments
Expenditure towards
research grants
0.0% State governments
2.4
Financial and
credit accessibility
Vital - 5%
Export credit insurance1.5% State governments
State-level export financing
schemes
1.5% State governments
Credit-Deposit (CD) ratio2.0%
Reserve Bank of India (RBI)
and State governments
2.5 MSME ecosystem
Vital - 10%
Total number of MSME
units operational within
the state
2.0% Ministry of MSME
Year-on-Year in-crease in
the number of MSMEs
(State-wise)
3.0% Ministry of MSME
Contribution in state
exports by MSMEs
5.0%
State governments and
Directorate General of
Foreign Trade (DGFT)
Desirable
Enterprise Development
Centres (EDCs)
0.0% State governments
2.6
Industrial and
innovation envi-
ronment
Vital - 5%
Number of industrial parks/
estates/ clusters/ nodes
2.5%
Department for Pro-motion
of Industry and Internal
trade (DPIIT)
Ease of Doing Business
(EODB) index
2.5%
Department for Pro-motion
of Industry and Internal
Trade (DPIIT)
Desirable
Number of GCCs 0.0% State governments
Number of start-ups 0.0% State governments
Number of R&D centres 0.0% State governments
NABL accredited labs 0.0%
National Accreditation
Board for Testing and
Calibration Laboratories
(NABL)
Figure 4: Business Ecosystem – Parameters and Weightages Export Preparedness Index 2024 6
Pillar 3: Policy and Governance
A well-defined policy and governance are critical for creating a favorable export ecosystem. This
pillar examines the policies that facilitate exports, the effectiveness of their implementation,
and the role of state-level governance in supporting exporters. Transparent regulatory practices,
ease of doing business, trade facilitation measures, and the availability of financial incentives
are key aspects evaluated under this domain. States that adopt proactive governance strategies
and foster collaboration between stakeholders can drive export growth by reducing bureaucratic
hurdles and encouraging innovation. This pillar underscores the importance of aligning state
policies with national and global trade priorities.
S.
No.
Sub-Pillars
Sub-Pillars
Weightage
Parameter
Parameter
Weightage
Source
3.1
State level policy
support and
governance
Vital - 15%
Does the state have an export
specific policy? (Y/N)
5.0% State governments
Does the state have a vision
document with an investor
friendly charter? (in progress/
completed)
3.0% State governments
Digital transformation of
procedures and documentation
2.0% State governments
Marketing initiatives from the
states to promote exports in the
form of policy interventions
2.0% State governments
Trade fairs and exhibitions by
states
3.0% State governments
Desirable
Grievance redressal mechanism0.0% State governments
Collaboration with Make-In-
India campaigns
0.0% State governments
3.2
Regulatory
environment and
compliance
Vital - 5%
State quality standards and
product certification compliance
2.5% State governments
Import Export Codes (IEC)1.5%
Directorate General of
Foreign Trade (DGFT)
Quality requirements
compliance workshops
1.0% State governments
Desirable Export data availability 0.0% State governments
Figure 5: Policy and Governance – Parameters and Weightages
Pillar 4: Export Performance
Export performance is the definitive measure of a state’s readiness and success in global trade.
This pillar focuses on the tangible outcomes of a state’s export efforts, such as the volume,
value and diversification of exports. Additionally, this pillar examines the consistency of export
growth and the state’s resilience to external shocks. By analyzing export performance, states
can identify strengths, address weaknesses, and benchmark themselves against both domestic
and international competitors. This pillar serves as a crucial indicator of the effectiveness of the
other three pillars in driving export excellence. Export Preparedness Index 2024 7
S.
No.
Sub-Pillars
Sub-Pillars
Weightage
Parameter
Parameter
Weightage
Source
4.1
State level
exports and
trends
Vital - 5%
District-level exports 1.5% State governments
Year-on-year export growth
rate
1.5%
Ministry of Commerce and
Industry
Growth rate of exporter base1.5%
State governments and
Directorate General of
Commercial Intelligence and
Statistics (DGCIS)
State trade balance 0.5%
Ministry of Commerce and
Industry
Desirable
Contribution of exports in
the sunrise sectors and thrust
sectors (%)
0.0%
Ministry of Commerce and
Industry
4.2
Export
promotion and
facilitation
Vital - 5%
GI products1.5%
Department for Promotion of
Industry and Internal Trade
(DPIIT)
Do states have single window
clearance system?
1.5% State governments
Number of District Export
Promotion Committee (DEPC)
including the mandate of
District Industries Centres
(DIC) handling export
promotion
1.5% State governments
Districtlevel export action plan0.5%
Directorate General of Foreign
Trade (DGFT)
Desirable
Projects approved unnder
Trade Infrastructure for Export
Schemes (TIES)
0.0% State governments
Leveraging e-commerce 0.0% State governments
Certificate of origin for the
exported goods
0.0%
Directorate General of Foreign
Trade (DGFT)
4.3
Export portfolio
and market
access
Vital - 10%
Export market diversification
(%)
3.0%
Ministry of Commerce and
Industry
Export penetration of a state at
country level
2.0%
Ministry of Commerce and
Industry
Export penetration of a state at
commodity level globally
2.0%
Ministry of Commerce and
Industry
Sector focused country
specific export promotion
roadmap
1.0% State governments
State manufacturing alignment
with FTAs
1.0%
Ministry of Commerce
Dashboard
Value and list of primary
goods exported (INR)
1.0%
State governments and
Directorate General of Foreign
Trade (DGFT)
Desirable
Value and list of primary
goods exported (INR)
1.0%
State governments and
Directorate General of Foreign
Trade (DGFT)
Value and list of intermediate
goods exported (INR)
0.0%
State governments and
Directorate General of Foreign
Trade (DGFT)
Value and list of finished
goods exported (INR)
0.0%
State governments and
Directorate General of Foreign
Trade (DGFT)
Figure 6: Export Performance – Parameters and Weightages Export Preparedness Index 2024 8
1.3 Key Enhancements in Export Preparedness Index (EPI) 2024
Enhancements to parameters: To ensure the continued relevance and practicality of EPI for
states in the face of the evolving global economic landscape, significant adjustments have
been made vis-à-vis earlier framework (EPI 2022) considering inputs from NITI Aayog and
the states. Specifically, 19 parameters from the previous edition have been either removed or
merged to streamline the analysis and eliminate redundancy while 8 parameters have been
enhanced to improve their relevance, and overall impact in the index.
The enhancements can be categorized into four major buckets:
1. New dimensions for assessment
(i) Macroeconomy: Incorporating key parameters to gauge the broader economic
environment that support exports.
(ii) Cost competitiveness: Assessing factors that influence the overall cost efficiency
of exporting goods.
(iii) Human capital: Recognizing the importance of workforce availability, quality,
and skills in driving export growth and competitiveness.
(iv) Financial access and credit: Focusing on states’ efforts to enhance access to finance
for businesses with a focus on increasing exports.
(v) MSME ecosystem: Highlighting the importance of Micro, Small, and Medium
Enterprises (MSMEs) in boosting state-level exports and employment.
2. Introduction of desirable parameters – To elicit impactful and innovative Success
Stories that reflect export achievements beyond traditional metrics.
3. Streamlining of parameters – Consolidating and refining the parameters to ensure
most relevant and actionable metrics are utilized.
4. Focus on export infrastructure and logistics – Enhancing parameters to reflect
the efficiency and capacity of infrastructure and logistics systems critical for export
operations.
Enhancements to categorization of states
The states are divided into two major categories - Large States and Small States, NE & UTs
- based on the aspects of land area, population and GSDP. Within the categories, EPI 2024
classifies the states as “Leaders, Challengers, and Aspirers” based on their scores.
The “Leaders, Challengers, and Aspirers” framework offers a refined and insightful approach to
categorizing states, providing clarity and depth to performance evaluation. The segmentation of
the states under this framework will illuminate their current standing while reflecting their latent
potential for advancement. This classification thoughtfully accounts for varied strengths and
developmental trajectories therefore enabling strategies that are both impactful and bespoke.
Integrating diverse dimensions of assessment, the framework provides a comprehensive
perspective on progress and opportunities. Export Preparedness Index 2024 9
Figure 7: Enhanced categorization of states and union territories
Aligned with the evaluation framework and parameters, it is essential to first understand the
global macroeconomic and trade context. The following section presents the core landscape
that establishes the baseline for this study. Global Economic
Landscape
2 Export Preparedness Index 2024 11
In recent years, the global economic landscape has been marked by heightened volatility and
uncertainty, persistent inflationary pressures, supply chain disruptions, and the increasing
frequency of climate-related events. Increased energy prices, uneven demand recovery, and
shifts in global trade patterns have collectively strained industrial output and intensified
inflationary trends across economies. The lingering effects of the COVID-19 pandemic, have
further destabilized global supply chains particularly in sectors such as semiconductors and
automotive manufacturing. The growing occurrence of natural disasters, including floods,
hurricanes, and heatwaves, has underscored the structural vulnerabilities of global production
and trade networks, adding to the broader economic challenges confronting nations worldwide.
202220232024
Figure 8: Comparison of Annual GDP Growth Rate 2022-24
Source: IMF Datamapper
2.1 Macroeconomic Scenario
Global economic performance in recent years has reflected the complexity and interdependence.
In 2022, global GDP expanded by 3.5%, supported by strong recoveries in key emerging markets.
India registered robust growth of 7.2%, underpinned by resilient domestic demand and strong
export performance, while Vietnam grew by 8.0%, driven by its expanding manufacturing base
and rising prominence as a regional production hub.
However, this momentum eased in 2023, as global growth slowed to 3.0% amid tightening
financial conditions and sustained inflationary pressures in advanced economies. The United
States and Japan faced headwinds from higher interest rates and cost-of-living pressures, with
Japan’s growth moderating to 1.0% due to a weaker currency and increased import costs.
Looking ahead, global economy is projected to rise modestly to 3.2% in 2025, contingent upon
improvements in macroeconomic stability and easing geopolitical tensions.
Emerging economies in Asia continued to demonstrate resilience through this period. India
maintained growth above 6.5% in 2024, supported by strong public investment in infrastructure
and the continued expansion of technology-led exports. Inflation, however, remained a key
global concern, peaking at 8.7% in 2022 amid sharp increases in food and energy prices.
The Eurozone experienced inflation of 9.2% by year-end, with several economies witnessing
double-digit increases in energy and housing costs. The United Kingdom faced one of the
steepest inflationary spikes among advanced economies, reaching 10.4%, driven by higher
utility prices and trade frictions.
Global Economic Landscape2 Export Preparedness Index 2024 12
In response, central banks around the world adopted aggressive monetary tightening. The
European Central Bank raised rates to their highest levels in over a decade, while the Bank
of England implemented similarly restrictive measures. Although these actions succeeded in
curbing inflationary pressures, they also contributed to a broad-based moderation in economic
activity across multiple regions.
The U.S. Federal Reserve’s aggressive monetary tightening contributed to a sharp fall in
inflation, from a peak of 9.1% in mid-2022 to 3.7% by late 2023. However, this disinflation was
accompanied by a marked slowdown in consumer demand, especially across interest-sensitive
sectors such as housing and retail. In contrast, inflation trends in emerging markets remained
highly uneven. Argentina and Turkey continued to grapple with hyperinflation, recording
rates above 80% and 60% respectively in 2023, which is a reflection of deep-rooted structural
imbalances. Meanwhile, China maintained relatively moderate inflation, below 3%, supported
by targeted state interventions and regulated energy prices.
202220232024
Figure 9: Global Inflation Rate Trends 2022-24
Source: IMF Datamapper
These global economic conditions added pressure to already fragile growth trajectories. Policy
responses during this period differed across regions. Advanced economies largely prioritized
inflation containment, often trading off short-term growth to restore price stability. Meanwhile,
emerging markets placed greater emphasis on trade diversification, regional cooperation, and
resilience-building measures to mitigate external shocks. Many economies also accelerated
green energy transitions and sustainability initiatives to reduce long-term vulnerabilities and
strengthen global competitiveness.
2.2 Global Trade – Growth and Trends
Global trade dynamics in recent years reflect a pronounced shift toward regionalization, as
countries increasingly trade within blocs rather than across them. Political alignments, security
considerations, and supply chain resilience strategies have reshaped traditional trade flows and
investment decisions. Export Preparedness Index 2024 13
Figure 10: Shifts in Trade Patterns Within and Between Geographical Blocs
Foreign direct investments are now more frequently directed toward politically aligned
or geographically proximate nations, underscoring the growing influence of geopolitics on
global economic integration. This evolving landscape has created a complex and fragmented
global trade outlook and uneven trade performance. In 2022, global trade expanded by 2.5%,
due to geopolitical uncertainty. Trade performance itself has been uneven. In 2022, global
trade volumes expanded by 2.5%, due to supported by strong export activity from major
manufacturing hubs. However, by 2023, growth slowed sharply to 0.8%, reflecting weakened
global demand and rising input costs in key regions. Some advanced economies experienced
export contractions amid cost pressures and currency strength, while emerging economies such
as India and Indonesia sustained trade surpluses, driven by resilient commodity exports and
expanding manufacturing capacities.
Figure 11: Year on Year growth rate of exports
Commodity exporting economies such as Australia and Saudi Arabia benefited significantly
from increased energy and mineral prices. Saudi Arabia’s GDP expanded by 8.7% in 2022,
driven by record oil revenues and continued investments aligned with its Vision 2030 agenda.
In contrast, countries dependent on imported raw materials, including South Korea and
Japan, faced mounting cost pressures that eroded industrial margins. Meanwhile, persistent
semiconductor shortages continued to disrupt global production schedules, particularly in Export Preparedness Index 2024 14
the automotive and electronics industries. South Korea’s semiconductor exports declined by
16% in 2023, reflecting both enduring supply chain constraints and softening global demand.
Commodity-exporting countries such as Australia and Saudi Arabia enjoyed windfalls from
high energy and mineral prices. Saudi Arabia saw GDP growth of 8.7% in 2022, fueled by
record oil revenues and strategic investments under its Vision 2030 program. However, nations
reliant on imports of raw materials, such as South Korea and Japan, struggled with rising
costs that weighed on industrial margins. On top of that, semiconductor shortages continued
to disrupt production timelines globally, particularly in automotive and electronics sectors.
South Korea’s exports of semiconductors fell by 16% in 2023, reflecting ongoing supply chain
challenges and declining global demand.
Figure 12: Regional trade landscape
2.2.1 Merchandise Trade
Over the past few years, global merchandise trade has seen a mix of recovery and setbacks.
Between 2019 and 2023, trade volumes grew by 6.3% compared to pre-pandemic levels,
reflecting a rebound from the disruptions caused by COVID-19. However, 2023 saw a 1.2%
decline, following a 3% expansion in 2022 signaling a slowdown driven by weakened import
demand in Europe, North America, and parts of Asia. Despite the headwinds, the total value
of global merchandise trade in 2023 remained substantial at around ₹2000 lakh crore, though
it was 5% lower by volume than 2022. This decline was driven by falling prices of key
commodities such as natural gas and crude oil. In early 2024, trade showed signs of recovery,
with merchandise trade rising 2.3% year-on-year. The easing of inflation has prompted interest
rate cuts in several economies, helping to stimulate investment and revive trade activity.
However, persistent risks such as geopolitical tensions and policy uncertainty continue to cloud
the global outlook. Export Preparedness Index 2024 15
Figure 13: Year-on-Year change in merchandise trade growth by product category
The performance of merchandise trade varied significantly by region. Europe, which accounted
for 37% of global trade, experienced a sharp drop in both imports and exports in 2023. The energy
crisis severely impacted Europe’s manufacturing sector, with natural gas prices remaining 84%
higher than before the pandemic. Intra-EU trade declined by 1%, although exports to countries
outside the EU rose modestly by 2%. Meanwhile, energy-exporting nations, such as Saudi
Arabia and the UAE, saw significant growth. Saudi Arabia’s merchandise exports grew by 11%
in 2023, driven by strong global demand for oil and gas. Similarly, Russia recorded a 10% rise
in exports as it strengthened trade ties with non-Western economies amid ongoing sanctions.
1
1 UNCTAD (United Nations Conference on Trade and Development) Export Preparedness Index 2024 16
Figure 14: Trade flows in real terms, January 2018–July 2024 (Average 2021=100)
In Asia, the results were mixed. China, the world’s largest exporter, faced a 5% drop in
merchandise exports in 2023 due to reduced global demand for manufactured goods. Japan
and South Korea also struggled, with their export values falling by 4% and 8%, respectively.
However, strong manufacturing capabilities and growing regional trade within Asia, are the
key factors expected to drive future growth. Trade agreements and technological advancements
are further strengthening Asia’s role in global supply chains and therefore, trade.
Commodity prices played a crucial role in shaping merchandise trade trends. In 2023, crude
oil prices were 30% lower than the 2022 peak but still 29% higher than in 2019. Agricultural
commodities like grains remained expensive, with prices 45% above pre-pandemic levels.
These fluctuations affected both exporters and importers. Energy-importing regions like Europe
faced trade deficits, while energy-exporting regions enjoyed favorable trade terms.
Changing consumer behavior also impacted merchandise trade. Inflation reduced disposable
incomes in major economies, leading to lower demand for big-ticket items like cars and
appliances, which are heavily traded. Additionally, rising interest rates worldwide, such as the
U.S. Federal Reserve’s 5.4% benchmark rate in 2023, increased borrowing costs for businesses,
further dampening investment in trade-related sectors.
Merchandise trade is projected to recover with 3.3% in 2025. This growth will be supported
by easing inflation and improving household incomes increase, particularly in advanced
economies. As inflation subsides, central banks are expected to lower interest rates, encouraging
businesses to invest in trade-related industries. However, risks to this recovery remain, including
geopolitical tensions in the Middle East, rising trade protectionism, and the fragmentation of
global supply chains. Export Preparedness Index 2024 17
Figure 15: Quarterly World Trade of Merchandise and Services 2015 - 24
2.2.2 Services Trade
The global trade of services has proven to be dynamic and resilient, growing steadily even
in the face of economic disruptions. Between 2019 and 2023, the value of services traded
internationally surged by 21%, reaching ~ ₹631 lakh crore in 2023. This remarkable growth
contrasts sharply with the challenges seen in merchandise trade, highlighting the adaptability of
services in a world that is increasingly shifting towards digital solutions. In 2023 alone, service
trade expanded by 9%, driven by strong recoveries in travel and the growing importance of
digital services like IT, e-commerce, and online education.
Figure 16: Sector-Wise Services Exports Trade Growth Comparison Export Preparedness Index 2024 18
Global commercial services trade continued its upward trajectory in Q1 2024, posting
an average year-on-year growth of 8%, marking the fourth consecutive quarter of steady
expansion. This momentum was primarily driven by the “other commercial services” segment,
which encompasses high-value, digitally deliverable services such as professional and business
services, financial services, and ICT. Export performance was particularly strong in North
America and Asia, each recording 9% growth, while Europe followed closely with an 8%
increase. On the import front, Asia led with a 9% rise, supported by robust domestic demand,
while North America and Europe registered 6% growth each. International travel also showed
continued recovery, increasing by 19% year-on-year. However, with the post-pandemic rebound
maturing, year-on-year growth rates are beginning to normalize, suggesting a shift toward a
more stable growth phase in global services trade.
Shipping continues to dominate the logistics of global trade, with freight shipping making up
over half of transport trade. Key services like cargo handling and storage are vital components
of this sector. However, global merchandise trade is still struggling to fully recover to pre-
pandemic levels due to inflation and slower economic growth.
2
Tourism, on the other hand, saw a strong rebound, supported by easing inflation. In 2023,
travelers spent ~ ₹126 lakh crore on services like accommodation and dining, an impressive
38% increase compared to the previous year. Europe and the Middle East have already
surpassed pre-pandemic levels in travel-related exports, and Africa has made a full recovery as
well. However, Asia’s travel sector is still lagging, particularly in exports and imports, due to
the lingering effects of long lockdowns and administrative hurdles in China.
The commercial services sector also showed strong recovery, growing by 9% in 2023, thanks
to improved currency stability. Financial services grew by 8%, while business services such
as research and development and IT saw significant growth, with Europe leading the way.
Insurance services experienced the fastest growth, driven by rising geopolitical risks and
climate challenges that have pushed up premiums.
Not all sectors have rebounded equally. Construction services are still struggling, with exports
growing by just 3% in 2023, still below pre-pandemic levels. High material costs and labor
shortages continue to hold the sector back. On the other hand, ICT services (Information and
Communication Technology) have surged, growing over 20% year-on-year as demand for
cloud computing, cybersecurity, and AI solutions skyrockets. Overall, while many sectors are
recovering, the pace remains uneven.
2 UNCTAD (United Nations Conference on Trade and Development) Export Preparedness Index 2024 19 India Exports – Trends
3 Export Preparedness Index 2024 21
India’s export trends for FY2023-24 exhibited mixed dynamics, with total exports (goods and
services) reaching a record ₹65 lakh crore and India’s share in the global trade increased to
1.8% from 1.7% in the previous year.. The improved performance was driven by growth in
service exports, particularly in IT/software and business services, which grew by 4.9%

Figure 17 : India’s Total Merchandise and Services Export Value (INR Lakh Crore)
3.1 Viksit Bharat @2047 – Focus on Trade
The Government of India’s Viksit Bharat Vision 2047 aspires to transform India into a developed
nation, anchored on the pillars of economic strength, technological leadership, social equity,
environmental sustainability, and global engagement. A core target under this vision is to position
India’s manufacturing sector to contribute 10% to global manufacturing GDP by 2047, underscoring
the sector’s centrality to India’s economic transformation. In addition, the vision envisages India to
account for ~10% share of the global merchandise exports by 2047. In this context, international
trade assumes a pivotal role in realizing the Viksit Bharat goals, serving as a key driver of industrial
advancement, job creation, and integration into global value chains (GVCs).
Figure 18: Viksit Bharat - Vision for India’s share of global exports
India Exports – Trends3 Export Preparedness Index 2024 22
To achieve this, India must pursue a comprehensive and coordinated approach enhancing
market access through trade agreements, strengthening logistics and trade facilitation, and
integrating MSMEs and hinterland regions into export ecosystems to ensure inclusivity. At the
operational level, state-level export strategies should align with national priorities, focusing
on product and market diversification, infrastructure development, and capacity building for
smaller enterprises. Targeted interventions such as scaling electronics manufacturing, enabling
plug-and-play export hubs, and promoting India’s strengths in pharmaceuticals, textiles, Agri-
products, and digital services will be crucial to driving global competitiveness.
3.2 Merchandise Exports
India’s merchandise exports between FY22 and FY24 exhibited a nuanced trend, marked by
significant achievements and emerging challenges. Exports rose from ~ ₹35.3 lakh crore in
FY22 to a record ~ ₹37.7 lakh crore in FY23, reflecting a 6.9% YoY growth fueled by strong
performances in sectors such as engineering goods, electronics, and pharmaceuticals. However,
in FY24, exports declined to ~ ₹36.5 lakh crore, a 3.1% contraction, signaling challenges like
subdued global demand and sector-specific declines.
Figure 19: India’s Merchandise Export Value (INR Lakh Crore)
Several Non-Value Added (NVA) commodities witnessed notable declines in FY24. For
instance, raw sugar exports dropped by 51.6%, and coke and semi-coke experienced a steep
76.6% contraction. Exports of natural diamonds and petroleum residues also fell by 26.4% and
15.5%, respectively, reflecting external demand constraints and shifting trade patterns. These
declines highlight the vulnerabilities of certain commodity-based exports to global economic
and market fluctuations. Despite these setbacks, some sectors-maintained resilience. Electronic
goods continued their upward trajectory with a 54.8% YoY increase, while agricultural products,
such as rice and processed food items, showed steady growth. Industries such as biological and
drug formulations (5.2%) and telecom instruments (4.8%) demonstrated notable growth. The
government’s Production-Linked Incentive (PLI) schemes and efforts to strengthen supply chains
have bolstered high-value sectors. However, the contrasting performance across commodities
underlines the need for diversification and value addition in India’s export portfolio.
3, 4
3 Ministry of Commerce & Industry
4 Invest India Export Preparedness Index 2024 23
Parallel to this, India’s defense exports have seen remarkable growth, surging to an unprecedented
~ ₹21,255 crore in FY24, ~34% growth over FY23. This reflects not just an expansion in export
volume but also a shift in perception India is increasingly seen as a dependable defense supplier
in regions like Southeast Asia, Africa, and Latin America. This momentum, backed by policy
reforms and an emphasis on domestic production under the ‘Make in India’ initiative, is likely
to position India as a global defense manufacturing hub in the coming years.
5
Beyond traditional sectors, India’s processed and specialty foods industry is another area
witnessing strong export potential. Rising global demand for plant-based proteins, ready-to-eat
meals, and organic products has created new avenues for Indian manufacturers, particularly in
markets such as the U.S., Canada and Europe. The government’s proactive approach, including
Agricultural and Processed Food Products Export Development Authority’s (APEDA) facilitation
of the first plant-based meat exports from Gujarat to the U.S. and policy support under initiatives
like the National Program on Vegan Products, is helping Indian brands tap into this growing
segment. Together, these trends illustrate a broader shift in India’s export trajectory. The
country is increasingly moving up the value chain in critical sectors. The breakup of India’s
merchandise exports by products has been detailed below.
Engineering Goods
India’s engineering goods sector, constituting over 25% of the country’s total merchandise
exports, demonstrated resilience and adaptability during FY24 despite global economic
uncertainties. Exports in this category reached ₹9.1 lakh crore, a modest increase of 2.1%
compared to FY23. This growth came after a challenging start in the first half of the fiscal year,
followed by a strong recovery in the second half, particularly from December onward.
6
Figure 20: Engineering Goods Exports
5 Ministry of Mines PIB – 09
th
February 2023
6 Ministry of Commerce & Industry Export Preparedness Index 2024 24
The United States remained the largest market for Indian engineering exports, accounting for
~ ₹1.4 lakh crore (15.9% of the total), followed by the UAE and Saudi Arabia. Notably, Indian
exporters expanded their reach into emerging markets such as Macao, Georgia, etc, reflecting
a strategic effort to diversify export destinations. Additionally, regional shifts included robust
growth in exports to West Asia and North Africa (WANA), which increased by 27% in FY24.
In contrast, exports to North America and ASEAN countries experienced slight declines.
Figure 21: Leading Destinations for Engineering Goods from India in FY24
Within the engineering sector, iron and steel exports faced a decline of 11% year-on-year due
to weaker global steel prices. However, non-ferrous metals, particularly copper, showed strong
growth, with exports rising by 37% as demand surged in global markets. The performance of
aluminum and zinc was less optimistic, reflecting price volatility and reduced demand.
India has taken several significant initiatives to boost its engineering goods exports. The
sector is fully de-licensed, with 100% FDI permitted, encouraging global investments. The
Scheme on Enhancement of Competitiveness in the Indian Capital Goods Sector- Phase-
II, with a financial outlay of ₹1,207 crore, supports technology development and service
infrastructure. Additionally, skill development in additive technologies has been prioritized
through collaborations. Export Preparedness Index 2024 25
Electronics Goods
India’s electronic goods exports demonstrated significant growth in FY24, reaching ~ ₹2.4
lakh crore, compared to ~ ₹1.9 lakh crore in FY23, marking a robust year-on-year increase
of approximately 25%. This growth highlights the sustained demand for Indian electronic
products across global markets. Monthly export data reflects consistent gains, with standout
performances in February (55.3% growth) and March (23.4% growth).
Figure 22: Electronics Goods Exports
Key export destinations include the USA, which accounted for 35.4% of total exports, followed
by the UAE (11.4%), and European nations such as the Netherlands, UK, and Italy collectively
contributing a significant share. The sector’s success is attributed to targeted government
initiatives like the Production-Linked Incentive (PLI) scheme, under which 32 companies,
including global giants, have committed investments to boost domestic manufacturing. The
“Make in India” and “Digital India” campaigns further strengthened infrastructure, enabling
the electronics sector to enhance its global competitiveness. For instance, the PLI for mobile
phones drove India’s transition from an importer to a net exporter of smartphones, accounting
for a substantial share of electronics exports.
Figure 23: Leading Destinations for Electronics Goods from India in FY24 Export Preparedness Index 2024 26
The growth is further supported by strategic investments in technology development and
infrastructure improvements, as highlighted by the Ministry of Electronics and Information
Technology (MEITY). Additionally, policies aimed at enhancing value addition, diversifying
export portfolios, and integrating into global value chains are pivotal for maintaining
momentum.
7,

8
Chemical and Allied Products
In FY24, India’s chemical and allied products exports displayed mixed performance, with
an overall decline in key months compared to FY23. The export value in FY24 started with
significant contractions in April (-19.4%) and May (-13.9%) compared to FY23 but showed
signs of recovery toward the year-end, with December and February witnessing growth rates
of 8.3% and 16.9%, respectively. The March exports capped the year with a 7.4% increase,
reaching ₹49,531 crore.
Figure 24 : Chemical and Allied Products Exports
The United States and China emerged as the top destinations, contributing 15.6% and 12.1%,
respectively, of the total export value. Other notable markets included the UAE (6.3%), Saudi
Arabia (3.0%), and Brazil (2.9%). Together, the top destinations highlight India’s efforts to
diversify its export markets while maintaining strong ties with traditional partners.
Figure 25 : Leading Destinations for Chemicals and Allied Products from India in FY24
7 Ministry of Electronics and Information Technology
8 Ministry of Commerce & Industry Export Preparedness Index 2024 27
In FY24, India’s chemical and allied product exports showcased a diverse portfolio, with
bulk minerals and ores leading the category at ₹70,712 crore. Organic chemicals followed
closely with ₹50,208 crore in exports, reflecting India’s expertise in specialty chemicals and
pharmaceutical intermediates. Agrochemicals contributed ₹32,886 crore, driven by robust
demand for crop protection products.
Agricultural Goods
In FY24, India’s agricultural exports demonstrated resilience amid global uncertainties,
supported by key government initiatives and favorable policy measures. The export value
across FY24 exhibited fluctuations, with monthly exports generally trailing those of FY23.
Despite challenges like reduced global demand and weather impacts, efforts in diversification
and value addition helped sustain competitiveness.
Figure 26 : YoY Comparison of Agricultural Goods Export Value (INR lakh crore)
Major export destinations included the USA, China, UAE, and Bangladesh, reflecting India’s
strong Agri-trade relationships with these nations. Key commodities driving exports were
cereals, rice, spices, and oilseeds, which benefitted from enhanced productivity and market
access initiatives. The Agricultural Export Policy emphasized promoting higher-value
processed goods and diversifying export markets. Technological adoption in agriculture was
prioritized through initiatives like e-NAM, with over 1.8 crore farmers enrolled, facilitating
direct market access. The promotion of Farmer Producer Organizations (FPOs), with over
8,000 registered by February 2024, and investment in post-harvest infrastructure have also
been pivotal in increasing export capacity. leading to 3.1% increase Export Preparedness Index 2024 28
Figure 27: Share of Top 10 Export Destinations in Agricultural Goods Exports from India in FY24)
Additionally, the adoption of sustainable practices, such as the PM-PRANAM initiative to
reduce chemical fertilizer use and schemes like the Pradhan Mantri Fasal Bima Yojana for crop
insurance, have further supported agricultural growth and export potential.
9, 10
3.3 States and UTs – Export Trends
Figure 28 : Share of States in India’s Merchandise Exports
9 Ministry of Finance PIB – 22
nd
July 2024
10 Ministry of Agriculture & Farmers Welfare PIB – 05
th
March 2024 Export Preparedness Index 2024 29
India’s trade resilience underscores its growing role in global value chains. With a diverse
export portfolio spanning multiple industries, India’s ability to integrate into global markets
relies on proactive policy interventions at both national and regional levels. While the country
has set an ambitious target of achieving $1 trillion in goods exports by 2030, broad policy
frameworks often lack the granularity needed to address the unique strengths and challenges of
individual states and districts. Recognizing this, the state governments need to play a pivotal
role in shaping export strategies tailored to local capabilities, ensuring that India’s export
growth is both inclusive and sustainable.
Gujarat, Maharashtra, and Tamil Nadu continue to be India’s top exporting states, collectively
accounting for approximately 56% of the country’s total exports. Their success is largely
driven by robust trade infrastructure including ports and targeted industrial policies. Gujarat
leads with a contribution of ~30% of total exports, with petrochemicals and gems and jewelry
as dominant sectors. The state benefits from extensive product clusters, Special Economic
Zones (SEZs), and strategic connectivity through initiatives like the Delhi-Mumbai Industrial
Corridor. Maharashtra follows with key exports including gems and jewelry, automotive and
auto ancillary components. The state’s focus on infrastructure development, ease of doing
business, and MSME support through incentives further enhances its export performance.
Meanwhile, Tamil Nadu leverages its strong manufacturing ecosystem, excelling in consumer
electronics, automotive, and textiles exports. The state’s commitment to workforce upskilling,
infrastructure expansion, and policies promoting R&D and startups has positioned it as a major
export hub.
11, 12

The other states in the top 10 category have also shown resilience and growth despite the
broader contraction in India’s merchandise exports, which declined by approximately 3%
in FY24 due to global demand slowdowns, geopolitical disruptions, and falling commodity
prices. Notably, four of the top five top exporting states experienced a decline, with Tamil Nadu
being the exception, registering a ~7% growth. Among the emerging export hubs, Haryana,
Telangana, and Odisha have demonstrated strong performance. Haryana, driven by its robust
automotive and auto ancillary industry, was relatively insulated from the decline in global
commodity prices. Telangana’s export growth was led by high-value sectors such as aerospace
and pharmaceutical products. Meanwhile, Odisha, leveraging its natural resource base and
expanding industrial ecosystem, has continued to strengthen its export presence.
13,
Beyond the top 10 exporting states, several other states have demonstrated significant progress
in boosting their exports, reflecting the broadening of India’s trade footprint. Himachal Pradesh
recorded a 9% growth in exports, reaching ₹19,246 crore in FY24. The state’s pharmaceutical
sector led this expansion, contributing ₹13,389 crore approximately 70% of its total exports.
With Himachal Pradesh emerging as a key hub for drug manufacturing, major investments in
infrastructure, including the establishment of a Bulk Drug Park in Haroli district, are set to
further strengthen its position.
14

15, 16, 17
Despite their progress, the emerging states face infrastructure gaps, financial constraints and
policy bottlenecks that hinder their export potential. Limited logistics and port connectivity,
11 NITI Aayog
12 Maharashtra Industry, Trade and Investment Facilitation Cell)
13 IBEF
14 IBEF
15 Ministry of Commerce & Industry
16 IBEF
17 Government of Himachal Pradesh Export Preparedness Index 2024 30
restricted credit access for MSMEs and complex regulatory processes create barriers to scaling
exports. Addressing these challenges through integrated infrastructure development, financial
support, and streamlined policies is crucial to ensuring balanced and sustained export growth
across India.
3.3.1 District Level Exports
To further enhance India’s export competitiveness, it is crucial to decentralize export promotion
efforts beyond state capitals and industrial hubs. While a few states contribute to most exports,
unlocking the potential of districts can significantly boost India’s trade landscape. Recognizing
this, the government has initiated efforts to transform districts into export hubs by identifying
high-potential products and services, addressing supply chain bottlenecks, and equipping local
manufacturers and exporters with the necessary resources to scale globally. This localized
approach not only raises awareness about exports at the grassroots level but also builds capacity
to create new exporters, diversify markets, and strengthen district-level industrial ecosystems.
By leveraging local strengths and fostering targeted interventions, these initiatives aim to create
a more inclusive and broad-based export growth model.
Figure 29 : Institutional mechanism to promote exports at district level
As per Foreign Trade Policy 2023 (FTP 2023), a structured framework to implement district-
level export promotion through District Export Promotion Committees (DEPCs), State Export
Promotion Committees (SEPCs) and the Directorate General of Foreign Trade’s Regional
Authorities (DGFT RAS) has been designed. The DEPCs are responsible for designing and
executing District Export Action Plans (DEAPs), which identify 2-3 high-potential products or
services per district and outline comprehensive strategies to enhance their global competitiveness.
These plans address the entire export value chain, from production to international market
access, while setting clear short- and long-term targets. At the state level, SEPCs chaired by
the Chief Secretary and co-convened by DGFT RAS ensure alignment between district, state,
and central government efforts, streamlining policies and facilitating necessary interventions.
18
India’s export landscape at a district level is concentrated, with the top 100 districts accounting
for nearly 88% of the country’s total exports while top 10 districts accounting for ~38%.
Notably, around 70 of these top 100 exporting districts are concentrated in just eight states,
underscoring the geographical clustering of industrial and export activities. This concentration
highlights the need for region-specific policies that leverage existing infrastructure while also
18 DGFT (Directorate General of Foreign Trade) Export Preparedness Index 2024 31
expanding export potential in emerging districts.
19
Figure 30 : Distribution of Exports at District Level
Districts State
Contribution to total
exports
Top Exported Commodity
Jamnagar Gujarat 12.9%Petrochemical Products
Kanchipuram Tamil Nadu 4.0%Automotive and auto ancillary components
Mumbai Maharashtra 3.1%Gems and Jewelry
Pune Maharashtra 3.0%Automotive and auto ancillary components
Surat Gujarat 2.9%Gems and Jewelry
Kachchh Gujarat 2.8%Organic and inorganic chemicals
Mumbai Suburban Maharashtra 2.7%Gems and Jewelry
Ahmadabad Gujarat 2.4%Pharmaceutical Products
Gautam Buddha
Nagar
Uttar Pradesh 2.3%Consumer Electronics
Bharuch Gujarat 2.2%Agrochemicals
Figure 31 : Top 10 Districts – Merchandise Esports of India (All commodities)
This concentration highlights the need for region-specific policies that leverage existing
infrastructure while also expanding export potential in emerging districts. Strengthening
logistics networks, streamlining regulatory processes, and fostering sector-specific incentives
in these top-performing districts can further enhance their contribution to India’s export targets.
At the same time, a focused effort to develop export capabilities in other districts will ensure a
more balanced and sustainable growth trajectory for the country’s trade ecosystem.
19 Ministry of Commerce & Industry Export Preparedness Index 2024 32
3.4 Services Exports
India’s services exports demonstrated exceptional resilience and growth in FY23 and FY24,
affirming their crucial role in the nation’s economic performance. In FY23, exports surged to
₹27.2 lakh crore, a remarkable ~28% year-on-year increase, driven by robust demand for IT
services, business consultancy and digital transformation solutions in key global markets. This
growth underscored India’s leadership in sectors like telecommunications, IT-enabled services
and software development, that accounted for a significant share of the total exports. However,
growth moderated to 4.4% in FY24, with services exports reaching ₹28.4 lakh crore, reflecting
the impact of geopolitical tensions, tighter monetary policies and a decelerating global economy.
Despite these challenges, the services sector maintained strong performance, supported by
favorable government policies, such as the “Digital India” campaign. Key markets such as the
United States and Europe continued to drive demand, while India’s foray into emerging fields
such as engineering services and R&D further diversified its export portfolio.
Figure 32 : India’s Services Export Export Preparedness Index 2024 33
3.5 India’s Trade Partnerships
India’s Free Trade Agreements (FTAs) and strategic trade partnerships are instrumental in
deepening the country’s integration into the global economy. By reducing tariffs, enhancing
market access, and facilitating investment flows, these agreements not only boost India’s
export competitiveness but also attract foreign investment across high-growth sectors. Through
targeted collaborations with regions such as the European Free Trade Association (EFTA) and
the United Arab Emirates (UAE), India seeks to diversify its trade portfolio, strengthen resilient
supply chains, and reinforce its position as a major hub for global trade and manufacturing.
The exhibit below outlines some of the key features of critical trade agreements that are
expected to further advance India’s trade and investment agenda, supporting the broader vision
of positioning India as a globally competitive and future-ready economy.
Figure 33 : Major Trade Partnerships and Initiativesss Export Preparedness Index
(EPI) 2024 - Evaluation
and Outcomes
4 Export Preparedness Index 2024 35
The EPI 2024 assessment was anchored in a robust, transparent, and collaborative process
designed to ensure credibility and inclusiveness at every stage. The exercise commenced with
a workshop that brought together representatives from all states and union territories, aimed at
familiarizing them with the framework, methodology and objectives. This collective orientation
helped build a shared understanding of the evaluation process and the expectations from each
stakeholder.
Over the ensuing nine months, there were engagements with more than 200+ senior government
officials through multiple interactions focusing on data verification, validation and refinement
of state specific inputs. This extensive consultative effort ensured that the data reflected ground
realities with accuracy and integrity. The final scoring was carried out with meticulous care,
adhering strictly to the defined methodology and assigned weightages across pillars, sub-
pillars, and parameters. Each score represents a rigorous evaluation of both quantitative
data and qualitative evidence, ensuring consistency, comparability, and credibility across all
participating states. The summary of the evaluation and outcomes is tabulated below with the
score, rank and category.
RANKING
States and Union Territories Score Overall RankCategory
Maharashtra68.01 1Large States
Tamil Nadu64.41 2Large States
Gujarat64.02 3Large States
Uttar Pradesh62.09 4Large States
Andhra Pradesh60.65 5Large States
Karnataka59.30 6Large States
Punjab58.32 7Large States
Telangana57.14 8Large States
Madhya Pradesh57.00 9Large States
Haryana55.01 10Large States
Kerala53.76 11Large States
West Bengal53.03 12Large States
Uttarakhand52.07 13 Small States, NE & UTs
Jammu and Kashmir51.08 14 Small States, NE & UTs
Odisha48.51 15Large States
Chhattisgarh48.50 16Large States
Rajasthan47.31 17Large States
Nagaland46.42 18 Small States, NE & UTs
Bihar46.31 19Large States
Dadra Nagar and Haveli & Daman and Diu 46.24 20 Small States, NE & UTs
Goa44.60 21 Small States, NE & UTs
Tripura42.82 22 Small States, NE & UTs
Jharkhand42.49 23Large States
Export Preparedness Index (EPI) 2024 - Evaluation and
Outcomes
4 Export Preparedness Index 2024 36
Assam42.45 24 Small States, NE & UTs
Puducherry41.21 25 Small States, NE & UTs
Chandigarh40.57 26 Small States, NE & UTs
Meghalaya37.50 27 Small States, NE & UTs
Ladakh35.89 28 Small States, NE & UTs
Delhi35.43 29 Small States, NE & UTs
Himachal Pradesh35.01 30 Small States, NE & UTs
Sikkim33.75 31 Small States, NE & UTs
Arunachal Pradesh31.46 32 Small States, NE & UTs
Andaman and Nicobar Islands 31.01 33 Small States, NE & UTs
Mizoram30.24 34 Small States, NE & UTs
Manipur28.29 35 Small States, NE & UTs
Lakshadweep22.76 36 Small States, NE & UTs
Figure 34 : Export Preparedness Index 2024 Results
4.1 Large States – Ranking and Classification
The EPI 2024 framework differentiates between large and Small States, NE & UTs to ensure a
balanced and equitable evaluation. Large States typically possess broader industrial bases, more
extensive infrastructure networks, and diversified export portfolios. Their performance reflects
the effectiveness of large-scale policy implementation, institutional depth, and competitiveness
across varied sectors. Assessing them as a separate group enables meaningful peer comparison
among states with similar economic scale and governance complexity. The table below presents
the performance of the large states under the EPI 2024 framework.
RANKING
StatesScores Category Rank EPI 2024 Classification
Maharashtra68.01 1Leader
Tamil Nadu64.41 2Leader
Gujarat64.02 3Leader
Uttar Pradesh62.09 4Leader
Andhra Pradesh60.65 5Leader
Karnataka59.30 6Leader
Punjab58.32 7Leader
Telangana57.14 8Leader
Madhya Pradesh57.00 9Challenger
Haryana55.01 10Challenger
Kerala53.76 11Challenger
West Bengal53.03 12Challenger
Odisha48.51 13Aspirer
Chhattisgarh48.50 14Aspirer
Rajasthan47.31 15Aspirer
Bihar46.31 16Aspirer
Jharkhand42.49 17Aspirer
Figure 35 : Scores for Large States Export Preparedness Index 2024 37
4.2 Small States, NE & UTs – Ranking and Classification
Small States, NE & UTs play a pivotal role in India’s export landscape, often demonstrating
agility, specialization and innovative approaches to trade. Recognizing their distinct
developmental contexts, the EPI 2024 framework evaluates them separately to highlight their
unique strengths and address context-specific challenges. This tailored assessment allows for a
more accurate reflection of their export readiness and potential for growth. The following table
presents the results for the Small States, NE & UTs as per the EPI 2024 assessment.
RANKING
States and Union Territories Scores Category Rank EPI 2024 Classification
Uttarakhand52.071Leader
Jammu and Kashmir51.082Leader
Nagaland46.423Leader
Dadra and Nagar Haveli & Daman and Diu 46.244Leader
Goa44.605Leader
Tripura42.826Leader
Assam42.457Leader
Puducherry41.218Leader
Chandigarh40.579Leader
Meghalaya37.5010Challenger
Ladakh35.8911Challenger
Delhi35.4312Challenger
Himachal Pradesh35.0113Challenger
Sikkim33.7514Challenger
Arunachal Pradesh31.4615Aspirer
Andaman and Nicobar Islands 31.0116Aspirer
Mizoram30.2417Aspirer
Manipur28.2918Aspirer
Lakshadweep22.7619Aspirer
Figure 36 : Scores for Small States, NE & UTs State Profiles
5 Export Preparedness Index 2024 39
As part of EPI 2024, each state has been analyzed and profiled comprehensively in terms
of focus industry sectors, cluster / district coverage, export at commodity level and specific
Success Stories leveraging the comprehensive data collated and discussions with the key
stakeholders. The state profile also covers the scores and insights from EPI 2024. A detailed
analysis of strengths, weaknesses, threats and opportunities (SWOT) of the state has been
included in the profile. With the above in context, the state profile concluded with the strategic
roadmap focusing on the aspects of
(i) Infrastructure and ecosystem enablement
(ii) Prioritization of specific sectors
(iii) Capacity and competitiveness
(iv) Market development
5.1 Large States
State Profiles5 Export Preparedness Index 2024 40
Andhra Pradesh
Export Preparedness Index 2024 41
5.1.1 Andhra Pradesh
Manufacturing clusters in Andhra Pradesh
Source: Ministry of Commerce and Industry
Introduction
Andhra Pradesh, located in Southeastern India, is a state that stands out for its economic,
cultural, and geographical significance. Surrounded by Telangana, Tamil Nadu, Karnataka,
Odisha, and the Bay of Bengal. It covers 162,968 square kilometers, making it India’s seventh-
largest state. In 2023–24, Andhra Pradesh’s Gross State Domestic Product (GSDP) reached
₹14.4 lakh crore, reflecting a YoY growth rate of approximately 5%. During the same period,
the state recorded total exports worth ₹1.6 lakh crore.
20
Andhra Pradesh has leveraged its 974 km-long coastlines, the second-longest in India along
with well-developed port infrastructure to support export activities, emerging as an important
contributor to India’s external trade. The state’s exports have been growing consistently with
a CAGR of nearly 6% over the past five years from FY20 to FY24, supported by policies that
20 NIRYAT (National Import-Export Record for Yearly Analysis of Trade) Export Preparedness Index 2024 42
promote industrial diversification, infrastructure development, and logistical efficiency. Andhra
Pradesh is one of India’s largest exporters of marine products, contributing ₹24,679 crore in FY24,
primarily driven by aquaculture hubs in districts such as Nellore, Krishna, and East Godavari.
The state also ranks among the top five pharmaceutical exporters, with cities like Visakhapatnam
hosting key pharmaceutical SEZs that contributed over ₹18,410 crore in exports in FY24.
21
The Andhra Pradesh government is driving export-oriented growth through policies that boost
industrialization and infrastructure. The Industrial Development Policy 4.0 (2024–29) aims to
double the state’s exports from ₹1.6 lakh crore to ₹3.4 lakh crore by 2029, with a strong emphasis
on key sectors such as electronics, automobiles, food processing, pharmaceuticals, textiles, and
aerospace.
The Export Promotion Policy 2022–27, known as the APEX Policy, aligns with the export target
presented by the Industrial Development Policy and aims to generate over 5 lakh jobs. The policy
is structured around the “PUSH” framework – Promoting value addition, upgrading infrastructure
and institutions, streamlining processes, and harnessing digital technology. Investments of over
₹2 lakh crore in multi-modal logistics hubs at Visakhapatnam, Kakinada and Krishnapatnam,
alongside greenfield ports at Bhavanapadu and Machilipatnam are enhancing international
connectivity. Andhra Pradesh is also emerging as a leader in renewable energy equipment, with
9.4 GW of installed capacity and tax benefits for solar and wind energy equipment manufacturers.
These efforts have significantly boosted the state’s export competitiveness, particularly in
renewable energy and port-driven industries, positioning it as a key player in global trade.
22, 23
Export Statistics
Source: Ministry of Commerce and Industry
Andhra Pradesh, the 6
th
largest exporting state by value, features a balanced export portfolio driven
by a unique combination of coastal advantage, industrial infrastructure, and Agri-climatic richness.
The state’s maritime economy plays a major role, with world-class seafood exports supported by
an expansive aquaculture sector. In addition, Andhra Pradesh has emerged as a significant player
in pharmaceuticals, processed agricultural commodities, and specialized industrial goods. Its ports
facilitate not just scale but specialization, connecting global markets to inland production hubs.
21 NIRYAT (National Import-Export Record for Yearly Analysis of Trade) Portal
22 AP-Export-Promotion-Policy-2022-27
23 AP Industrial Development Policy2024-29 Export Preparedness Index 2024 43
Source: Ministry of Commerce and Industry
Seafood, especially frozen shrimp, and prawns, is the state’s most dominant export, reflecting the
mature aquaculture ecosystems along the coastline and the value-added cold chain infrastructure
in place. Medicaments form another crucial pillar, largely consisting of formulated drugs that
position the state as part of India’s growing pharmaceutical export base. Interestingly, Andhra
Pradesh also exports significant volumes of floating structures like pontoons, docks, and
drilling platforms indicative of specialized manufacturing aligned with offshore infrastructure.
Tobacco, mostly in stemmed or stripped form, represents a strong agricultural export segment,
leveraging both cultivation and primary processing. Rice exports are also prominent, largely
in the form of semi or wholly milled rice, with some volumes of broken rice, reinforcing the
agrarian legacy of the state.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 44
Among the commodities, solid cane or beet sugar and dried capsicum (chilly and pepper) add
to the Agri-processing base, showcasing the state’s role in food and spice exports. The category
of motor cars stands out, with the state emerging as a manufacturing base for cars across a
range of engine capacities. Ferro-alloy exports, especially various types of ferromanganese and
ferrochromium, highlight the state’s metallurgical capabilities and mineral resource linkages.
Petroleum oil exports, both light and heavier varieties, point to a strong petrochemicals or
refining presence. Altogether, these exports signal a robust industrial capacity, ranging from
automobile assembly to alloy processing and chemical refining. Andhra Pradesh’s export
portfolio, thus, blends traditional strengths in agriculture and marine produce with a growing
industrial and infrastructural export story.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 45 Export Preparedness Index 2024 46
SWOT Analysis
Strengths
Andhra Pradesh has a strong agricultural base, ranking among India’s top producers of rice,
maize, pulses, bananas, mangoes, chilies, and cotton, supporting both domestic and export
demand. It also leads in aquaculture, contributing ~32% to India’s seafood exports in FY24,
with frozen shrimp accounting for 66% of the total. Visakhapatnam Port handled 314,199
tons of seafood worth ₹18,326 crore. The state’s strategic coastal location, with major ports at
Visakhapatnam and Kakinada, ensures global trade access and efficient logistics. Additionally,
industrial clusters in pharmaceuticals, textiles, food processing, electronics, and auto
components, along the Visakhapatnam - Chennai Industrial Corridor (VCIC), drive exports.
Weaknesses
Andhra Pradesh faces a high fiscal deficit and rising debt levels driven by extensive welfare
schemes. The state’s limited revenue generation capacity increases dependence on central
transfers and borrowings. The skilling ecosystem remains misaligned with industry needs in
electronics, marine processing, and pharmaceuticals – many centers lack modern tools and
industry-oriented curricula. Moreover, inland regions like Rayalaseema lag due to inadequate
infrastructure, absence of ICDs/logistics parks and poor connectivity, raising transport costs
and impeding equitable export growth.
Opportunities
Andhra Pradesh has strong potential to expand its export profile by leveraging sectoral
strengths and emerging industries. The state is a leading hub for pharmaceutical exports with
API and formulation clusters that can tap growing global demand for affordable generics and
vaccines. Textiles and apparel exports can be significantly enhanced through the state’s Textile
Policy 4.0, by strengthening domestic value chains, building integrated textile parks, and
linking weavers with global markets. The government’s clean energy initiatives – particularly
in solar, wind, and green hydrogen position Andhra Pradesh as a major exporter of renewable
energy equipment and technology. Additionally, targeted policies to attract investments in
semiconductor manufacturing and electronics can integrate the state into global value chains, Export Preparedness Index 2024 47
complementing the Visakhapatnam - Chennai Industrial Corridor. Expansion of cold chain
and logistics infrastructure, especially in inland regions, can further improve Agri-exports and
diversify the export basket beyond seafood and rice, ensuring inclusive and sustainable export-
led growth.
Threats
Labor migration from drought-prone areas like Rayalaseema and Kurnool due to water scarcity
and poor irrigation creates skill shortages in agriculture and small industries. Meanwhile, the
state’s reliance on a narrow export basket (mainly seafood and rice) heightens exposure to
market fluctuations, trade policy shifts, and cold chain/logistics inefficiencies. Delays at ports
like Kakinada have even prompted exporters to shift operations. In addition, state is highly
vulnerable to frequent cyclones from the Bay of Bengal, causing significant damage to its
coastal regions. Rising sea levels further threaten agriculture and fisheries, impacting livelihood
and the state’s primary exports.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Andhra Pradesh should direct
efforts toward: Export Preparedness Index 2024 48
Bihar Export Preparedness Index 2024 49
5.1.2 Bihar
Manufacturing hubs in Bihar
Source: Ministry of Commerce and Industry
Introduction
Bihar, a state in eastern India, is steadily carving a niche for itself in the nation’s economic and
export landscape. Known historically for its rich cultural heritage and agricultural economy,
Bihar is now making concerted efforts to diversify and strengthen its export sector. In FY24, the
state’s Gross State Domestic Product (GSDP) was at ₹8.5 lakh crore, reflecting a commendable
annual growth rate of around 11% in past 8 years. This upward trajectory underscores Bihar’s
increasing importance in India’s economic framework, driven by agricultural productivity,
industrial expansion, and proactive government policies aimed at export promotion. Export Preparedness Index 2024 50
Agriculture continues to be a cornerstone of Bihar’s economy and export sector. The state’s
fertile Gangetic plains produce high-quality rice, wheat, maize, and baby corn, all of which
contribute significantly to its export revenues. Among these, Shahi Litchi from Muzaffarpur, a
product with a Geographical Indication (GI) tag stands out as a symbol of Bihar’s agricultural
prominence in global markets. Over the past 15 years, the state has seen a substantial increase
in agricultural exports, driven by improved infrastructure and targeted government policies.
Bihar’s petroleum product exports are significantly bolstered by the operations of the Barauni
Refinery, located in Begusarai. Operated by Indian Oil Corporation Limited (IOCL), this
refinery commenced operations in 1964 with an initial capacity of 1 million tons per year and
since expanded to 6 million tons per year. The refinery produces a range of petroleum products,
including diesel, kerosene, petrol, LPG, naphtha, raw petroleum coke, sulfur and bitumen
which are also exported to countries like Nepal.
The Bihar Export Promotion Policy 2024 offers key incentives such as a 1% export subsidy
on FOB value (up to ₹20 lakh annually) and a performance-based subsidy of 1% on additional
export growth (up to ₹10 lakh annually) for seven years. Special category exporters (SC/ST,
women, differently abled, etc.) Receive an additional 15% incentive. The policy also supports
exporters through awards, buyer-seller meets, and promotion of GI and ODOP-linked products.
Additionally, the One District One Product (ODOP) program identifies district-specific products
with export potential and provides targeted support for their promotion. Examples include
Bhagalpuri silk from Bhagalpur, Madhubani paintings from Madhubani, and Sikki crafts from
Darbhanga. This initiative has not only enhanced the export readiness of local industries but
also boosted the incomes of artisans and small-scale producers.
24
Export Statistics
Source: Ministry of Commerce and Industry
Bihar’s export landscape is shaped by a mix of infrastructural advantage, agricultural heritage,
and emerging industrial capabilities. The state plays a crucial role in India’s energy export
ecosystem, while also drawing strength from its agrarian roots and gradually diversifying into
sectors like pharmaceuticals and automotive components. While its export basket remains
relatively concentrated, Bihar shows signs of sectoral breadth, particularly when one looks
beyond the top few commodities.
24 IBEF Export Preparedness Index 2024 51
Source: Ministry of Commerce and Industry
Refined petroleum oils dominate the state’s export profile, with a significant share coming from
heavier oils, although lighter variants are also well represented. This dominance is underpinned
by refinery infrastructure and serves as a reminder that trade volume in the state is as much
about logistics and supply chain placement as it is about local production. The second pillar of
Bihar’s exports is bovine meat, specifically frozen boneless cuts, reflecting a well-organized
meat processing ecosystem supported by livestock-rearing zones in and around the state.
Liquefied petroleum gases also contribute meaningfully, underscoring the state’s broader role in
processed fuel distribution. Bihar’s agricultural foundation comes through in exports of maize
and rice. In maize, almost the entire volume is non-seed grain, signaling surplus production and
strong trade linkages. Rice exports, while spread across categories, are primarily in unhusked
form, with smaller contributions from milled and husked variants indicating opportunities for
more value addition through processing.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 52
In the next tier of exports, Bihar demonstrates an interesting mix of industrial and Agri-based
commodities. The state’s shipments of explosives and propellant powders are notable, suggesting
a niche manufacturing capability, possibly tied to mining or defense-linked applications. In
pharmaceuticals, Bihar exports a variety of medicaments, with mixed formulations forming
the core, but also including specialized products like insulin and antibiotics. These signal an
emerging base in drug manufacturing and packaging. Wheat and potatoes add to the agrarian
backbone of the export profile, driven by consistent production and inter-state demand. Lastly,
the presence of rubber tires especially those for buses, motorcycles, and passenger vehicles
suggests growing capabilities in light manufacturing, with potential to serve both domestic and
export markets more deeply in the years ahead.
Success Stories
EPI 2024 – Results and Conclusion Export Preparedness Index 2024 53 Export Preparedness Index 2024 54
SWOT Analysis
Strengths
Bihar has a youthful and growing population, with over 58% under the age of 25, offering a
dynamic workforce across sectors. The state is capitalizing on this potential through schemes
like the Mukhya Mantri Udyami Yojana and Bihar Laghu Udyami Yojana, disbursing ₹2929
crore to 74,540 beneficiaries to promote MSME growth. Bihar ranks second in MSME
registrations nationally and offers one of the lowest operational costs in India, attracting cost-
sensitive industries. Its GI-tagged products, such as Makhana (90% of global production),
Bhagalpuri Silk, and Shahi Litchi (71% of India’s production), are gaining export momentum
due to their uniqueness and rising global demand.
Weaknesses
Bihar’s export growth is constrained by its limited industrial base, with most economic
activity still driven by agriculture and small-scale enterprises, resulting in a narrow range of
manufactured goods for overseas markets. The state faces significant challenges in accessing
export finance, particularly for MSMEs, which limits their ability to upgrade technology,
improve quality standards, and scale operations to meet global demand. Export activity is also
highly concentrated in a few districts, creating regional imbalances and leaving large parts of
the state underrepresented in global trade.
Opportunities
Textiles and leather offer high export potential, aided by Bihar’s 2022 policy with capital
subsidies and freight support. Agri-based industries can thrive under the Bihar Agri Investment
Promotion Policy (BAIPP), which incentivizes processing units with up to 25% capital subsidy.
With growing demand for organic and health-focused products, Bihar is well-placed to emerge
as an Agri-export hub. Infrastructure developments like the ICD at Bihta, proposed dry ports,
and logistics parks will improve cargo efficiency. Trade promotion initiatives focusing on
products like Makhana, Bhagalpuri silk, and litchi are strengthening Bihar’s global market
visibility. Export Preparedness Index 2024 55
Threats
Significant youth migration due to inadequate local opportunities drains the skilled workforce
necessary for export-led growth. A narrow, traditional export base and the underdevelopment
of high-value sectors like advanced food processing, leather goods, and light engineering
limit diversification. Governance challenges including political instability, administrative
inefficiencies, and law and order issues discourage investment and development. Bihar’s
dependence on central funding, combined with gaps in higher education quality and
accountability, pose long-term risks to sustained economic and export advancement.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Bihar should direct efforts
toward: Export Preparedness Index 2024 56
Chhattisgarh Export Preparedness Index 2024 57
5.1.3 Chhattisgarh
Manufacturing hubs in Chhattisgarh
Source: Ministry of Commerce and Industry
Introduction
Chhattisgarh, with a GSDP of ₹5.0 lakh crore, stands out as a resource-rich and industrially
progressive state, leveraging its mineral base, infrastructure, and policy initiatives to drive
sustained economic growth. Anchored by a robust industrial base, the state boasts 503,439
registered MSMEs, reflecting an impressive 170% year-on-year growth in FY24 over the
previous year. Supporting this momentum are 96 industrial parks and two Special Economic
Zones (SEZs), which form the backbone of its industrial ecosystem, driving production and
export activities.
25, 26, 27
25 Ministry of Commerce & Industry
26 IBEF
27 Ministry of MSME PIB – 11
th
December 2023 Export Preparedness Index 2024 58
Chhattisgarh’s merchandise exports totaled approximately ₹16,883 crore in FY24, marking a
significant decrease from ₹22,426 crore in FY23. While a few key sectors dominate the export
basket, Chhattisgarh’s ongoing efforts to strengthen infrastructure, promote value addition, and
support new industries position it well to expand its export capabilities in the years ahead.
28
Chhattisgarh’s Industrial Policy (2019-2024) and Export Promotion Policy have significantly
contributed to its export growth. These policies provide incentives such as tax benefits, grants
for technology upgrades, and subsidies for export-oriented businesses, fostering a favorable
environment for industries to thrive. The major focus of the policy was towards industries such
as herbal, medicinal plants, minor forest produce, and biofuel/ethanol production, which have
significant export potential.
29
The latest edition of Chhattisgarh Industrial Policy (2024-2030), which came into effect from
November 1, 2024, carries forward the idea incepted in the previous policy edition. The policy
aims to provide a balanced growth to different sections and industries by providing special
incentives to women and third gender entrepreneurs. This is the first time that the state’s
industrial policy has separate incentives for MSMEs and large industries, with a focus on
strengthening logistics and establishing new industrial zones and clusters.
30, 31
Another crucial aspect of the policy is the focus on pollution-free industries, with specific
emphasis on manufacturing EVs and environment friendly products. This commitment ensures
that Chhattisgarh’s growth is not only economically significant but also environmentally
sustainable.
Export Statistics
Source: Ministry of Commerce and Industry
Chhattisgarh’s export landscape is heavily dominated by primary and intermediate industrial
commodities, with a strong showing in agriculture and metals. Rice is the state’s standout export
by a wide margin, underscoring its significant role in India’s food grain trade. Alongside rice,
the export basket is heavily geared toward basic metals particularly aluminum, ferro-alloys,
and iron and steel products reflecting Chhattisgarh’s strength as a mineral-rich and industrially
capable state. These commodities form the backbone of its export economy and represent both
a strength in raw and semi-processed materials and a potential area for downstream value
addition.
28 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
29 Industrial Policy of Chhattisgarh
30 Industrial Policy of Chhattisgarh 2019-2024
31 Industrial Policy of Chhattisgarh 2024-2030 Export Preparedness Index 2024 59
Source: Ministry of Commerce and Industry
The top five HS4 categories - rice, unwrought aluminum, ferro-alloys, steel ingots, and semi-
finished steel, firmly position Chhattisgarh as a major supplier of industrial raw materials. Rice,
both milled and broken, points to strong agricultural productivity and Agri-processing capacity.
In metals, the dominance of unwrought aluminum and ferro-alloys suggests robust extraction
and smelting infrastructure. Steel ingots and semi-finished steel products indicate the state’s
integrated presence in the steel manufacturing value chain. However, these strengths also hint
at an opportunity of moving beyond raw and semi-processed materials into higher margin
finished and engineered products could help Chhattisgarh gain more value per ton exported.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 60
The next five export items - flat rolled steel products, iron ore, structural steel shapes, fabricated
iron/steel structures, and vegetable oils, extend the picture of an economy rooted in extractive
and heavy industries, with emerging signals of diversification. Flat rolled and hot/cold-rolled
steel products suggest some downstream processing already exists, which could be scaled
further. Iron ore exports continue to reflect the state’s natural resource base, while structural
steel exports indicate demand for fabricated goods in global infrastructure projects. Vegetable
oils, though smaller in value, signal a growing presence in Agri-based exports. Strategic
investments in value-added steel, food processing, and renewable materials could help diversify
and upgrade Chhattisgarh’s export offerings, making it more globally competitive.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 61 Export Preparedness Index 2024 62
SWOT Analysis
Strengths
Chhattisgarh is endowed with abundant natural resources holding over 15% of India’s coal
reserves and significant deposits of iron ore, bauxite, and dolomite, alongside fertile plains
and a favorable climate that support paddy, maize, and pulses, enabling both mineral- and
Agri-based exports. A strong industrial base, particularly in metals, alloys, and cement, is
well-supported by the state’s power-surplus status, ensuring uninterrupted supply to industries.
Proactive government measures, including the Single Window System (SWS) and the upgraded
one click Unified Industrial Portal, have further streamlined approvals, enhanced ease of doing
business, and strengthened Chhattisgarh’s position as an attractive destination for export-
oriented enterprises.
Weaknesses
Despite its industrial potential, Chhattisgarh faces significant infrastructure gaps, particularly
in logistics and multimodal connectivity, which hinder efficient export movement. Many
key industrial hubs lack integrated freight and warehousing solutions, forcing most exports
to transit through distant seaports like Visakhapatnam or Paradip, both over 500 km away,
adding time and cost. The state also struggles with skill and labor shortfalls in high-value
and specialized sectors, limiting diversification into advanced manufacturing and technology-
driven industries. Additionally, Chhattisgarh’s export basket remains narrow, with a heavy
dependence on mineral-based products, making it vulnerable to price fluctuations and global
commodity cycles while constraining growth in value-added and innovation-led sectors.
Opportunities
Chhattisgarh is well-positioned to expand its food processing sector by leveraging its strong
agricultural base, supported by investments in modern cold chain infrastructure to meet global
demand for packaged and value-added food products. Targeted agro-industrial clusters can
help tap high-growth export markets in the Middle East, Southeast Asia, and Africa. The state
is also focusing on diversifying into emerging sectors such as electronics, renewable energy
and technical textiles, underpinned by industrial park development and skill enhancement Export Preparedness Index 2024 63
programs. In the pharmaceutical space, promoting backward integration of medicinal herbs,
drawing on the state’s biodiversity and over 1,500 varieties of medicinal plants, can strengthen
the value chain for Ayush-based products, supported by initiatives like the 141.8-acre Pharma
Park in Naya Raipur focused on R&D and innovation. Additionally, developing logistics parks,
Inland Container Depots (ICDs), and multimodal hubs can significantly improve connectivity,
reduce export costs and improve transit times.
Threats
The state’s heavy dependence on core sectors such as mining, minerals, and heavy industries
makes it highly vulnerable to global commodity price fluctuations, especially in iron ore
and steel, which can disrupt revenues and output. Intensifying competition from other states
with better connectivity, diversified export bases, and more advanced infrastructure poses a
challenge to attracting and retaining investment. Additionally, escalating global compliance
and sustainability standards particularly in environmental norms, labor practices, and carbon
emissions could increase operational costs for exporters, requiring significant adaptation.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Chhattisgarh should direct
efforts toward: Export Preparedness Index 2024 64
Gujarat Export Preparedness Index 2024 65
5.1.4 Gujarat
Introduction
Manufacturing hubs in Gujarat
Source: Ministry of Commerce and Industry
Gujarat, located on the Western coast of India, has the longest coastline of 1,600 kms among all
the states in the country. Being one of the leading industrialized states of the country, Gujarat
has a GSDP of ₹24.3 lakh crore (growing at a rate of 9.2% per annum) and contributing ~9%
of India’s GDP in FY24. Export Preparedness Index 2024 66
Gujarat’s industrial landscape spans petrochemicals, textiles, pharmaceuticals, automotive and
engineering. In addition, the state holds a leading position nationally in ceramic and chemical
manufacturing. Gujarat is also considered the petroleum capital of India due to presence of
large refining capacity set up by private and public sector companies and export value of ₹5.0
lakh crore. The state is the world’s largest producer of processed diamonds, accounting for
72% of the world’s processed diamond industry and 80% of India’s diamond exports. With a
contribution of 65% - 70% to India’s denim production, Gujarat is the largest manufacturer of
denim in the country and the third largest in the world.
Gujarat has a world-class infrastructure network supporting its trade and industries. With 42
ports, including major ones like Mundra, Kandla and Pipavav, the state handles 40% of India’s
total maritime cargo. With 17 domestic airports and 3 international airports, Gujarat serves
as a gateway to gulf countries like Dubai and Abu Dhabi. Strategic industrial hubs include
Special Economic Zones (SEZs) like Dahej, Hazira, and Sanand, alongside GIFT City, which
specializes in financial services. Industrial parks and corridors further enhance its logistical
capabilities. Key export districts include Surat (diamonds and textiles), Jamnagar (petroleum
refining), Bharuch (chemicals), Morbi (ceramics) and Rajkot (engineering goods), which form
the backbone of Gujarat’s export success.
The state government actively promotes industrial growth through policies and initiatives.
Gujarat’s Industrial Policy 2020 and IT-ITES Policy 2022-27 focus on ease of doing business,
research and development, and skill development, while programs like Vibrant Gujarat boost
investment outreach. The MSME sector is supported by initiatives like “Atmanirbhar Gujarat
MSME Yojana” and “One District, One Product,” which promote localized manufacturing and
exports. Notably, Morbi contributes 80% of India’s ceramic exports, showcasing Gujarat’s
leadership in specialized industries. This robust ecosystem, backed by efficient governance and
strategic geography, positions Gujarat as a key player in India’s export landscape.
Export Statistics
Source: Ministry of Commerce and Industry
Gujarat continues to lead in merchandise exports, with a strong concentration in high-value
commodities. The top HS4-level export categories from the state include Petroleum oils,
Diamonds, Pesticides, Ceramic tiles, and Jewelry articles. These categories are driven by the
presence of robust infrastructure, a well-developed port network including Mundra and Kandla,
and strong private sector participation. Gujarat’s petroleum cluster is anchored by massive
refinery capacities in Jamnagar and Vadodara, enabling dominance in petroleum oil exports.
The diamond polishing and trading ecosystem in Surat gives Gujarat a global competitive edge, Export Preparedness Index 2024 67
while Morbi’s ceramic cluster powers its ceramic tile exports. Similarly, the state’s chemical
and pharmaceutical zones support exports of pesticides and medicaments, backed by industrial
policies that facilitate manufacturing and scale.
Source: Ministry of Commerce and Industry
A closer look at the top five exports highlights Gujarat’s export strengths. In Petroleum
oils, both light oils and other petroleum oils form the backbone of the state’s export value,
demonstrating the breadth of refinery output. In Diamonds, Gujarat exports both worked, non-
industrial diamonds and rough, unworked diamonds, reflecting the value addition carried out
in Surat’s diamond cutting units. In Pesticides, Gujarat’s exports span herbicides, insecticides,
and fungicides, supported by the state’s large-scale agrochemical industry. Within Ceramic
tiles, exports are diversified across products with varying water absorption levels indicative of
product customization for different international markets. Under Jewelry, both silver jewelry
and precious metal jewelry are exported, reflecting Gujarat’s evolving capabilities in gem and
jewelry design and manufacturing.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 68
Beyond the top five categories, the next set of export commodities reveals untapped export
potential for Gujarat. Products such as medicaments, solar panels, and heterocyclic compounds
suggest opportunities for deeper value chain integration in the pharmaceutical and electronics
sectors. Similarly, raw cane sugar and solid sugar, and aromatic hydrocarbons like para-xylene
point to emerging capabilities in agro-processing and petrochemicals. Strategic interventions
– such as improving R&D, strengthening export logistics and expanding global certifications
– can enable Gujarat to scale up in these sectors. These categories represent a significant
opportunity for diversification and future export growth, aligning with the state’s broader
industrial strategy.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 69 Export Preparedness Index 2024 70
SWOT Analysis
Strengths
Gujarat’s export dominance is anchored by its robust logistics and industrial base. The state’s
1,600 km coastline and major ports - Mundra and Kandla handle over 40% of India’s cargo
and 30% of its exports. Supported by the Western Dedicated Freight Corridor, 77,000 km of
roadways, multiple airports, and strategically located inland container depots, Gujarat ensures
seamless and cost-efficient trade flows. The state’s manufacturing sector contributes over
30% to its GSDP (compared to the national average of 17%) and plays a key role in driving
exports. Gujarat leads in the export of chemicals (35% share), pharmaceuticals (28%), and
petroleum products (over 50%), alongside strong sectors like engineering goods and textiles.
Surat processes more than 90% of the world’s rough diamonds, reinforcing Gujarat’s global
leadership in precision industries. Favorable trade policies such as SEZ benefits, bonded
warehousing, and duty drawback schemes further strengthen its competitiveness. Industrial
clusters in Ahmedabad, Surat, Rajkot, Bharuch, and Morbi contribute to a well-diversified
industrial ecosystem, making Gujarat a cornerstone of India’s merchandise exports.
Weaknesses
Gujarat’s export profile is heavily skewed towards petroleum and petrochemical products,
which make up over half of the state’s total export value exposing it to global oil price volatility
and environmental policy shifts. In FY24 alone, petroleum exports reached ₹5.2 lakh crore, a
4.3x increase over four years. Despite a strong manufacturing base, the state’s export basket
remains heavily dependent on traditional sectors such as petroleum, gems and jewelry, and
textiles, limiting diversification into emerging high-growth industries. Regional imbalances
also persist, with export activity concentrated in cities like Ahmedabad, Surat, and Jamnagar,
creating disparities in industrial development and infrastructure access. This regional skew
increases vulnerability to localized disruptions and limits equitable economic growth across
the state. Export Preparedness Index 2024 71
Opportunities
Gujarat is well-positioned to diversify and upgrade its export mix through sunrise sectors
like renewable energy, electric mobility, aerospace, pharmaceuticals, and agri-tech supported
by dedicated policies and investments. As global manufacturers adopt a China+1 strategy,
Gujarat’s chemical and pharma dominance (35% and 28% of national output respectively)
offers a compelling alternative. The state also stands to gain from India’s recent FTAs with
the UAE (CEPA), Australia (ECTA), and upcoming FTA with the UK, particularly in textiles,
petrochemicals, pharma, and engineering. Agriculture and aquaculture present untapped
potential: Gujarat exported 689 MT of mangoes including GI-tagged Kesar mangoes and
doubled pulse exports in FY24. It ranks second in seafood exports, with 345,052 MT of
marine products. Initiatives like PMMSY and specialized facilities (e.g., the USDA-certified
irradiation plant in Ahmedabad) boost the competitiveness of Gujarat’s Agri-marine exports in
quality-sensitive markets.
Threats
Gujarat faces intensifying competition from emerging economies such as Vietnam, Bangladesh,
Indonesia, and Mexico, which are capturing global market share through lower labor costs,
favorable FTAs (e.g., EU-Vietnam FTA, USMCA), and strong export incentives. Within
India, states improving on ease of doing business and infrastructure are also attracting greater
FDI. Gujarat’s slower pace in adopting innovation, bureaucratic bottlenecks, and policy
unpredictability risk diminishing its first-mover advantage. Overdependence on petroleum
exports makes the state highly susceptible to global crude price volatility, energy transition
trends, and regulatory shifts. Broader global trade uncertainties such as trade wars, protectionist
measures, and supply chain disruptions pose further risks to Gujarat’s export resilience. Strategic
diversification of products, markets, and value-added capabilities is essential for maintaining
Gujarat’s long-term export leadership.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Gujarat should direct efforts
toward: Export Preparedness Index 2024 72
Haryana Export Preparedness Index 2024 73
5.1.5 Haryana
Introduction
Manufacturing hubs in Haryana
Source: Ministry of Commerce and Industry
Haryana, a dynamic state in Northern India, is a significant contributor to the country’s economy
and agricultural output. Spanning an area of 44,212 square kilometers, it shares borders with
Punjab, Rajasthan, Himachal Pradesh, Uttar Pradesh, and the national capital, Delhi. Its strategic
location in the National Capital Region (NCR) has made it a hub for industries, infrastructure,
and urban development. Haryana has one of the highest urbanization rates in India, yet its
economy remains deeply rooted in agriculture. Often called the “Breadbasket of India” along
with Punjab, Haryana is a leading producer of wheat, rice, and dairy products, supported by an Export Preparedness Index 2024 74
extensive canal irrigation system, including the Bhakra Nangal project.
32, 33

Haryana’s economy is a mix of traditional agriculture and modern industries, making it one of
the wealthiest states in India. The GSDP for 2023-24 stood at ₹10.9 lakh crore, growing at a
healthy rate of 9.4%. Agriculture continues to play a vital role, contributing about 15% to the
GSDP. The state has a highly mechanized farming system and benefits from its proximity to
major markets like Delhi and Chandigarh. At the same time, Haryana is a leader in industrial
and service sectors. Key industries include automobile manufacturing, IT, textiles, and real
estate, with major industrial hubs in Gurugram, Faridabad, Panipat, and Sonipat. Over 60%
of India’s automobile exports originate from Haryana, driven by facilities from companies
like Maruti Suzuki and Hero MotoCorp. Gurugram has emerged as a global IT and financial
hub, hosting multinational companies, and contributing significantly to the state’s economic
growth.
34, 35

The Haryana Export Promotion Policy 2020 aimed to boost exports to ₹2 lakh crore by 2025,
focusing on sectors like automobiles, textiles, Agri-products, pharmaceuticals, and IT services.
Key initiatives included establishing Export Promotion Industrial Parks (EPIPs) and Export
Facilitation Centers, with major hubs along the major highways. Financial incentives like
logistics subsidies and market development assistance were introduced. By 2024, Haryana’s
exports reached ₹1.5 lakh crore.
Export Statistics
Source: Ministry of Commerce and Industry
Haryana emerges as a key contributor to India’s export ecosystem, driven by its robust
automotive manufacturing, Agro-processing, and textile sectors. The state’s top export
categories include rice, motor vehicle parts, motor cars, motorcycles, and jewelry articles.
Haryana benefits from its proximity to the national capital region, a strong industrial base in
cities like Gurugram, Manesar, Faridabad, and Panipat, and seamless connectivity through
road and rail infrastructure. The state’s strength in rice exports is supported by extensive paddy
cultivation in northern districts, while its automotive exports are propelled by the presence of
global OEMs and a dense supplier network.
32 IBEF
33 Department of Economic and Statistical Affairs – Government of Haryana
34 IBEF
35 Department of Economic and Statistical Affairs – Government of Haryana Export Preparedness Index 2024 75
Source: Ministry of Commerce and Industry
At a deeper level, Haryana’s auto sector dominance is visible through a range of specific vehicle
components exported globally. These include brakes and servo-brakes, gear boxes, steering
systems, silencers, and drive axles, all of which showcase the state’s high level of engineering
capability and deep integration in global supply chains. In addition to parts, the export of motor
cars in categories below 1500cc and motorcycles with engines between 50cc and 250cc further
highlight the role of large automotive plants and export-oriented production facilities in the
state. Rice exports, particularly semi or wholly milled rice, continue to be a strong performer,
with Karnal, Kurukshetra, and Kaithal playing central roles in both production and processing.
Haryana also contributes to jewelry exports, particularly in precious metal jewelry, supported
by clusters of skilled artisans and traders.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 76
Looking beyond the top segments, Haryana also holds significant export potential in
emerging and traditional sectors. In apparel, the state exports women’s cotton and synthetic
dresses, indicating a growing garment manufacturing base. The export of turbojets and their
components reflects Haryana’s growing capabilities in aerospace and precision engineering.
Traditional sectors like carpet weaving with products made from wool, man-made fibers, and
mixed textiles, draw on Panipat’s historical textile strengths and export legacy. Additionally,
jewelry parts and coins made of precious metals, as well as toilet linen and terry fabric, point
to Haryana’s broader potential in both the luxury and home textile segments. With increased
focus on value addition, branding, and export infrastructure, Haryana can further consolidate
its position as a high-performance export-oriented state across diverse sectors.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 77 Export Preparedness Index 2024 78
SWOT Analysis
Strengths
Haryana is a major industrial and export hub, driven by strong infrastructure, a strategic location,
and vibrant sectoral clusters. It hosts leading manufacturing centers for automobiles and auto
components (Gurugram, Manesar, Faridabad), textiles (Panipat), and electronics (Gurugram),
forming a solid foundation for export-led growth. With over 160 Industrial Training Institutes
(itis) and numerous engineering colleges, Haryana ranks among the top states in technical
education, supplying a skilled workforce. The state has consistently ranked high in national
Ease of Doing Business rankings, supported by investor-friendly policies and streamlined
approval mechanisms. In FY24, Haryana achieved merchandise exports of approximately ₹1.5
lakh crore, making it India’s 7th largest exporting state. It’s well-developed road network of
over 26,000 km, including expressways like KMP, KGP, and the Delhi-Mumbai Expressway,
ensures efficient connectivity. Proximity to ports via the Western Dedicated Freight Corridor
further enhances logistics efficiency, enabling faster and more cost-effective exports.
Weaknesses
Haryana’s export ecosystem is marked by regional imbalance - Gurugram, Karnal, and
Faridabad together account for 64% of the state’s exports. Northern and western parts of the
state remain industrially underdeveloped, leading to unequal economic growth and employment
distribution. Despite a robust manufacturing base, the export-to-GSDP ratio was only about
13% in FY24, trailing states like Gujarat and Maharashtra. Haryana’s export basket also lacks
diversification, with limited presence in high-tech or innovation-driven sectors. Much of its
manufacturing output caters to the domestic market. These structural gaps highlight the need
for targeted policies to spread industrial development, diversify the export base, and boost
high-value, technology-intensive exports.
Opportunities
Haryana has significant potential to expand exports in emerging and value-added sectors. The
Haryana Electric Vehicle Policy 2022, offering subsidies, tax incentives, and dedicated EV
parks, positions the state to become a key global player in EV and green mobility exports. Its
strategic location and technical workforce further support this opportunity. The state’s strong Export Preparedness Index 2024 79
agricultural base also presents export potential through food processing. By transforming
produce such as wheat, fruits, and dairy into value-added products like juices and ready-to-eat
meals, Haryana can tap into growing global demand. Infrastructure like Mega Food Parks and
cold chain incentives bolster this potential. Additionally, the One District One Product (ODOP)
initiative, combined with schemes like PMFME, can help scale niche exports through district-
focused development, improved market linkages, and targeted capacity building. In Addition,
the state can leverage its industrial strength and NCR proximity to develop integrated digital
export facilitation systems. State and district-level digital platforms with real-time trade data,
e-certification, and customs support can especially benefit MSMEs and first-time exporters.
Partnerships with DGFT, FIEO, and Invest India can streamline compliance through integration
with national digital trade platforms.
Threats
Haryana’s export resilience is challenged by overdependence on a limited set of markets
primarily the U.S., UAE, and Europe, exposing it to external shocks from geopolitical tensions
or trade policy changes. Chronic air pollution in industrial hubs like Gurugram, Faridabad,
and Panipat threatens sustainable industrial growth. Regulatory shutdowns under GRAP
disrupt operations, raise compliance costs, and strain MSMEs, while deteriorating air quality
affects workforce productivity. Environmental concerns could also restrict market access, as
global buyers prioritize ESG-compliant sourcing. Severe groundwater depletion and over-
extraction, particularly in industrial hubs like Gurugram, threaten the long-term sustainability
of manufacturing activity. Rising water stress increases regulatory risks and may disrupt
production critical to merchandise exports.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Haryana should direct efforts
toward: Export Preparedness Index 2024 80
Jharkhand Export Preparedness Index 2024 81
5.1.6 Jharkhand
Manufacturing hubs in Jharkhand
Source: Ministry of Commerce and Industry
Introduction
Jharkhand is a major state in eastern India and known for its dense forests, rich cultural heritage
and a growing economy. Forests and woodlands occupy more than 29% of the state which is
amongst the highest in India. Jharkhand, one of the richest mineral zones globally, holds 40%
of India’s total mineral reserves and 29% of its coal reserves, making mining and mineral
extraction its dominant industries. The state is uniquely endowed with resources like coking
coal, uranium, and pyrite, alongside significant reserves of iron ore, copper, mica, and bauxite.
With a mineral production of 138.2 million tons in FY23, Jharkhand plays a pivotal role in Export Preparedness Index 2024 82
India’s resource-based economy. The state achieved a GSDP of ₹5.06 lakh crore in FY24,
reflecting an impressive 8% growth over the past two years.
36
Jharkhand’s MSME sector witnessed an extraordinary 156% growth in FY24, highlighting its
critical role in driving GDP and exports. With abundant natural resources and a strategic focus
on industrializing rural areas, the state offers immense potential for establishing mineral-based
industries. Jharkhand’s export performance underscores its economic strength with exports
reaching ₹15,899 crore in FY24. The state is a dominant player in the production of Tussar
silk, contributing 76.4% of India’s total output, and has a strong export profile in iron, steel,
and auto parts. Iron and steel products accounted for 30% of Jharkhand’s total exports in FY24,
reflecting the state’s crucial role in India’s industrial and export economy.
37, 38, 39

Despite its impressive economic growth, Jharkhand still faces challenges with one of the lowest
per capita incomes in India, highlighting the need for more equitable income distribution
and improved living standards for its residents. The state’s economic progress has also been
hindered by the COVID-19 pandemic, which disrupted supply chains and led to a sharp decline
in demand. Industries such as construction, mining, tourism, and engineering were hit hard,
contributing to a significant 43% drop in exports.
40, 41, 42

Jharkhand’s MSME Promotion Policy 2023 is a strategic initiative aimed at accelerating the
growth of micro, small, and medium enterprises, unlocking significant employment potential
within the state. The policy focuses on modernizing and upgrading technology, providing
essential common facilities, and enhancing product design and marketing capabilities. By
offering both financial and non-financial incentives, the policy strives to make Jharkhand’s
MSMEs globally competitive, ensuring their products are both innovative and commercially
viable. The Jharkhand Export Policy 2023 aims to propel the state’s export growth and increase
its share in India’s total exports to 5% by 2028. The policy focuses on creating a proactive
institutional mechanism, implementing effective export promotional strategies, and enhancing
infrastructure like high-speed internet and seamless transport systems for consignment
movement. These initiatives are designed to empower Jharkhand’s industries, including
MSMEs, to access global markets efficiently and competitively, fostering long-term economic
growth and sustainability.
43, 44

36 IBEF
37 Ministry of MSME
38 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
39 Department of Industries - Jharkhand
40 Department of Industries - Jharkhand
41 Jharkhand Industrial and Investment Policy 2021
42 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
43 MSME Policy of Jharkhand 2023
44 Export Policy of Jharkhand 2023 Export Preparedness Index 2024 83
Export Statistics
Source: Ministry of Commerce and Industry
In FY24, Jharkhand’s export landscape, while modest in value, was characterized by a strong
concentration in industrial commodities, particularly iron and steel-related products. The top
ten exported product groups included electrical energy, various categories of flat-rolled iron
and non-alloy steel, motor vehicle parts, ferro-alloys, and iron ores and concentrates. Other
significant exports were stranded wire and steel cables, ball and roller bearings, crushed stone
for construction use, and different forms of mica. Though electrical energy is not classified
as a merchandise good, it still features in the state’s outward flow, underlining the integrated
industrial and energy base of Jharkhand. Overall, despite the limited size of its exports, the
state’s outbound trade reflects its deep-rooted industrial capabilities, especially its reliance on
the iron and steel value chain.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 84
A detailed view of the top five export categories highlights Jharkhand’s strength in primary and
intermediate industrial products. Electrical energy exports, while not traditional merchandise,
suggest surplus generation capacity and cross-border grid connectivity. The flat-rolled iron
and non-alloy steel segment consists mainly of hot-rolled products under 3mm thickness and
thicker grades used in construction and manufacturing indicative of the state’s large-scale
steel production facilities. Motor vehicle parts exports include drive axles with differentials
and a wide range of accessories, possibly reflecting ancillary units near industrial clusters
like Jamshedpur. In ferro-alloys, Jharkhand exported various grades of ferromanganese,
ferrosilicon, and ferrochromium, leveraging its access to manganese and other minerals as
well as established smelting infrastructure. The fifth key category, iron and non-alloy steel
products of width 600mm or more, included items like tin-plated and uncoated flat-rolled steel,
showcasing the state’s metallurgical processing depth.
Source: Ministry of Commerce and Industry
The next five categories also emphasize Jharkhand’s industrial fabric and mineral resources.
Stranded wire, ropes, and steel cables reflect downstream applications of its steel industry,
catering to infrastructure and transport sectors. In the iron ores segment, both agglomerated
and non-agglomerated forms were exported, highlighting Jharkhand’s mining strength and
access to rich ore belts. Ball and roller bearings, including tapered variants and their parts,
point to precision engineering capabilities linked to the automobile and machinery sectors.
Construction-grade stone such as pebbles and crushed aggregates, originates from the state’s
mineral-rich terrain and supports regional infrastructure demand. Lastly, mica exports in the
form of crude sheets, waste, and powder underscore Jharkhand’s historical prominence in
the global mica trade. While the overall export volumes remain modest, the mix of energy,
metallurgy, automotive components, and mined materials paints a picture of an industrially
anchored but under-leveraged export base. Export Preparedness Index 2024 85
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 86
SWOT Analysis Export Preparedness Index 2024 87
Strengths
Jharkhand possesses a growing and diversified industrial base with strong representation in
steel, heavy engineering, automotive components, chemicals, and textiles. Industrial clusters
such as Jamshedpur, Bokaro, and Ranchi host large-scale units alongside MSMEs, creating an
integrated supply chain environment. The state is also richly endowed with natural resources
and Agri-products, including lac, silk, maize, pulses and horticultural produce, giving it a
broad product base for both domestic consumption and exports. Jharkhand’s mineral wealth,
comprising significant reserves of coal, iron ore, bauxite, and mica, forms the backbone of its
manufacturing sector and provides the raw material base for industries with export potential.
Moreover, the availability of skilled manpower in trades such as welding, fabrication, machinery
operation, and maintenance contributes to higher productivity levels and positions the state to
attract more manufacturing and processing investments.
Weaknesses
While resource-rich, Jharkhand’s export basket remains concentrated in low value-added
commodities, limiting its ability to capture higher margins and compete in sophisticated global
markets. The state’s industrial sector is periodically hampered by power shortages, particularly
in smaller industrial areas, which increases production uncertainty and reduces competitiveness
for time-sensitive export orders. Export readiness gaps are evident in areas such as product
certification, packaging standards, branding initiatives, and participation in international trade
fairs, factors that restrict the visibility of Jharkhand’s products in global value chains. Limited
logistics connectivity to major ports further adds to transit times and costs, particularly for
perishable and high-value goods.
Opportunities
Jharkhand stands to benefit, as multinational companies seek new sourcing and manufacturing
destinations to diversify their supply chains. With its mineral wealth, established industrial
hubs, and competitive labor costs, Jharkhand is well-positioned to attract export-oriented
investments. Beyond its mineral strengths, the state has untapped potential in Agri-processing,
particularly in processing lac, tamarind, fruits, and spices, which can open new value-added
export avenues. There is also significant scope for downstream steel diversification, enabling
the production of high-value products such as automotive steel, specialty alloys, and fabricated
components for global markets. Additionally, the textile and apparel industry present an
emerging growth sector, supported by the availability of raw materials like silk and cotton,
which can be harnessed through skill development and investment in modern manufacturing
facilities.
Threats
Jharkhand’s heavy reliance on minerals and metals such as iron ore, coal, and mica create
structural vulnerability to global commodity price cycles, where downturns can quickly erode
export revenues and destabilize mining-dependent regions. At the same time, the state is
under competitive pressure from other mineral-rich and industrially advanced states, which
are leveraging superior infrastructure, sector-specific incentives, and aggressive investment
promotion to capture industries such as steel, textiles, and Agri-processing. On the international
front, shifting trade dynamics are raising entry barriers, with buyers demanding stricter quality
standards, low-carbon production, and full supply-chain transparency. Export Preparedness Index 2024 88
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Jharkhand should direct efforts
toward: Export Preparedness Index 2024 89 Export Preparedness Index 2024 90
Karnataka Export Preparedness Index 2024 91
5.1.7 Karnataka
Manufacturing hubs in Karnataka
Source: Ministry of Commerce and Industry
Introduction
Karnataka, located in the Southwestern region of India, plays a significant role in India’s
industrial and economic landscape. With a GSDP of over ₹22.9 lakh crore (FY24), it remains
a major contributor to India’s GDP and has a prominent role in export activities. Karnataka’s
export portfolio is diverse, with major commodities including IT and software services, mineral
oils, machinery and equipment, pharmaceuticals as well as ready-made garments. In FY24, the
state’s exports were valued at ₹2.2 lakh crore.
45, 46

45 IBEF
46 NIRYAT (National Import-Export Record for Yearly Analysis of Trade) Export Preparedness Index 2024 92
Karnataka boasts a robust road infrastructure that ensures seamless connectivity across the
state and with neighboring regions, facilitating efficient trade logistics. The Kempegowda
International Airport in Bengaluru and the New Mangalore Port serve as vital gateways for
exports, significantly enhancing the state’s global trade capabilities. Furthermore, Karnataka
stands out as a consistent leader in service exports, driven by its globally recognized IT and
software industries that contribute over 41% of India’s total services exports. Karnataka is
well-positioned to capitalize on several emerging trends and global demands in the export
sector. The state’s expertise in advanced technologies such as artificial intelligence, the Internet
of Things (IoT) and robotics aligns with the growing global demand for innovation.
47, 48, 49, 50

In FY23, the state experienced a 7% growth in exports compared to the previous year, reflecting
a positive performance and increased demand. However, in FY24, this momentum reversed,
with exports declining by approximately 4%. Karnataka’s contribution to merchandise exports
stands at 6%, indicating an opportunity to strengthen its presence in this area.
51, 52

Karnataka is actively exploring new opportunities to enhance its export potential. The state aims
to leverage bilateral trade opportunities, identify international trade events, and organize buyer-
seller meets to promote its products. By engaging with 28 Indian consulates across regions
like Europe, North America, South America, Southeast Asia and Australia, Karnataka seeks to
expand its global footprint. Karnataka’s Industrial Policy 2020-25 offers a strong foundation
to boost exports by fostering a favorable environment for industries to grow and compete
globally. The policy emphasizes infrastructure development, such as establishing export hubs
and strengthening logistics, which can streamline supply chains and reduce costs for exporters.
Financial incentives such as subsidies, tax exemptions and grants for R&D further attract
investment in export-driven industries.
53, 54

Export Statistics
Source: Ministry of Commerce and Industry
47 Government of Karnataka
48 FICCI (Federation of Indian Chambers of Commerce & Industry)
49 Ministry of Micro,Small & Medium Enterprises-MSME PIB
50 MoRTH Annual Report 2023-24
51 FICCI (Federation of Indian Chambers of Commerce & Industry)
52 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
53 FICCI (Federation of Indian Chambers of Commerce & Industry)
54 Karnataka Industrial Policy 2020-2025 Export Preparedness Index 2024 93
Karnataka’s export profile reveals a robust industrial ecosystem driven by energy, electronics,
natural resources, and high-tech manufacturing. Petroleum oils stand out as the state’s top
export, indicating the strength of its refining capabilities. This is followed closely by high-
value electronic goods particularly smartphones and telecom equipment signaling Karnataka’s
role in India’s growing electronics and semiconductor ambitions. Commodities like coal tar
oils and iron ore point to the state’s natural resource wealth, while coffee exports reinforce
its prominence in agri-based exports. Overall, Karnataka exhibits a healthy mix of traditional
strengths and modern industrial capabilities, suggesting strong potential to move up the value
chain across multiple sectors.
Source: Ministry of Commerce and Industry
The top five HS4 commodities petroleum oils, telecom equipment, coal tar oils, iron ores, and
coffee highlight the dual nature of Karnataka’s export engine: resource-rich sectors and high-
tech manufacturing. Petroleum exports dominate, driven primarily by heavy and light oils,
with scope for further refining efficiency and integration with global fuel demand. Telecom
equipment, especially smartphones, represents a fast-growing strength, supported by electronics
manufacturing clusters around Bengaluru and underpinned by strong policy support. Coal tar
derivatives, largely used in industrial processes, offer room for diversification into higher-end
chemicals. Iron ore exports underline Karnataka’s mining advantage, though greater focus on
value-added steel products could enhance returns. Coffee exports, already globally reputed, can
be leveraged further through branding, specialty varieties, and sustainable sourcing initiatives. Export Preparedness Index 2024 94
Source: Ministry of Commerce and Industry
The next five commodities electric transformers, aerospace parts, motor cars, pharmaceuticals,
and shirts showcase Karnataka’s potential in complex manufacturing and value-added
goods. Electrical converters and components underscore a thriving electronics and power
equipment sector. Aerospace parts, primarily from Bengaluru’s aerospace corridor, reflect
deep capabilities in precision manufacturing and are ripe for global supply chain integration.
Exports of cars and medicaments show that Karnataka’s automotive and pharma industries are
scaling effectively, though further investment in R&D and design capabilities could unlock
greater competitiveness. Apparel, especially men’s shirts, rounds off the top 10 and indicates
the presence of a labor-intensive sector that could be upgraded with focus on design, branding,
and sustainable practices. These sectors, collectively, offer Karnataka a pathway to deepen and
diversify its export footprint.
Success Stories Export Preparedness Index 2024 95
EPI 2024-Results and Conclusions Export Preparedness Index 2024 96
SWOT Analysis
Strengths
Karnataka’s diverse and technologically advanced manufacturing base is a key driver of its
strong export performance. The state excels in high-value sectors like aerospace, defense,
electronics, auto components, biotechnology, and engineering. Its export hubs benefit from
seamless connectivity through highways, railways, airports and ports, alongside modern
logistics and customs facilities that boost efficiency. The state is also a home to top-tier
research institutes and a deep talent pool, with over 200 engineering colleges and numerous
R&D centers supplying skilled manpower to high-tech and export-oriented sectors. In FY24,
the state’s merchandise exports reached approximately ₹2.5 lakh crore, reinforced by Special
Economic Zones (SEZs), industrial parks, and startup support, cementing Karnataka’s position
as a top export hub in India. Export Preparedness Index 2024 97
Weaknesses
Karnataka’s export competitiveness faces significant challenges due to high operational costs
including labor wages, real estate, and energy particularly in cities like Bengaluru. These
costs strain SMEs, reduce price competitiveness in global markets, and deter new investments
compared to lower-cost regions. Moreover, despite the state’s strong industrial capabilities,
manufacturing contributes only about 12.5% to the Gross State Domestic Product (GSDP),
highlighting an under-leveraged sector with considerable scope for expansion. This relatively
modest share indicates that the state’s economic growth is still heavily dependent on services,
leaving manufacturing-driven exports underdeveloped. Additionally, Karnataka’s exports are
heavily concentrated in a few districts such as Bengaluru, Mysuru and Tumakuru, leading
to uneven regional development and limiting growth elsewhere. This concentration increases
vulnerability to localized disruptions and underuses the state’s broader resources and workforce,
making it vital to expand export activities beyond these hubs for more balanced and sustainable
growth.
Opportunities
Karnataka presents strong opportunities to expand its export sector by aligning with India’s
sunrise industries such as electronics, electric vehicles, aerospace, biotechnology, and renewable
energy. These sectors are supported by forward looking policies like the Karnataka Electric
Vehicle and Energy Storage Policy and the development of biotech clusters in Bengaluru,
underpinned by strong R&D capabilities and a skilled talent pool. The state also leverages digital
initiatives such as the AI-powered Single Window System and SME Connect portal to simplify
approvals and strengthen exporter-buyer linkages, thereby enhancing market access and ease
of doing business. The evolving global “China +1” strategy where companies diversify their
supply chains away from over-reliance on China creates a significant opening for Karnataka
to position itself as a preferred alternative manufacturing and export hub. By leveraging its
advanced industrial infrastructure, skilled manpower, and business-friendly reforms, the
state can attract new investments from global manufacturers seeking supply chain resilience.
Additionally, through the Global Innovation Alliance - Market Access Program (GIA-MAP),
around 40 startups have already entered global markets such as the UAE, Singapore, Australia,
and Belgium by connecting with foreign investors and partners. To accelerate this momentum,
the state has committed ₹66.9 crore to startup programs like Elevate Kalyana Karnataka and
Elevate Unnati, offering financial assistance, mentorship, and infrastructure to nurture export-
ready enterprises.
Threats
Karnataka’s limited export market diversification poses a risk across multiple sectors including
pharmaceuticals, aerospace, and textiles. These sectors depend heavily on a few established
markets like the U.S.A and UAE with 30% of market exports which leads to vulnerabilities
like demand fluctuations, regulatory changes, and geopolitical tensions in those regions.
Geopolitical tensions have also raised freight costs and disrupted shipping, affecting exports
of auto parts, aerospace, and iron castings. Sectors like IT, biotech, and pharma are similarly
impacted by tariff uncertainties, complicating long-term planning. Karnataka’s exports are
heavily service driven, with IT alone contributing ₹4.1 lakh crore in FY24. This dominance
reflects a workforce preference for IT jobs, making manufacturing contributing just 12.5% to
GSDP less attractive and underutilized in the state’s export growth. Export Preparedness Index 2024 98
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Karnataka should direct efforts
toward:
Export Preparedness Index 2024 99 Export Preparedness Index 2024 100
Kerala Export Preparedness Index 2024 101
5.1.8 Kerala
Manufacturing hubs in Kerala
Source: Ministry of Commerce and Industry
Introduction
Situated in the west coast, Kerala’s geographical location along the Arabian Sea has historically
facilitated trade and cultural exchanges. The state has achieved remarkable indicators in
healthcare and education, reflected in its high Human Development Index rankings, low
infant mortality rates, and increased life expectancy. In FY24, Kerala achieved a GSDP of
₹11.1 lakh crore. In this financial year, Kerala also experienced a remarkable year on year
export growth rate of 86.9%, with total exports valued at ₹68,375 crore. This surge highlights
the state’s increasing competitiveness in global markets. Additionally, the MSME sector has Export Preparedness Index 2024 102
seen substantial growth, with an increase of 97.7% in FY24 over FY23, indicating a thriving
entrepreneurial ecosystem.
55, 56, 57
Kerala’s export profile spans sectors including petroleum products, spices, marine products,
coir and information technology. Kerala’s coastal location along with major ports such as Kochi
and the Vizhinjam International Seaport would serve as essential international transshipment
terminals. The state’s robust transport infrastructure, which includes well-connected roadways,
railways, 4 international airports and inland waterways, ensures efficient movement of goods
domestically and internationally. This connectivity has been instrumental in boosting exports
and attracting foreign investments especially from the middle east.
58

The state’s reliance on traditional sectors, coupled with limited value addition, exposes it to
global market volatility and reduces profitability. Infrastructure bottlenecks, particularly in
inland transportation, can hinder the seamless movement of goods. Furthermore, competition
from other states and nations in key sectors like spices and marine products poses a challenge
to sustaining market dominance.
59, 60
The Kerala Export Promotion Policy 2023 aims to build a robust export ecosystem by
leveraging the state’s natural and human resources. It emphasizes infrastructure upgrades, such
as the development of Vizhinjam seaport and airport cargo expansions, to enhance logistics
efficiency. The policy encourages diversification into emerging sectors like IT, biotechnology,
and value-added food processing while strengthening traditional sectors such as spices, coir,
and marine products. It also supports MSMEs and startups through financial incentives and
capacity-building programs. With a focus on sustainability and innovation, the policy positions
Kerala to capitalize on global demand for eco-friendly and high-value products, making it a
key player in India’s export landscape.
61
Export Statistics
Source: Ministry of Commerce and Industry
55 IBEF
56 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
57 PIB: Ministry of Micro, Small & Medium Enterprises-MSME
58 Invest Kerala
59 Kerala Export Promotion Policy Draft 2023
60 Ministry of Commerce and Industry
61 Kerala Export Promotion Policy Draft 2023 Export Preparedness Index 2024 103
Kerala’s export profile is led by a strong contribution from petroleum products, which account
for nearly 48% of the state’s total merchandise exports. Out of Kerala’s total exports of ₹68,375
crore, ₹32,635 crore comes from petroleum oils, driven by the production and refining capacity
of the Kochi refinery one of the largest in southern India. The availability of port infrastructure,
particularly the Cochin Port and the Vallarpadam transshipment terminal, has further enabled
the efficient export of refined petroleum products, making this segment the backbone of Kerala’s
export performance.
Source: Ministry of Commerce and Industry
At a more granular level, Kerala’s export basket reflects its rich coastal and agrarian economy,
with significant outbound shipments of marine products, shipbuilding, cashew and coconut
products, and jewelry articles. In the marine segment, frozen shrimp and prawns, squid and
cuttlefish, and octopus and mollusks make up a major share, supported by modern seafood
processing clusters across coastal districts like Alappuzha, Kollam, and Ernakulam. Kerala is
also a notable exporter of cruise ships and oil tankers, powered by the capabilities of Cochin
Shipyard Limited. The cashew sector with both shelled and unshelled exports alongside coconut
products, underscores the state’s strength in value-added Agri-processing. Additionally, Kerala’s
jewelry sector, anchored in cities like Thrissur, contributes significantly through exports of
precious metal articles. Export Preparedness Index 2024 104
Source: Ministry of Commerce and Industry
Beyond its core sectors, Kerala also shows promise in diversified, high-potential categories.
These include essential oils and extracts, which leverage the state’s heritage in Ayurveda and
natural wellness, as well as babies’ garments, unroasted coffee beans, and niche carpets. These
products represent growing global demand for natural, handcrafted, and sustainable goods,
aligning well with Kerala’s brand identity. With targeted interventions in value addition, supply
chain modernization, and export-oriented branding, Kerala can enhance its presence in high-
margin global markets while gradually diversifying beyond its current reliance on petroleum
exports.
Success Stories Export Preparedness Index 2024 105
EPI 2024-Results and Conclusions Export Preparedness Index 2024 106
SWOT Analysis
Strengths
Kerala’s export competitiveness is driven by its 590 km coastline, 17 minor ports, and the
Kochi Port with India’s first container transshipment terminal at Vallarpadam, enabling
efficient access to markets in the Middle East, Southeast Asia, and Europe. The state’s high
literacy rate ensures a skilled workforce, with initiatives like ASAP and KASE supporting
export-oriented sectors such as pharmaceuticals, jewelry, and herbal products. Kerala’s well-
diversified export basket reaches over 100 countries, with strong GCC linkages supported
by its large diaspora. High rankings in Ease of Doing Business, backed by digital platforms
like K-SWIFT and K-CIS, along with investor-friendly laws such as the Kerala Investment
Promotion & Facilitation Act and MSME Facilitation Act, streamline clearances and reduce
compliance burdens. Entrepreneurship drives and policy support further enhance Kerala’s
competitive, export-friendly ecosystem. Export Preparedness Index 2024 107
Weaknesses
Kerala’s industrial growth is slowed by the lack of large, connected land due to high population,
small plots, and strict land-use rules. High costs, local resistance, and complex negotiations
make land acquisition difficult. Environmental approvals add further delays to industrial
projects. Furthermore, the high cost of manufacturing driven by expensive land, increased
electricity tariffs, and relatively high labor costs, which creates a less attractive environment
for industrial investment. Frequent labor disputes and reduced industrial flexibility add to
investor concerns. The absence of large-scale manufacturing units also hinders Kerala’s ability
to scale production, adopt advanced technologies, or compete with leading industrial states in
electronics, engineering, and automotive exports.
Opportunities
Kerala can boost agricultural exports by expanding value-added products such as steam-
sterilized spices, virgin coconut oil, organic produce, processed jackfruit and banana items,
and nutraceutical extracts to tap premium global markets. Strengthening cold chains, modern
packhouses, and spice sterilization units will reduce post-harvest losses and meet stringent
international standards. Improved logistics via Cochin and Vizhinjam ports, along with
enhanced air cargo infrastructure at Thiruvananthapuram, Kochi, and Kannur, will expand
global reach for perishables. The state can also leverage rising demand for premium Ayurvedic
formulations, herbal nutraceuticals, and wellness products, while scaling exports of surgical
masks, disposable gloves, orthopedic braces, and diagnostic kits. In addition, processed
food exports – including coconut products, jackfruit snacks, and spice blends – can thrive
with stronger cold chain support, food safety infrastructure, and incentives under ODOP and
PMFME, positioning Kerala as a hub for premium, sustainable, and heritage-linked exports.
Threats
Kerala faces critical long-term threats that could erode its export competitiveness if left
unaddressed. A continuous outflow of young, skilled professionals to the Gulf and other Indian
states has created a brain drain, leaving behind a shrinking local talent pool for export-linked
industries. Simultaneously, the state has one of the fastest aging populations in India, with over
16% aged 60 or above, increasing social welfare burdens and reducing workforce availability.
Despite Kerala’s high education standards, investment in research and innovation remains
limited, with R&D spending at less than 0.3% of GSDP, far below the national average. This
lack of focus on high-tech innovation restricts Kerala’s ability to move up global value chains
or transition into advanced manufacturing and services sectors. Without strategic interventions
to retain talent, boost R&D, and foster innovation ecosystems, Kerala’s industrial dynamism
and long-term export sustainability could be at risk. Export Preparedness Index 2024 108
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Kerala should direct efforts
toward: Export Preparedness Index 2024 109 Export Preparedness Index 2024 110
Madhya Pradesh Export Preparedness Index 2024 111
5.1.9 Madhya Pradesh
Manufacturing hubs in Madhya Pradesh
Source: Ministry of Commerce and Industry
Introduction
Madhya Pradesh, strategically positioned at the heart of India, acts as a crucial economic conduit
between the northern and southern regions of the country. The state is endowed with abundant
natural resources, including significant reserves of coal, limestone, manganese, and the largest
diamond and copper deposits in India. In FY24, Madhya Pradesh’s Gross State Domestic
Product (GSDP) stood at ₹13.8 lakh crore at current prices, reflecting the state’s expanding
economic base. The industrial ecosystem of the state is diverse and well-established, with key
sectors such as automobiles, pharmaceuticals and food processing contributing significantly to
its economy. Export Preparedness Index 2024 112
The state recorded exports worth ₹65,933 crore in FY24, reflecting a marginal dip compared
to FY23, yet underscoring the state’s underlying resilience amid global headwinds. The state’s
export basket is notably diverse, spanning agricultural commodities, pharmaceuticals, textiles,
and engineering goods demonstrating a balanced mix of traditional and emerging sectors. Micro,
Small, and Medium Enterprises (MSMEs) continue to anchor the state’s export ecosystem,
with over 2.1 million registered units after a 7% year-on-year growth in FY 2024. This vibrant
MSME base not only drives crucial employment but also contributes approximately 34% to
the state’s merchandise exports, underscoring its pivotal role in the regional economy. Madhya
Pradesh’s industrial infrastructure comprising 145 industrial parks, and six operational Special
Economic Zones (SEZs) provides a strong foundation for manufacturing and trade. These
facilities are playing a pivotal role in catalyzing industrial expansion and boosting exports
across multiple sectors.
62,

63,

64
Madhya Pradesh is rapidly emerging as a key industrial and export hub, driven by sectoral
strengths and resource advantages. The state leads in organic cotton production, contributing
43% of India’s output and 24% of global output, with annual cotton a production of around
31,700 MT. Its agriculture sector is equally robust, being the top producer of pulses and spices,
and second in food grains and flowers, supported by 11 Agri-climatic zones. The automobile
sector boasts over 2,800 engineering units and 10+ OEMs, forming a strong manufacturing base.
In renewable energy, projects like the development of Sanchi as India’s first net-zero carbon
solar city and a progressive, technology-agnostic RE policy highlights the state’s commitment
to innovation. Additionally, Madhya Pradesh houses more than 270 pharmaceutical units and
over 20 medical device manufacturers, reinforcing its growing role in healthcare exports.
65, 66, 67

Export Statistics
Source: Ministry of Commerce and Industry

62 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
63 IBEF
64 Ministry of MSME PIB – 11
th
December 2023
65 Invest MP
66 MP Industrial Promotion Policy
67 Invest MP Export Preparedness Index 2024 113
Madhya Pradesh demonstrates a growing export profile with a strong base in pharmaceuticals,
Agri-based products, metals, textiles and engineering products. The top export category is
Medicaments, supported by a well-developed pharmaceutical industry around Indore and
Dewas, which benefits from industrial parks and active policy support. Other prominent exports
include Soybean oil cake, a reflection of the state’s position as a major soybean producer while
Aluminum production is linked to smelters in regions like Singrauli. Rice and Textile articles
exports are enabled by Agri-processing hubs, mineral-rich regions, and a traditional textile
base in Ujjain, Khargone, and Chhindwara, complemented by improving logistics and inland
container depots.
Source: Ministry of Commerce and Industry
Delving deeper into the performance of the top five HS4 codes highlights Madhya Pradesh’s
competitive strengths. The Medicaments category alone covers a wide range of products
including mixed/unmixed medicaments, antibiotics, corticosteroids, penicillin derivatives,
hormone-based formulations and vitamin-based products highlighting the state’s capability in
producing a diversified range of formulations. In Soybean oil cake, MP’s dominance is a direct
outcome of its vast soybean acreage and solvent extraction facilities. Under Aluminum, both
alloyed and non-alloyed forms are exported, indicating upstream metal processing activities.
Similarly, milled rice forms the core of the rice export value, while bed and toilet linen including
terry fabric towels and cotton bed linens reflects the state’s strengths in home textile production. Export Preparedness Index 2024 114
Source: Ministry of Commerce and Industry
Looking ahead, Madhya Pradesh has notable export opportunities in its next set of HS4
commodities. In Cotton yarn, there are exports across a variety of specifications combed and
uncombed, single, and multiple plies, suggesting an active spinning industry that could benefit
from better branding and forward integration into fabrics and garments. Products like carbon
electrodes for furnaces and mechanical shovels and bulldozers indicate the emergence of
heavy engineering capacities, which can be scaled with targeted support. Likewise, flexible
packing sacks and iron ore suggest untapped potential in downstream processing and value
addition. With investments in skill development, industrial infrastructure, and better logistics
connectivity, these segments can help the state diversify its export basket and enhance its
overall contribution to India’s merchandise exports.
Success Stories Export Preparedness Index 2024 115
EPI 2024-Results and Conclusions Export Preparedness Index 2024 116
SWOT Analysis
Strengths
Madhya Pradesh boasts a diverse industrial and export portfolio spanning pharmaceuticals,
engineering goods, textiles, and agri-products. The state is also scaling up production in
automobile and auto ancillary manufacturing, further deepening its industrial base. Rich in
mineral resources, Madhya Pradesh holds about 8% of India’s coal reserves and contributes
approximately 13% to national coal output, making it a key player in the country’s energy
sector. Industrial Parks and Special Economic Zones (SEZs) significantly bolster the state’s
export and import performance by offering essential infrastructure, fiscal incentives, and
streamlined logistics. Supporting this physical ecosystem is a focus on trade-oriented human
capital development. The state has implemented targeted skill development programs aligned
with key export sectors such as textiles, food processing, and logistics. Backed by government
initiatives and industry partnerships, these efforts ensure a steady supply of trained professionals,
enhancing both industrial productivity and export competitiveness. Export Preparedness Index 2024 117
Weaknesses
Madhya Pradesh’s landlocked geography presents a significant logistical disadvantage, as
the state lacks direct access to seaports. This forces exporters to rely on distant ports such as
Kandla, Mundra, and Nhava Sheva, resulting in higher freight costs, longer transit times, and
reduced-price competitiveness in global markets. Additionally, the state suffers from limited
export branding and a modest export-to-GSDP ratio. Despite producing quality goods like
soybeans, textiles, and herbal products, Madhya Pradesh lacks strong global brand recognition.
This weakens its positioning in premium international markets and limits value-added export
potential. Furthermore, there is a geographical concentration of export activities in select
districts primarily around Indore, Bhopal, and Jabalpur while vast regions in the east and
north remain underutilized. This uneven development restricts the inclusive growth of export-
oriented industries and leads to regional disparities in industrial progress.
Opportunities
Madhya Pradesh is capitalizing on its integration with national manufacturing corridors like the
Delhi-Mumbai Industrial Corridor and the development of a strong food processing ecosystem
to boost industrial investment, streamline supply chains, and enhance market access. The
state is emerging as a promising hub for electric vehicle (EV) manufacturing by advancing
trade infrastructure, promoting localization, and developing export-ready technologies.
Simultaneously, the growth of its textile ecosystem offers opportunities for increased exports
and inclusive employment. With expanding logistics infrastructure through ICDs, Multi-Modal
Logistics Parks (MMLPs), warehousing, and air cargo facilities, the state has the potential to
strengthen its position as a central export gateway by leveraging ongoing digitization initiatives
and progressive policy reforms aimed at enhancing global trade competitiveness.
Threats
Madhya Pradesh’s export sector faces notable risks from global market fluctuations, as nearly
20% of its outbound trade is directed toward the U.S., leaving the state especially vulnerable to
economic slowdowns or policy shifts. To mitigate this risk, Madhya Pradesh should focus on
diversifying its export destinations and strengthening trade linkages with other key markets such
as Bangladesh, China, the UAE, and the Netherlands. In addition to these market uncertainties,
environmental disruptions have become a critical challenge impacting the state’s export-import
landscape. Furthermore, Madhya Pradesh’s heavy dependence on the primary sector for its
Gross State Value Added (GSVA) adds to these vulnerabilities. Although the state’s strong
agricultural base and abundant natural resources support its economy, this reliance on the
primary sector exposes Madhya Pradesh to risks that could destabilize and hinder the growth
of its trade activities. Export Preparedness Index 2024 118
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Madhya Pradesh should direct
efforts toward: Export Preparedness Index 2024 119 Export Preparedness Index 2024 120
Maharashtra Export Preparedness Index 2024 121
5.1.10 Maharashtra
Manufacturing hubs in Maharashtra
Source: Ministry of Commerce and Industry
Introduction
Maharashtra, located in Western India, is one of the country’s most industrialized and
economically significant states. It is known for its diverse economic activities, robust
infrastructure, and vibrant cultural heritage. As of FY24, Maharashtra recorded an annual GSDP
of approximately ₹40.4 lakh crore, contributing around 13% to India’s GDP, underscoring its
status as the nation’s economic powerhouse. As a leader in trade and commerce, the state has a
well-defined export portfolio that aligns with its industrial strengths.
68
68 IBEF Export Preparedness Index 2024 122
In FY 2024, Maharashtra retained its position as India’s second-largest exporting state,
recording merchandise exports worth ₹5.3 lakh crore. The state’s export performance is
anchored by key sectors such as gems & jewelry, engineering goods, electronics, chemicals,
and pharmaceuticals. Major export hubs Mumbai Suburban, Mumbai City, Pune, and Thane
together account for nearly 74% of the state’s total exports, supported by robust infrastructure
including air cargo terminals, Free Trade Zones, and strategic seaports such as Jawaharlal Nehru
Port (JNPT), India’s largest container port. Maharashtra also leads in the MSME ecosystem,
with over 4.5 million registered MSMEs as of FY24, contributing significantly to employment,
entrepreneurship, and local economic growth. The sector accounts for 24% of India’s total
MSME employment and 13% of total MSME output.
69, 70, 71, 72
However, despite its strong position, Maharashtra’s export performance saw a year-on-year
decline of 7.3% in FY24 dropping from ₹6.1 lakh crore in FY23 to ₹5.6 lakh crore. A major
contributor to this decline was the gems & jewelry sector, which alone witnessed a reduction
of around ₹30,962 crore. This downturn can be attributed to a combination of factors, including
weak global demand, particularly in key markets like the US and Europe and sector-specific
challenges in engineering goods and pharmaceuticals. Additionally, infrastructure constraints,
rising competition from other states (e.g., Gujarat in chemicals), and a broader shift in global
trade dynamics have further impacted Maharashtra’s merchandise export performance.
73
To counter recent export declines and enhance global trade competitiveness, the Maharashtra
Vision 2030 outlines a clear strategy to double the state’s exports by 2030 and increase its share
in national exports to over 20%. The plan emphasizes strengthening logistics infrastructure
through multi-modal parks, port connectivity, and industrial corridors like the DMIC and
Samruddhi Mahamarg, while promoting SEZs and Export-Oriented Units. It aims to diversify
the export basket by boosting high-growth sectors such as electronics, biotech, and defense
manufacturing, alongside traditional sectors. The vision also focuses on improving the Ease
of Doing Business, enhancing MSME capabilities, and supporting exporters through digitized
processes, global certifications, and branding initiatives to build a globally competitive export
ecosystem by 2030.
74, 75
Export Statistics
Source: Ministry of Commerce and Industry
69 Maitri Maharashtra
70 Kinara capital
71 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
72 Ministry of MSME PIB – 4
th
February 2025
73 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
74 Maitri Maharashtra
75 Maharashtra Planning Department Export Preparedness Index 2024 123
Maharashtra continues to assert its dominance as one of India’s top exporting states, with a
stronghold in high-value sectors such as gems and jewelry, pharmaceuticals, automotive, and
refined petroleum products. The top 10 HS4 commodities exported from the state highlight its
competitive edge in value-added manufacturing and global supply integration. Diamonds and
jewelry articles lead the pack, showcasing the state’s long-standing craftsmanship and export-
oriented processing capabilities. Pharmaceuticals and petroleum products further strengthen the
portfolio, underscoring Maharashtra’s robust industrial base and technological advancement.
These commodities collectively account for a significant share of the state’s export value,
reflecting both scale and diversity.
Source: Ministry of Commerce and Industry
The top five HS4 commodities reveal a mix of traditional strengths and globally relevant
sectors. Maharashtra’s gem and jewelry segment, driven by precision-cut diamonds and finished
ornaments, represents a matured industry with strong international demand. The state’s two-
wheeler exports signal growing competitiveness in lightweight mobility solutions, particularly
in emerging markets. Pharmaceuticals, largely composed of general-purpose medicaments,
reflect an opportunity for Maharashtra to further expand its role as a global pharma hub by
investing in complex generics and specialty formulations. Petroleum products show the state’s
refining capacity in action, presenting a continued opportunity for tapping demand from energy-
deficient regions. These sectors could benefit from targeted policy support and supply chain
efficiency to scale further.
76
76 Ministry of Commerce & Industry Export Preparedness Index 2024 124
Source: Ministry of Commerce and Industry
The next five commodities motor vehicle parts, cars, telecom equipment, coated steel products,
and bovine meat represent a diverse set of growth drivers. Maharashtra’s automotive ecosystem
is ripe for scaling up electric vehicle components and smart mobility exports. Telecom and
electronics, showing healthy export volumes, could be further developed under India’s
PLI schemes, positioning the state as a key node in global electronics value chains. Coated
steel products also signal strong downstream processing capabilities and can be linked to
construction and automotive markets abroad. Agri-based exports like bovine meat highlight
untapped potential in processed foods and cold-chain enabled exports. Overall, Maharashtra’s
export structure presents a strong foundation, and with targeted diversification and upskilling,
it can capture a greater share of global value chains.
77
Success Stories
77 Ministry of Commerce & Industry Export Preparedness Index 2024 125
EPI 2024-Results and Conclusions Export Preparedness Index 2024 126
SWOT Analysis
Strengths
Maharashtra stands as a logistical and industrial powerhouse, offering top-tier export
infrastructure and diversified manufacturing capabilities. The state hosts the Jawaharlal Nehru
Port Trust (JNPT), India’s largest container port, which handles over 50% of the country’s
containerized cargo, alongside major international airports in Mumbai, Pune, and Nagpur that
facilitate high-value freight movement. Strategic integration with the Delhi-Mumbai Industrial
Corridor (DMIC) and the presence of multimodal logistics parks significantly reduce transit
time and costs, enhancing trade efficiency. Maharashtra’s robust digital infrastructure, through
platforms like MAITRI and advanced ICT systems in hubs such as Mumbai and Pune, further
streamlines export processes, enabling faster clearances and efficient port operations. The
state contributes over 15% to India’s total industrial output, driven by a mature and diversified
base in automobiles, pharmaceuticals, chemicals, textiles, and heavy engineering. State-
specific policies, such as the Maharashtra Industrial Policy, Electronics Policy, and Textile Export Preparedness Index 2024 127
Policy, which boost investor confidence through targeted incentives and export facilitation.
Maharashtra also hosts several export-oriented SEZs and industrial clusters, including SEEPZ
(gems and jewellery) in Mumbai, and automotive and engineering clusters in Aurangabad and
Nashik. Regular monitoring and effective implementation of district-level export strategy plans
ensure targeted action, accountability, and alignment with national export goals.
Weaknesses
Despite its strengths, Maharashtra grapples with structural inefficiencies that hamper its export
potential. High operational costs including expensive industrial land, costly logistics, and
rising energy tariffs are particularly pronounced in urban hubs like Mumbai, Pune, and Thane,
reducing the state’s cost competitiveness in global markets. This has prompted some businesses
to consider relocating to more cost-effective regions. Infrastructure reliability remains a concern
in underdeveloped districts, where frequent power outages, voltage fluctuations, and irregular
water supply hinder operations in energy- and water-intensive sectors such as textiles, food
processing, and chemicals. The state’s export activity is heavily concentrated in a few districts -
Mumbai, Pune, and Thane which collectively account for over 60% of total exports, largely due
to their superior infrastructure and port access. In contrast, districts like Gadchiroli, Nandurbar,
and Washim remain under-industrialized, with limited logistics support and shortage of skilled
labor. This regional imbalance restricts equitable growth and limits the state’s ability to broaden
its export base.
Opportunities
Maharashtra is well-positioned to lead India’s green industrial transition and regional export
diversification. The state’s Electric Vehicle (EV) Policy provides robust incentives for EV
and battery manufacturing, enabling firms to tap into rising global demand for sustainable
mobility solutions. There is considerable scope for developing tier-2 cities such as Aurangabad,
Jalna, Solapur, Nagpur, and Kolhapur into specialized export hubs. These regions offer cost
advantages, access to raw materials, and improving infrastructure, making them ideal for
export-oriented MSME growth. Large-scale infrastructure initiatives like the Delhi–Mumbai
Industrial Corridor (DMIC), Mumbai–Nagpur Expressway (Samruddhi Mahamarg), and
Bharat Mala highways are set to enhance connectivity, reduce logistics costs, and attract FDI.
The planned expansion of SEZs and industrial parks in Nagpur, Jalna, and Nanded also offers
the potential to unlock growth in relatively underserved regions, helping to correct regional
disparities and promote inclusive export development.
Threats
Maharashtra’s export performance faces several emerging threats. Many sectors, such as gems
and jewelry and petrochemicals, continue to rely on mid-stream processing and assembly rather
than deep value addition, limiting competitiveness and margins in global markets. Congestion
at Jawaharlal Nehru Port Trust (JNPT) despite its importance remains a critical bottleneck, with
limited evacuation infrastructure and frequent delays increasing turnaround times and logistics
costs. Environmental compliance is becoming an escalating challenge. Major industrial hubs
like Mumbai, Pune, Thane, and Nagpur face growing scrutiny from state and national pollution
control boards. Non-compliance especially in chemicals, textiles, and heavy industries—could
result in plant shutdowns, penalties, and reputational risks. While large players may invest
in cleaner technologies, smaller units often struggle to bear these costs. Additionally, failure
to meet emerging ESG norms could restrict access to global markets, where environmental
certifications and traceability standards are increasingly becoming non-negotiable. Export Preparedness Index 2024 128
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Maharashtra should direct
efforts toward: Export Preparedness Index 2024 129 Export Preparedness Index 2024 130
Odisha Export Preparedness Index 2024 131
5.1.11 Odisha
Manufacturing hubs in Odisha
Source: Ministry of Commerce and Industry
Introduction
Situated on the eastern coast of India, Odisha is a state rich in natural resources like iron ore,
coal and bauxite and is well known for its industrial potential. With a coastline of approximately
480 kilometers along the Bay of Bengal, it serves as a strategic gateway to Southeast Asian
markets. The state’s economy has been transitioning from an agriculture-based framework to
a more diversified industrial and service-oriented structure. Odisha’s GSDP has been steadily
rising over the past years which is a positive in the state’s favor. In FY24, it has accounted for
GSDP of about ₹8.6 lakh crore. After witnessing a 33.5% decline in export growth in FY23
compared to the previous year, the state rebounded in FY24 with a positive export growth of Export Preparedness Index 2024 132
6.3%. A significant portion of Odisha’s exports comes from the minerals and metallurgy sector,
followed by engineering goods, marine products, and textiles.
78,

79,

80

Its strategic location along the Bay of Bengal provides it with a natural advantage for maritime
trade, supported by the major port of Paradip which is one of the largest and deepest ports in
India. With a growing emphasis on improving infrastructure and ease of doing business, the
state has been positioning itself as a significant player in India’s export landscape. The presence
of large-scale industrial units, especially in steel and aluminum production, further bolsters its
export capabilities. Odisha also has seen high growth in Micro, Small and Medium Enterprises
(MSMEs) with an increase of about 158% in FY24.
81,

82

The government has implemented an Export Policy aimed at enhancing export activities,
targeting an ambitious goal of reaching ₹3.5 lakh crore in exports by FY27. Initiatives like the
Food Processing Policy and incentives for semiconductor manufacturing highlight Odisha’s
commitment to fostering new industries that can contribute significantly to exports. The
growing demand for processed food, seafood, and handloom textiles in global markets aligns
well with Odisha’s strengths in agriculture, aquaculture, and traditional crafts.
83,

84
Export statistics
Source: Ministry of Commerce and Industry
Odisha’s export strength lies in its deep integration with India’s mineral wealth and
metallurgical industries. As one of the country’s leading resource-rich states, it channels its
natural endowments into high-value exports such as aluminum, iron ore, ferroalloys, and
steel. The state’s strong port infrastructure especially at Paradip and Dhamra has enabled bulk
exports at competitive costs, making Odisha a critical node in India’s commodity and metal
export ecosystem. Beyond minerals and metals, Odisha is also slowly diversifying into value-
added segments like stainless steel and marine exports.
78 IBEF
79 Ministry of Commerce & Industry
80 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
81 Ministry of MSME PIB – 11
th
December 2023
82 BRAP 2022- EoDB - DPIIT
83 NABARD (National Bank for Agriculture and Rural Development)
84 Odisha Export Policy 2022 Export Preparedness Index 2024 133
Source: Ministry of Commerce and Industry
Aluminum is by far the state’s most valuable export, in both alloyed and unalloyed forms,
benefiting from integrated production hubs powered by local bauxite reserves and energy
availability. Iron ore exports, both agglomerated and non-agglomerated, remain strong,
bolstered by proximity to mining zones and efficient port logistics. Petroleum oils are another
top contributor, suggesting a refining or distribution role, while ferro-alloys especially
ferrochromium showcase Odisha’s specialization in alloy production. Flat-rolled iron and non-
alloy steel products point to a growing base in semi-finished and finished steel manufacturing,
with both hot- and cold-rolled variants exported in significant quantities.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 134
Further underscoring Odisha’s metallurgical capabilities are its exports of aluminum oxide
(largely alumina) and aluminum wire, indicating both upstream and downstream integration
in aluminum processing. The presence of stainless-steel flat-rolled exports, spanning different
thicknesses and finishes, suggests the development of more refined steel operations. Odisha’s
seafood exports, particularly frozen shrimp, and prawns, add an important diversification
layer to the state’s otherwise mineral-heavy profile. This combination of raw materials, semi-
finished goods, and select finished industrial and marine products underscores Odisha’s role as
a powerhouse in core industries, with a growing potential for diversification and value addition.
Success Stories
EPI 2024 – Results and Conclusions Export Preparedness Index 2024 135 Export Preparedness Index 2024 136
SWOT Analysis
Strengths
Odisha’s abundance of natural resources is a key strength for its export sector, housing around
51% of India’s iron ore, over 92% of chromite, more than 50% of bauxite, and 25% of coal
reserves fuelling major industries like steel, aluminum, and power. The state’s strong port
infrastructure, led by Paradip Port (handling over 135 MMT in 2023–24) and Dhamra Port
(over 41 MMT), enables efficient global trade, especially for bulk exports. Strategically located
along a 480 km eastern coastline, Odisha benefits from proximity to Southeast and East Asian
markets via major shipping routes and the East Coast Economic Corridor. Additionally, the
state offers competitive labor costs and a robust skill development ecosystem, supported by
over 1,000 ITIs and programs like Skilled-in-Odisha, ensuring a steady supply of affordable,
trained labor for export-driven industries.
Weaknesses
Odisha’s exports remain dominated by raw minerals, with limited value addition. In 2023–24,
iron ore exports were just ₹1,146.2 crore (9.2% of the state’s total), despite Odisha holding over
55% of India’s bauxite reserves and being the largest iron ore producer. Downstream sectors
like steel rolling and aluminum fabrication remain underdeveloped, missing out on value-
added merchandise exports. Logistics infrastructure is another constraint Paradip and Dhamra
ports operated at only around 50% capacity, hampered by poor last-mile connectivity, shallow
berths, and limited multimodal links. Agricultural and marine exports also suffer due to weak
cold chain networks, though 1,000 new units are planned. Despite its mineral base, the state has
focused more on services like IT and tourism, while manufacturing remains underprioritized.
Traditional sectors such as textiles, handicrafts, and MSMEs face underinvestment and lag in
technology adoption, limiting their export contribution.
Opportunities
Odisha holds strong potential to boost exports by shifting from raw materials to high-value,
sustainable manufacturing. With abundant mineral reserves and a growing industrial base, the
state can emerge as a hub for green steel production, aligning with India’s net-zero goals and
tapping into global demand for low-emission materials, especially from Europe. There is also Export Preparedness Index 2024 137
room to expand value-added aluminum, ferroalloy, and petrochemical exports, supported by
existing core industries. The textile and handloom sector, rooted in crafts like Sambalpuri,
Bomkai, and Ikat, offers strong export potential, with policies targeting ₹10,042 crore in
investment over five years through capital subsidies and other incentives. Odisha’s expanding
MSME base can become a major export driver if supported with better access to finance,
technology, and global markets. The state also can attract more foreign investment in export-
oriented industries by leveraging its mineral wealth, strategic location, and port infrastructure.
With focused promotion, business-friendly reforms, and industrial corridor development,
Odisha can position itself as an attractive location for bigger MNCs to establish industries.
Threats
Odisha’s export-driven economy faces increasing vulnerability due to its heavy reliance on
China, which accounted for over 25% of the state’s exports in FY24, primarily driven by iron
ore shipments valued at approximately ₹1,422.6 crore. Any economic slowdown or policy
shift in China could severely impact Odisha’s earnings and highlights the need for market
diversification and value-added production beyond coastal and mining zones. The state’s
dependence on volatile commodities such as iron ore, coal, bauxite, and aluminum make it
vulnerable to global price fluctuations and speculative trading, with falling prices potentially
triggering production cuts and job losses. Emerging global trade regulations like the EU’s
Carbon Border Adjustment Mechanism could further erode competitiveness by imposing tariffs
on carbon-intensive goods. Compounding these risks is a skills mismatch despite initiatives
like “Skilled in Odisha,” training remains outdated and inadequate for high-value sectors.
As a result, a significant portion of the skilled workforce migrates to other states, weakening
Odisha’s industrial base.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Odisha should direct efforts
toward: Export Preparedness Index 2024 138
Punjab Export Preparedness Index 2024 139
5.1.12 Punjab
Manufacturing hubs in Punjab
Source: Ministry of Commerce and Industry
Introduction
Punjab, located in the Northwestern region of India, has long been recognized as an agricultural
powerhouse, often referred to as the “Granary of India”. The state stands as a cornerstone of
India’s economic and industrial framework. With a Gross State Domestic Product (GSDP) of
₹7.4 lakh crore in the financial year 2023-24, Punjab contributes significantly to the nation’s
economy. The state’s urban centers such as Ludhiana, Amritsar, Jalandhar, and Mohali serve as
key engines for industrial and commercial growth.
85

85 IBEF Export Preparedness Index 2024 140
Punjab’s economy is anchored by agriculture but is increasingly complemented by its industrial
and services sectors. In FY24, the state contributed 46.3% of India’s total wheat production
and 31.2% of rice production. Its high-quality basmati and non-basmati rice exports, valued
at ₹7,003 crore, are gaining notable traction in international markets. The state’s total exports
stood at ₹56,300 crore, reflecting its growing role in India’s trade ecosystem. Sectors such as
textiles, hand tools, auto components, bicycles, and Agri-processing are key contributors to
Punjab’s export performance, with MSMEs playing a critical role through an extensive network
of industrial clusters.
86, 87, 88
To further catalyze industrial development and exports, the Government of Punjab launched
the Punjab Industrial and Business Development Policy (IBDP) 2022. Key features include
100% exemption from property tax for 10 years for thrust sectors, and additional incentives
for mega and ultra-mega projects, such as capital subsidies and stamp duty reimbursements.
The policy also aims to develop 15 industrial parks and 20 rural clusters to promote balanced
regional growth. In tandem, the Punjab Integrated Logistics and Logistics Park Policy 2023 was
introduced to strengthen the state’s logistics infrastructure, facilitate multimodal connectivity,
and reduce logistics costs for exporters. These policies aim to transform Punjab into a more
competitive and investor-friendly manufacturing base, with an integrated approach that supports
supply chain efficiency and export-led growth.
89, 90
Export Statistics
Source: Ministry of Commerce and Industry
Punjab’s exports reflect a strong balance between its deep-rooted agricultural strengths and an
increasingly robust industrial manufacturing base. The state’s trade identity continues to be
anchored in its rural economy, especially through rice, but it also showcases signs of diversified
growth particularly in machinery, textiles, and chemicals. The export structure hints at both
scale and specialization, with clear strengths in Agri-processing, automobile components, and
fine chemicals.
86 FIEO (Federation of Indian Export Organisation)
87 Punjab Economic Survey 2023-24
88 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
89 Punjab Industrial and Business Development Policy 2022
90 Punjab Integrated Logistics and Logistics Park Policy 2023 Export Preparedness Index 2024 141
Source: Ministry of Commerce and Industry
Rice is far and away the most dominant export from Punjab, almost entirely consisting of
semi or wholly milled varieties. This underlines Punjab’s stature as a rice bowl of India and
points to a well-established Agri-export chain with processing capabilities geared for global
markets. Beyond agriculture, Punjab has carved a substantial footprint in tractor exports
across a range of engine power categories particularly in the mid-range (37–75kW), but with
meaningful volumes in smaller and larger segments as well. Cotton yarn exports are another
major pillar, highly specialized by fiber composition and thickness, with combed yarns of
different Dtex grades forming the core. Motor vehicle parts largely general components and
suspension systems illustrate a well-embedded automotive supply chain. And in construction
and fabrication, the export of iron and steel structures, particularly jacks and other supports,
hints at niche engineering strengths likely tied to the state’s industrial clusters.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 142
The next set of key exports deepens this profile. Antibiotics feature prominently, especially
penicillin, erythromycin, and broad-spectrum formulations, suggesting significant
pharmaceutical manufacturing capabilities with a focus on APIs. The export of iron and steel
fasteners primarily screws and bolts reflect mature metallurgical and machining processes
within the state. Bovine meat, limited to frozen boneless cuts, underscores the contribution of
livestock farming and food processing. Meanwhile, textile diversification is visible through
the presence of linen, especially terry fabric toilet linen, suggesting that Punjab’s textile export
capabilities go beyond yarn into finished goods. The chemical story is capped by exports of
various organic compounds, rounding out a balanced portfolio that mixes legacy strengths with
modern industrial evolution.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 143 Export Preparedness Index 2024 144
SWOT Analysis
Strengths
Punjab boasts one of India’s strongest agricultural bases, supported by ample water resources
and large-scale cultivation of crops like rice, maize, and sugarcane. The state’s strong presence
across diverse sectors including basmati rice, pharmaceuticals, sports goods, and engineering
products contributes to balanced and resilient export growth. The state is home to 14.65 lakh
MSMEs that form the backbone of the state’s industrial economy and hold strong potential
for global export expansion. Dominating sectors like textiles, bicycles, hosiery, tractors, auto
components, and leather goods, these enterprises make up 99.7% of all MSMEs in the state,
employ 65% of the industrial workforce, and contribute 78% to Punjab’s industrial output.
Punjab’s robust transport and warehousing infrastructure serves as a major strength, enabling
efficient supply chains and low turnaround times. To further support exporters, the DLEPC team
regularly assembles EXIM stakeholders and, through the Export Facilitation Cell, provides
institutional backing to enhance MSME export competitiveness.
Weaknesses
Punjab’s export ecosystem is constrained by limited R&D and innovation, a weak base of large-
scale industries, and inadequate global branding efforts. The state’s landlocked geography results
in dependence on distant ports, driving up logistics costs and lead times. Additionally, many
MSMEs face challenges in obtaining international certifications and adhering to compliance
standards, where high costs further restrict their competitiveness in global markets.
Opportunities
The rising global demand for products such as basmati rice, litchi, scaffoldings, and hand tools
presents significant opportunities for Punjab to expand its export footprint and capture high-
value international markets. Complementing this, geographical expansion of exports allows
Punjab to broaden its trade footprint, reduce reliance on a limited number of markets, tap into
new consumer bases, boost foreign exchange earnings, and improve its long-term resilience
and competitiveness in the global economy. Additionally, attracting Agri-allied industries
presents a promising opportunity to significantly boost Punjab’s export sector by transforming
its abundant agricultural output such as wheat, rice, maize, and sugarcane into high-value, Export Preparedness Index 2024 145
globally competitive products. Punjab can expand exports in engineering goods and auto
components by leveraging its manufacturing base, developing export-oriented clusters and
global supply chain integration to enhance competitiveness and access high-value markets.
Threats
Punjab’s industrial and trade growth faces rising threats from cross-border tensions, which can
disrupt trade routes, deter investment, and impact regional stability. Additionally, emerging
competition from low-cost manufacturing hubs like Vietnam poses a challenge to Punjab’s
traditional export sectors such as textiles and agro-processing, as global buyers increasingly
seek more competitive markets. Additionally, stricter international standards on sustainability,
packaging, and traceability are creating non-tariff barriers that disproportionately affect smaller
units.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Punjab should direct efforts
toward: Export Preparedness Index 2024 146
Rajasthan Export Preparedness Index 2024 147
5.1.13 Rajasthan
Manufacturing hubs in Rajasthan
Source: Ministry of Commerce and Industry
Introduction
Situated in India’s Northwestern region, Rajasthan is India’s largest state, covering 10.4% of the
country’s total land area. Rajasthan is a natural corridor between Northern and Western states,
making it an important trade and commerce center. The natural resources, policy incentives,
strategic location and infrastructure in the state are favorably suited for investments in sectors
such as cement, tourism, agriculture and allied industries, mineral and mineral processing
industries. As of FY24, the state recorded an annual GSDP of ₹15.2 lakh crore, contributing
about 5% to India’s GDP, with tourism accounting for 8% of the state’s domestic product.
91, 92

91 IBEF
92 Government of Rajasthan Export Preparedness Index 2024 148
Rajasthan’s economy thrives on its rich agricultural and pastoral heritage, making it a leading
producer of edible oils and oilseeds in India. As a hub for mineral-based, agriculture-based,
and textile industries, it also stands as the second-largest producer of polyester fiber in the
country. With a diverse export portfolio spanning across engineering goods, gems & jewelry,
textiles, and Agri-products, the state has achieved an export value of ₹84,674 crore, marking
a 4.1% growth in FY24. This robust export performance underscores Rajasthan’s role as a
dynamic engine of economic advancement. Rajasthan’s SEZs are also key drivers of economic
growth, with the Gems & Jewelry multiproduct SEZ at Sitapura achieving exports worth
₹3,849 crore in FY24. The Mahindra World City SEZ in Jaipur, established through a ₹10,000
crore investment, recorded exports of ₹3,682 crore during the same period. These thriving hubs
showcase Rajasthan’s strategic focus on fostering industrial excellence and global trade.
93, 94, 95

Rajasthan faces several challenges in boosting its exports despite being a major producer of
agricultural commodities and minerals. A key issue is the state’s lack of adequate logistics
infrastructure, particularly for transporting goods to seaports, which hampers the efficiency
of export processes. Moreover, while exports from Rajasthan have been steadily increasing,
the state’s share in the national export market remains limited, contributing only about 2% of
India’s total exports.
96, 97

Rajasthan envisions boosting its exports from ₹83,680 crore in FY24 to ₹1.5 lakh crore by
FY29 through a strategic focus on expanding and diversifying its export portfolio. The state’s
Export Promotion Policy emphasizes the “PUSH” framework, which aims to Promote value
addition, Upgrade infrastructure, Streamline processes for ease of exporting, and Harness digital
technologies. By improving logistics, export infrastructure, and air cargo services, Rajasthan
seeks to enhance competitiveness and support sustainable, inclusive economic growth.
98
Export Statistics
Source: Ministry of Commerce and Industry
Rajasthan’s export portfolio reflects a blend of artisanal heritage, resource-based industries, and
93 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
94 Rajasthan Export Promotion Policy 2024
95 Government of Rajasthan – Economic review 2023-24
96 Business Standard
97 Times of India
98 Rajasthan Export Promotion Policy 2024 Export Preparedness Index 2024 149
emerging manufacturing sectors. The state is known globally for its gemstones and jewelry, but
recent trends highlight a growing presence in categories like furniture, automotive, textiles,
and base metals. This mix of traditional and modern sectors underscores Rajasthan’s ability
to integrate its natural resource base and craftsmanship with the demands of global markets.
The top 10 export commodities reveal not just diversity but depth, especially in value-added
products like wooden and metal furniture, precious jewelry, and processed zinc and lead, which
are transformed from raw materials into high-demand global goods.
Source: Ministry of Commerce and Industry
The top five commodities showcase Rajasthan’s evolving industrial strengths. Furniture
exports, especially of wooden and metal varieties, dominate the list demonstrating the rise of
value-added carpentry and design-led manufacturing across the state. The variety ranges from
general home furniture to office-specific units, pointing to adaptability in design and material
use. The jewelry segment continues to shine, particularly in articles made of precious metals
and silver. These exports reflect Rajasthan’s deep-rooted artisanal legacy and the ability of local
enterprises to meet global tastes with high craftsmanship. Motor car exports, primarily in the
mid-engine range, hint at growing automotive assembly or distribution hubs. Zinc, exported in
its unwrought form, signals efficient processing of locally mined ore, while also serving as a
backbone for global metallurgical industries. The presence of cut and polished precious stones
like rubies and emeralds further confirms Rajasthan’s stature in the global gem trade, anchored
in traditional expertise and a well-developed ecosystem. Export Preparedness Index 2024 150
Source: Ministry of Commerce and Industry
The next five commodities reveal a balance of textiles, heavy industry, and niche manufacturing.
Cotton yarns, particularly combed and fine-count types, signal the prominence of Rajasthan’s
spinning mills and their alignment with international fabric quality standards. The export of
refined lead complements zinc, further highlighting the state’s strength in non-ferrous metallurgy
and mineral beneficiation. Woven synthetic fabrics, especially polyester blends, indicate a
maturing textile industry that caters to both fashion and utility markets abroad. Cement-based
articles such as decorative tiles, bricks, and other concrete items showcase Rajasthan’s growing
capability in construction materials, aided by its abundant limestone reserves. Finally, the rubber
tire segment, primarily agricultural and commercial-grade types, suggests that auto-component
manufacturing is gaining momentum, possibly linked to the same ecosystems driving motor
car exports. Altogether, Rajasthan’s export basket tells the story of a state expanding beyond its
legacy sectors into integrated, value-rich supply chains.
Success Stories Export Preparedness Index 2024 151
EPI 2024-Results and Conclusions Export Preparedness Index 2024 152
SWOT Analysis
Strengths
Rajasthan’s strategic location and infrastructure connectivity give it a strong edge in
manufacturing and exports. Nearly 39% of the Delhi-Mumbai Industrial Corridor (DMIC)
passes through the state, and the Western Dedicated Freight Corridor connects industrial hubs
like Jaipur, Ajmer, and Bhilwara facilitating cost-efficient, high-speed logistics across key
markets. In agriculture and allied sectors, Rajasthan plays a leading role, contributing over
40% of India’s mustard and nearly 60% of guar gum exports, along with substantial production
of millets, cumin, and pulses. The state’s livestock base of over 56 million supports vibrant
dairy and meat industries, with buffalo meat exports catering to markets such as Vietnam,
UAE, and Egypt. Rajasthan also enjoys mineral dominance, supplying over 90% of India’s
marble and more than 70% of its zinc and lead, and is advancing in value-added segments like
manufactured sand (M-sand). Complementing these advantages are progressive policies such Export Preparedness Index 2024 153
as the Rajasthan Investment Promotion Scheme (RIPS) 2022–27 and the Export Promotion
Policy 2024, which offer capital subsidies, tax reimbursements, and marketing assistance
particularly benefiting textiles, minerals, and engineering sectors.
Weaknesses
Rajasthan’s export potential is hindered by high logistics costs in interior districts such as
Bikaner and Barmer, where goods often travel over 800 km to reach ports. This raises freight rates
and reduces competitiveness, particularly for bulky exports like handicrafts and engineering
goods. The state’s limited cold storage infrastructure further affects perishable exports such as
cumin, coriander, and pomegranates, restricting access to high-value markets. Additionally, the
absence of direct port connectivity forces reliance on Gujarat ports like Mundra and Kandla,
adding to transport costs and extending turnaround times.
Opportunities
Rajasthan’s cost-effective manufacturing base offers strong potential to attract global buyers
across key sectors such as textiles, ceramics, stone craft, and auto components. Established
industrial clusters in Bhilwara, Jaipur, and Pali are well-positioned to expand exports of cotton,
wool, and traditional block prints, while ceramic hubs like Rajsamand and Beawar can tap into
emerging markets in Africa and Latin America as global buyers seek alternatives to China. The
marble and sandstone sector also holds significant opportunity to increase global market share
through modernization, adoption of advanced technology, and improved branding. The state’s
diverse portfolio of Geographical Indication (GI)-tagged products such as Jaipur blue pottery,
Kathputlis, Molela clay plaques, Bikaneri bhujia, and Jaipur hand-knotted rugs provides a
valuable export advantage by strengthening regional brands and supporting artisan-driven
economic growth. Rajasthan’s expanding multimodal logistics infrastructure, including the
Western Dedicated Freight Corridor, dry ports, and logistics parks, offers a major opportunity
to reduce transit time and costs, overcoming its landlocked constraints and enhancing trade
competitiveness. Finally, the One District One Product (ODOP) initiative enables the promotion
of district-specific crafts like blue pottery, carpets, and leather goods, driving rural employment,
export diversification, and artisan empowerment.
Threats
Rajasthan faces several threats that challenge its long-term export sustainability. As India’s
most water-stressed state, with per capita availability below 500 cubic meters, industrial hubs
like Bhilwara, Pali, and Sikar frequently endure water shortages, affecting production in key
sectors such as textiles and ceramics. Over-reliance on groundwater and erratic monsoons due to
climate change further worsen this risk. The state also struggles to compete with industrialized
peers like Gujarat and Maharashtra, which offer superior infrastructure, better port access, and
stronger policy support factors that limit Rajasthan’s ability to attract high-value investments.
Additionally, Rajasthan’s exports are heavily concentrated in markets like the United States,
which accounts for nearly 20% of its outbound trade, posing risks of external demand shocks. Export Preparedness Index 2024 154
Strategic Roadmap – Focus Areas Export Preparedness Index 2024 155 Export Preparedness Index 2024 156
Tamil Nadu Export Preparedness Index 2024 157
5.1.14 Tamil Nadu
Manufacturing hubs in Tamil Nadu
Source: Ministry of Commerce and Industry
Introduction
The southernmost state of India, Tamil Nadu, has transformed into a powerhouse of industrial
development and export activity. With a strong GSDP of ₹27.2 lakh crore (FY24), Tamil Nadu
ranks among the top contributors to India’s economy. Over the past, Tamil Nadu’s export
numbers have shown growth and in FY24, the state’s export value has crossed ₹3.6 lakh crore.
A blend of skilled labor, matured infrastructure and forward-thinking policies ensures Tamil
Nadu’s place among India’s leading export contributors.
99, 100
99 IBEF
100 NIRYAT (National Import-Export Record for Yearly Analysis of Trade) Export Preparedness Index 2024 158
Tamil Nadu’s greatest strength lies in its diversified industrial base. The state is among
the leaders in several industries such as automobiles and auto components, engineering,
pharmaceuticals, garments, and textile products. Its robust IT industry, centered in Chennai and
Coimbatore, accounts for a prominent share of India’s service exports. Tamil Nadu also has a
well-established textile industry with Coimbatore and Tirupur as global centers for apparel and
knitwear exports. The state’s well-developed logistics infrastructure including a strong road
and rail network along with its geographic advantage, marked by an extensive coastline and
strategically located ports such as Chennai, Thoothukudi and Ennore, reinforces its importance
as a key player in international trade.
101, 102, 103, 104
Despite positive year-on-year export growth, Tamil Nadu’s export sector is facing a slowdown,
with the rate of increase diminishing, potentially raising concerns with the formation of a
slump. Certain products like automotive components can be susceptible to price fluctuations
and demand shifts in international markets. Moreover, there is a slight decline in textile exports
as compared to the previous year, reflecting challenges such as high raw material costs, and
reduced global demand for certain products. These industry-based threats can have an impact
on the state’s exports.
105
The Tamil Nadu Global Investors Meet (GIM) attracted significant investments from global
tech, automotive, energy and manufacturing firms, securing investment of over ₹6.6 lakh crore,
with a considerable portion designated for electric vehicle (EV) development which has a
lot of potential in increasing the state’s exports. Alongside this, with the world focusing on
sustainable practices, Tamil Nadu’s renewable energy initiatives, including its leadership in
wind energy, can open avenues for exporting green technologies.
106, 107
Export Statistics
Source: Ministry of Commerce and Industry
101 Guidance Tamil Nadu
102 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
103 Ministry of Commerce & Industry
104 Statista
105 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
106 India Briefing
107 Renewable Energy Statistics 2023-24 Export Preparedness Index 2024 159
Tamil Nadu demonstrates a highly diversified and technologically integrated export portfolio,
rooted in its strengths across electronics, automobiles, textiles, leather, and light engineering.
The state’s top export categories include smartphones and telecom equipment, motor cars,
T-shirts, petroleum oils, and motor vehicle parts. Tamil Nadu’s industrial prowess is bolstered
by well-established hubs in Chennai, Hosur, Coimbatore, and Tirupur, supported by deep port
connectivity through Chennai, Ennore, and Tuticorin ports. Government-backed electronics
manufacturing clusters and the state’s investor-friendly policies have further accelerated
exports of high-value items such as smartphones and electric vehicle components.
Source: Ministry of Commerce and Industry
Delving deeper, Tamil Nadu’s leadership in electronics and automobiles is clearly reflected. In
telecom, exports of smartphones, communication devices, and their accessories highlight the
success of large-scale mobile phone manufacturing units in Sriperumbudur and surrounding
regions. The automobile sector is equally strong, with Tamil Nadu exporting cars across all
engine categories under 1000cc, 1000–1500cc, and above 1500cc thanks to the presence of
global auto manufacturers and a robust supplier ecosystem. Supporting this is a steady export
of vehicle parts, including gearboxes, safety airbags, and other accessories. In the petroleum
category, both light and other petroleum oils are exported from the state’s refineries, further
underscoring its infrastructure strength in energy and petrochemicals. Export Preparedness Index 2024 160
Source: Ministry of Commerce and Industry
Beyond these top sectors, Tamil Nadu’s rich textile and footwear heritage also contributes
significantly to export potential, with strong shipments of cotton and textile T-shirts, babies’
garments, and furnishing articles like bedspreads and cushions. The city of Tirupur remains a
global supplier of knitted garments, while home textile exports from Karur continue to grow
steadily. Footwear exports, including leather shoes and boots, reflect Tamil Nadu’s traditional
strengths in leather manufacturing, anchored by clusters in Vellore and Ambur. The state also
performs well in jewelry exports, especially precious metal jewelry, with Chennai emerging
as a trading and design hub. Tamil Nadu’s ability to blend traditional strengths with modern
manufacturing supported by ports, power infrastructure, and skilled labor positions it as a
consistently top-performing state with continued export growth potential across sectors.
Success Stories Export Preparedness Index 2024 161
EPI 2024-Results and Conclusions Export Preparedness Index 2024 162
SWOT Analysis
Strengths
Tamil Nadu has a diversified and resilient export ecosystem driven by electronics, engineering
goods, textiles, leather, and automobiles. In FY 2023-24, it led India’s electronics exports
at ₹79,982.08 crore (33% share), exported ₹1.4 lakh crore worth of engineering goods, and
contributed 50% of India’s leather exports and 35% of auto component exports. The state’s 23
lakh MSMEs employ over 1.5 crore people and produce more than 6,000 products. Port-led
industrialization, supported by a 1,076 km coastline and key ports like Chennai (handling 51.6
million tons in FY 2023–24), facilitates global trade. Tamil Nadu also hosts over 60 Fortune
500 companies, 37,000+ manufacturing units contributing 34% to the GSDP, and leads in
electric two-wheeler production, accounting for 70% of the national output.
Weaknesses
Traditional export sectors in Tamil Nadu such as agriculture, artisanal textiles, and goldsmithing
are in steady decline. Goldsmithing hubs in Coimbatore and Madurai have seen orders fall
by nearly 70% during peak season, as high gold prices and competition from machine-made Export Preparedness Index 2024 163
jewelry drive craftsmen out of the trade. Heritage handloom clusters like Manamedu have
shrunk from about 400 to just 127 active looms, with many weavers shifting to better-paying
MNREGA jobs. These challenges are compounded by customs inefficiencies in tier-2 export
hubs, causing delays and higher costs that erode small exporters’ competitiveness. Limited
global branding of niche products from temple jewelry to specialized engineering goods,
further restricts their ability to capture premium international markets.
Opportunities
Tamil Nadu is emerging as a top destination under the supply chain diversification strategy,
with global players like Foxconn, Pegatron, and Tata Electronics expanding their footprint. The
state accounted for over 20% of India’s electronics exports in FY 2023–24. Its growing logistics
infrastructure including ports, greenfield facilities, and freight corridors strengthens market
access. The textile sector, valued at ₹75,312 crore, is seeing policy-backed modernization
with ₹27.1 lakh crore in investments and 67,000 new jobs. Vertical integration in automotive,
electronics, and textiles is streamlining supply chains, enhancing productivity, and drawing
fresh investment. The ₹62,760 crore Integrated Logistics Plan 2023 is focused on tier-2 and tier-
3 cities, with logistics parks, warehousing, and transport networks poised to unlock balanced
industrial and export growth.
Threats
Tamil Nadu’s reliance on a few major export markets, particularly the US and Middle East, which
together account for over 30% of total exports poses a risk amid rising geopolitical uncertainty.
Auto component exports are exposed to demand shifts in the US, Europe, and Southeast
Asia. Policy changes like the EU’s Carbon Border Adjustment Mechanism (CBAM), trade
protectionism, and currency volatility add to export risk. Domestically, high industrial wages
compared to states like Uttar Pradesh and Odisha reduce cost competitiveness. Congestion at
ports such as Chennai and Ennore due to limited berthing capacity causes delays and increases
logistics costs. Infrastructure constraints like saturated highways, lack of industrial land, and
weak logistics in smaller towns further escalate operational expenses and limit scalability.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Tamil Nadu should direct efforts
toward: Export Preparedness Index 2024 164
Telangana Export Preparedness Index 2024 165
5.1.15 Telangana
Manufacturing hubs in Telangana
Source: Ministry of Commerce and Industry
Introduction
Telangana is an economically vibrant state with robust growth in IT, pharmaceuticals, agriculture,
and manufacturing.
108, 109
The state has emerged as a significant contributor to India’s GDP, with
its robust economic growth driven by a mix of service, industrial, and agricultural sectors. The
state has shown consistent economic growth, with its contribution to India’s GDP rising from
108 Telangana State Portal
109 JSR Group SunCity Export Preparedness Index 2024 166
4.8% in FY22 to 5% FY24, driven by robust policies and dynamic sectors like IT and pharma.
In FY24, the state’s annual GSDP was recorded at approximately ₹14.6 lakh crore, reflecting its
pivotal role in the national economy. Despite a challenging global trade environment in FY24,
Telangana excelled in exports with an impressive 22.9% growth, reaching ₹1.1 lakh crore from
₹0.95 lakh crore in FY23. The state ranked 9th in merchandise exports, driven by its leadership
in drug formulations and biologicals, which accounted for 35.2% of its merchandise exports.
Telangana also excelled in services exports, accounting for 10% of India’s IT & ITEs exports,
showcasing its strength in manufacturing and technology-driven sectors as well.
110, 111, 112, 113

Despite being a critical driver of economic growth and employment in Telangana, the MSMEs
sector faces persistent challenges, particularly in formalization and scaling operations. A
significant 65.7% of MSMEs in Telangana remain informal, reflecting hurdles in transitioning
to a formal structure.
114

To achieve the ambitious goal of increasing Telangana’s export value to ₹5.4 lakh crore by 2030,
the state must implement a well-rounded strategy that targets key areas such as product and
market diversification, strengthening infrastructure, and capacity building. By offering fiscal
incentives, creating an export promotion campaign, and streamlining institutional mechanisms,
the strategy will not only enhance trade competitiveness but also promote innovation, increase
the visibility of Telangana’s exports, and ensure sustainable growth in the export sector. This
comprehensive approach will significantly contribute to the state’s global competitiveness and
economic expansion.
115, 116

Export Statistics
Source: Ministry of Commerce and Industry
Telangana has reinforced its image as a powerhouse of pharmaceutical and high-tech
manufacturing exports, with a total export basket driven by formulations, active ingredients,
aerospace components, and electronics. The top HS codes reflect Telangana’s deep industrial
specialization in medicaments, including mixed/unmixed products, penicillin-based derivatives,
and hormone-based formulations. This aligns with the presence of the Hyderabad Pharma
City, Genome Valley, and numerous bulk drug parks, which continue to anchor Telangana as a
leading life sciences hub. The export of aircraft and spacecraft, especially large aircraft above
15,000 kg, is enabled by the defense and aerospace cluster near Hyderabad, home to major
Indian and global OEMs and public sector enterprises.
110 Telangana Today
111 NITI Aayog - ICED (India Climate and Energy Dashboard)
112 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
113 India Exim Bank
114 Telangana MSME Policy 2024
115 India Exim Bank
116 The Times of India Export Preparedness Index 2024 167
Source: Ministry of Commerce and Industry
Delving into the HS6-level data, Telangana’s export strength is evident in nitrogen heterocyclic
compounds particularly fused/non-fused ring structures, lactams, and other N-containing
chemicals. These are critical intermediates for pharmaceuticals and agrochemicals, produced
in chemical parks around Jeedimetla, Patancheru, and Medchal. The state also exports a wide
variety of antibiotics, including penicillin derivatives, further underscoring its leadership in bulk
drug APIs and intermediates. In electric transformers and converters, Telangana’s manufacturing
units are contributing to exports of dielectric transformers and static converters, enabled by a
robust electronics hardware ecosystem and government support under the Electronics Policy.
The export of jewelry articles, particularly precious metal ornaments, points to a thriving gem
and jewelry segment in Hyderabad, supported by high-skilled artisanal clusters.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 168
Beyond these key categories, Telangana is beginning to diversify through exports of pepper and
capsicum, vaccines and microbial cultures, mobile phones, and semi/wholly milled rice. While
smaller in value compared to pharma or aerospace, these HS6 codes represent high-growth
opportunities especially in Agri value-added exports and finished electronics. Telangana could
expand its presence in these sectors by investing in cold chain logistics, testing and certification
facilities, and export marketing for specialty crops like Deccan chili and turmeric. Strengthening
backward linkages with agricultural producers and MSMEs could also help drive inclusive
growth within the state’s export landscape.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 169 Export Preparedness Index 2024 170
SWOT Analysis
Strengths
Telangana’s industrial strength is anchored by its leading pharmaceutical hubs, mature industrial
clusters, skilled workforce, and vibrant start-up ecosystem. Hyderabad Pharma City, Genome
Valley, and MedTech Park make it a life sciences leader, contributing 32% to India’s pharma
output and hosting over 800 companies. The state also has established clusters in electronics,
aerospace, automotive, textiles, and food processing across regions like Zaheerabad,
Warangal, and Mahbubnagar, supported by robust infrastructure and policies. A technically
skilled workforce is developed through top institutions like IIIT-Hyderabad and BITS Pilani-
Hyderabad. Its start-up ecosystem thrives through platforms like T-Hub, WE Hub, and TSIC,
offering strong innovation and funding support.
Weaknesses
Despite its export growth, Telangana faces structural challenges that limit its full potential.
Land acquisition hurdles such as regulatory delays, legal complexities, and local resistance,
which slow down key projects like Pharma City, weakening investor confidence. Its landlocked
geography and reliance on distant ports like Krishnapatnam and Visakhapatnam (600–700 km
away) increase logistics costs and transit times, straining road and rail infrastructure. Economic
activity is also concentrated around Hyderabad, while districts like Mulugu and Komaram
Bheem remain underdeveloped, reflecting regional imbalances in infrastructure, investment,
and skill development that hinder inclusive growth.
Opportunities
Telangana offers strong opportunities in high-growth, export-oriented sectors. In EV
manufacturing, it aims to attract ₹33,472 crore in investments and create 120,000 jobs by
2030, backed by EV clusters, testing facilities, and supportive policies. The aerospace and
defense sector contributed 31% of state exports (USD 3.61 billion) between April–December
2024, driven by hubs like Adibatla SEZ and Hyderabad Aerospace Park. Telangana is also
transitioning from a Global Capability Center (GCC) hub to a Global Value Chain (GVC)
hub, with over 355 GCCs employing over 3 lakh professionals in deep-tech R&D. In Agri Export Preparedness Index 2024 171
exports, initiatives like Mega Food Parks, Agri Export Zones, and PM-FME are enhancing
value addition. Strengthening cold chain logistics and market linkages can further boost Agri-
exports and support regional growth.
Threats
Telangana’s export profile is heavily tilted towards IT and service exports, leaving merchandise
exports underdeveloped. This imbalance reduces diversification, making the state vulnerable
to global IT sector slowdowns and limiting its ability to expand in manufacturing-led exports.
Rising competition from South Asian countries such as Vietnam, Thailand, and Bangladesh
are eroding Telangana’s export competitiveness in key sectors like rice, textiles, and light
manufacturing. Lower production costs and stronger trade linkages give these countries an edge
in global markets, posing risks to Telangana’s export growth. Also, around 28% of Telangana’s
total exports are concentrated in the USA, creating a vulnerability to external shocks. This over-
reliance poses significant risks from sudden tariff hikes, protectionist policies, or geopolitical
disruptions in that market.
Strategic roadmap – Focus areas Export Preparedness Index 2024 172
Uttar Pradesh Export Preparedness Index 2024 173
5.1.16 Uttar Pradesh
Manufacturing hubs in Uttar Pradesh
Source: Ministry of Commerce and Industry
Introduction
Uttar Pradesh (UP), India’s most populous state, is in the Northern part of the country, covering
243,286 sq. km. With a Gross State Domestic Product (GSDP) of ₹25.2 lakh crore in FY24, it is
a key contributor to India’s economy. The state has a diversified industrial base, with prominent
sectors including agriculture and food processing, textiles, leather, electronics, and defense.
Key export commodities from UP include leather products, textiles, handicrafts, electronics,
and processed foods, contributing ₹1.7 lakh crore to the nation’s exports in FY24. The state is a
major producer of sugarcane, wheat, and mangoes, supporting both domestic consumption and
export-oriented agro-industries. Export Preparedness Index 2024 174
Uttar Pradesh has developed a robust logistics and industrial infrastructure to support its trade
and industry. It is home to 14 operational Special Economic Zones (SEZs) and 227 industrial
parks, which houses a range of manufacturing and service-based industries. The state is well-
connected through an extensive road network, including expressways such as the Yamuna
Expressway and Purvanchal Expressway. Key dry ports like Dadri ICD and the Jewar Airport
under construction will further boost exports. The top exporting districts include Noida and
Greater Noida (electronics and IT), Kanpur (leather), Agra (handicrafts), Varanasi (textiles),
and Moradabad (brassware), each contributing significantly to UP’s export footprint.
Uttar Pradesh has focused on creating a conducive environment for industrial and MSME growth.
The state’s MSME sector has seen rapid expansion, with 1.4 million new units established in
FY24, marking a 4.79% growth over FY23. Key policies, such as the Industrial Investment and
Employment Promotion Policy 2022, aim to enhance ease of doing business and attract foreign
and domestic investments. Additionally, the One District, One Product (ODOP) scheme has
significantly boosted local industries and exports by promoting traditional crafts and goods.
Major sectors like food processing, electronics, textiles, and leather are being incentivized to
scale up production and exports, positioning UP as a competitive industrial hub.
Export Statistics
Source: Ministry of Commerce and Industry
Uttar Pradesh presents a diverse and highly value-added export profile, combining leadership
in electronics, Agri-exports, leather products, textiles, and metals. The top export category
smartphones and communication devices demonstrate the state’s emerging electronics
manufacturing capability, aligning well with the national “Make in India” and PLI (Production
Linked Incentive) initiatives. Bovine meat, another major export, underscores the state’s
dominance in Agri-processing and frozen food supply chains. Together, these categories reflect
a dual industrial-Agri strength. This is complemented by robust exports of jewelry and footwear,
indicating strong artisanal skill bases and well-established MSME manufacturing clusters that
could be further scaled and supported with export infrastructure and branding initiatives. Export Preparedness Index 2024 175
Source: Ministry of Commerce and Industry
The top five HS4 export categories smartphones, bovine meat, jewelry, footwear, and women’s
woven apparel showcase UP’s export prowess in both traditional and emerging sectors. While
smartphones stand out for their high-tech assembly and global relevance, the continued
demand for bovine meat and jewelry suggests strong market linkages and competitive pricing.
The footwear sector, spread across various leather and non-leather segments, emphasizes the
state’s versatile production capacity. Similarly, the apparel segment demonstrates a solid textile
base, especially in cotton and synthetic women’s wear. A key opportunity lies in increasing
automation, branding, and compliance support to improve competitiveness and market reach,
particularly in fashion and footwear where global consumer standards are constantly evolving.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 176
The next five export categories iron/steel articles, women’s blouses and shirts, petroleum oils,
unwrought aluminum, and rice highlight UP’s breadth across traditional manufacturing, refined
petroleum, and agriculture. These reflect an industrial base with light engineering capabilities,
textile and garment clusters, and refined energy products, in addition to a strong agrarian
economy. Continued focus on building digital infrastructure, upskilling labor, and fostering
cleaner production techniques especially in high emission industries like leather and textiles
can help Uttar Pradesh upgrade its position in global value chains. Moreover, strengthening
traceability and quality certification in agro-exports like rice can open premium markets and
improve per-unit realization.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 177
SWOT Analysis Export Preparedness Index 2024 178
Strengths
Uttar Pradesh has strategically positioned itself as a vital trade and industrial hub in northern
India through integration with major national infrastructure projects such as the Eastern
and Western Dedicated Freight Corridors, the Yamuna Expressway, and the Delhi-Mumbai
Industrial Corridor (DMIC). These corridors significantly enhance logistics efficiency, lower
transportation costs, and facilitate faster movement of goods for exports. A major strength of
the state lies in its large and diverse workforce, which powers its export sector. With the highest
population in India, Uttar Pradesh offers an abundant supply of skilled and semi-skilled labor
across key export-driven industries such as textiles, handicrafts, leather, electronics, and Agri-
processing. The presence of industrial clusters in cities like Kanpur, Noida, and Moradabad
further sharpens workforce specialization, aligning production capabilities with global
demand. Adding to this momentum, the Noida-Greater Noida region has emerged as fast-
growing electronics manufacturing hub, hosting global players, and contributing significantly
to exports while reducing import dependency. Furthermore, the state boasts the highest number
of Geographical Indication (GI)-tagged products in India with 77 such products, including
Banarasi silk, Chikankari embroidery, and Kannauj perfumes.
Weaknesses
Uttar Pradesh’s food processing sector faces a critical weakness due to underdeveloped testing
and certification infrastructure, limiting its ability to meet global food safety standards. Despite
being a major agricultural producer, the state has a sparse network of NABL-accredited
laboratories, especially in rural areas, causing delays in quality validation and increasing
logistical costs, particularly for SMEs. The lack of international certifications like ISO 22000
and HACCP further hinders access to premium export markets. Additionally, limited air cargo
infrastructure at key airports like Lucknow and Varanasi forces exporters to rely on distant
hubs like Delhi, raising transit time and costs for high-value, time-sensitive goods. The sector
also suffers from low insurance penetration, with MSMEs facing challenges in accessing
affordable export credit insurance due to low awareness and procedural hurdles, exposing them
to significant trade risks.
Opportunities Export Preparedness Index 2024 179
Uttar Pradesh presents strong opportunities to elevate its export profile by leveraging strategic
initiatives and infrastructure development. The One District One Product (ODOP) scheme
enables branding of unique, region-specific products, many with GI tags, positioning the state
to move from bulk exports to high-value, niche market offerings. The growing e-commerce
ecosystem offers another major opportunity, empowering MSMEs and traditional artisans to
access global markets via online platforms while minimizing intermediaries and boosting profit
margins. There is significant scope to drive balanced regional growth by fostering industrial
development in underdeveloped districts, particularly in eastern and central Uttar Pradesh.
This would unlock untapped labor pools, reduce regional disparities, and create new nodes
of export-oriented manufacturing. Furthermore, enhanced logistics through Dedicated Freight
Corridors and inland waterways will reduce transportation costs and strengthen Uttar Pradesh’s
integration into global value chains, making it a competitive export hub.
Threats
Uttar Pradesh’s key industrial sectors, leather, textiles, chemicals, and food processing, are under
rising pressure to meet stringent environmental and regulatory standards, both domestically
and from global markets like the EU and North America. Non-compliance on issues like carbon
emissions, waste disposal, and ethical sourcing can lead to export restrictions and reputational
risks. Despite infrastructure improvements, the state continues to grapple with high logistics
costs driven by weak first-mile and last-mile connectivity, congestion, and limited multimodal
integration. Strengthening road networks, multimodal logistics parks, and rail-waterway
linkages could significantly cut transit time and costs. Furthermore, the state faces intensifying
competition from Southeast Asian economies like Vietnam, Indonesia, and Thailand, which
attract global buyers through lower manufacturing costs, strong trade agreements, and efficient
logistics in key sectors such as textiles, electronics, and Agri-processing.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Uttar Pradesh should direct
efforts toward: Export Preparedness Index 2024 180
West Bengal Export Preparedness Index 2024 181
5.1.17 West Bengal
Manufacturing hubs in West Bengal
Source: Ministry of Commerce and Industry
Introduction
West Bengal, with a Gross State Domestic Product (GSDP) of ₹17.0 lakh crore in FY24,
represents a critical economic hub in eastern India. The state’s exports amounted to ₹97,739 crore
during this period, highlighting its growing significance in India’s international trade landscape.
The state’s industrial backbone is strengthened by over 26.5 lakh MSMEs, which recorded an
extraordinary 600% year-on-year growth in FY24, reflecting the state’s commitment to fostering
small-scale industries. West Bengal’s infrastructure supports its economic ambitions, with 15 Export Preparedness Index 2024 182
industrial parks, 7 Special Economic Zones (SEZs), and 2 international airports, strategically
located to connect the state to global markets.
117, 118, 119, 120

West Bengal is pursuing an integrated economic development strategy through its Export
Promotion Policy 2023, Logistics Policy 2023, and Industrial and Economic Corridor Policy
2023. The Export Promotion Policy aims to double the state’s exports by 2030 by offering
financial incentives, enhancing infrastructure, supporting skill development, and prioritizing
sectors like textiles, food processing, chemicals, and IT services. Export Facilitation Centers
have been set up in every district to assist exporters. Complementing this, the Logistics Policy
2023 seeks to align with the Gati Shakti Master Plan and position West Bengal as a logistics hub
through the development of multimodal logistics parks, cold storage chains, freight villages,
green logistics, and smart enforcement systems key initiatives intended to reduce logistics costs
and attract investments. Meanwhile, the Industrial and Economic Corridor Policy 2023 promotes
balanced regional development by building industrial clusters, encouraging private sector
participation, and establishing major corridors such as the 398-km Raghunathpur-Dankuni-
Tajpur and 43-km Dankuni–Kalyani routes, along with integrated industrial parks across high-
growth sectors. Together, these policies aim to transform West Bengal’s economic landscape by
boosting trade competitiveness, industrial output, and global investment inflows.
121, 122, 123
West Bengal’s geographical location also plays a pivotal role in its trade dynamics. Proximity
to international borders with Bangladesh, Bhutan, and Nepal and access to the Bay of Bengal
provide strategic advantages for exports. The Integrated Export Park in Darjeeling, focused on
Agri-products and perishables, is expected to enhance export competitiveness by offering value
addition, storage, and logistics facilities.
124
Export Statistics
Source: Ministry of Commerce and Industry
117 NIRYAT (National Import-Export Record for Yearly Analysis of Trade)
118 Ministry of MSME PIB – 11th December 2023
119 Ministry of Commerce & Industry PIB – 10th March 2021
120 India Industrial Land Bank
121 West Bengal Export Promotion Policy 2023
122 West Bengal Logistics Policy 2023
123 West Bengal Industrial Corridor Policy 2023
124 International Trade & Logistics, West Bengal 2023 Export Preparedness Index 2024 183
West Bengal showcases a diverse export portfolio rooted in traditional craftsmanship, mineral-
based industries, Agri-exports, and marine products. The state’s top HS4 export categories
include Jewelry articles, Ferro alloys, Petroleum oils, Human hair and wigs, and Leather
goods. These sectors are driven by the state’s strategic geographic location with access to the
Kolkata port, a developing MSME ecosystem, and historical strengths in sectors like leather
and jewelry. West Bengal’s ferro-alloy exports are anchored by mineral reserves in the western
districts and the presence of ferro-alloy plants in Asansol-Durgapur. Meanwhile, traditional
industries such as leather and jewelry continue to find global markets, supported by artisan
clusters and export facilitation schemes.
Source: Ministry of Commerce and Industry
At the HS6 level, West Bengal’s export dominance in the top five HS4 categories becomes clearer.
Under Jewelry, precious metal jewelry constitutes the bulk of the trade, with Kolkata being a
traditional hub for handcrafted gold jewelry. The Ferro-alloys category is notably diversified
ferromanganese, ferrochromium, and ferrosilicon demonstrating the state’s metallurgical
capacities and mineral linkages. In Petroleum oils, both light and other petroleum oils are
exported from refineries like Haldia, a key node in India’s eastern oil distribution network. The
Human hair and wigs segment reflects a growing niche export driven by craftsmanship and
demand from Europe, Africa, and the U.S. Similarly, the leather bags and accessories category
features exports of wallets and handbags, leveraging the state’s leather complex in Bantala and
artisan skill base. Export Preparedness Index 2024 184
Source: Ministry of Commerce and Industry
Beyond the top five, other HS6-level exports reveal areas with considerable room for expansion.
In rice, West Bengal exports both milled rice and husked rice drawing from its agrarian
base; however, branding and quality differentiation can further boost value. The crustacean’s
category especially frozen shrimp and prawns and mussels shows potential for growth with
cold-chain improvements and aquaculture investments. Additionally, iron and steel products
such as cast-iron articles and grinding balls, and ferrous scrap suggest budding metallurgical
exports that can scale with better downstream processing. Articles like leather gloves, though
smaller in share, represent an artisan-led opportunity to diversify into high-value, niche leather
accessories. With improved trade facilitation, infrastructure investment, and targeted skilling,
West Bengal can deepen its export base and increase its share in India’s merchandise exports.
Success Stories Export Preparedness Index 2024 185
EPI 2024-Results and Conclusions Export Preparedness Index 2024 186
SWOT Analysis
Strengths
West Bengal, India’s third-largest mineral-producing state, contributes 20% to national output,
99% from coal with key reserves in Raniganj, Asansol, and the Deocha-Pachami block
(Asia’s largest). In FY 2023–24, coal production reached 32.8 million tons. Export capacity is
strengthened by major seaports, Syama Prasad Mookerjee Port (Kolkata and Haldia), which
handled 66.4 MMT of cargo, supported by robust road, rail, and waterway connectivity.
Manufacturing grew 7.8% in 2024, above the national average, with 8.8 million MSMEs (14%
of India’s total). The Kolkata Leather Complex contributes 22-25% of India’s tanning, and
IISCO Steel Plant produces 2.5 million tons of crude steel. Competitive labor costs, from
₹10,038 to ₹13,360/month in urban areas, further enhance industrial appeal.
Weaknesses
West Bengal’s industrial and export sectors face structural challenges. Manufacturing
contributed only 13.61% to the state’s GSDP in 2023-24, while merchandise exports dropped Export Preparedness Index 2024 187
from ₹1.1 lakh crore to ₹0.9 lakh crore, indicating declining industrial competitiveness. Slow
modernization in key sectors like textiles, leather, and engineering limits productivity and
global compliance. Weak R&D investment and low digital integration hinder integration into
global value chains. Despite high-potential products like Darjeeling tea and Baluchari sarees,
limited branding, poor export marketing, and underuse of GI tags and digital platforms reduce
value realization and global visibility.
Opportunities
West Bengal stands to gain from the India-UAE CEPA, with the UAE accounting for 12% of its
exports. Sectors like textiles, gems and jewelry, and Agri-products now enjoy tariff-free access
and simplified customs, boosting MSME market entry. The agreement may also spur UAE
investments in the state’s infrastructure and manufacturing. With India’s technical textiles sector
projected to grow at 11.5-12.5% CAGR (2024–28), West Bengal is well-placed to tap into this
demand. Strategic infrastructure upgrades, like the Tajpur deep-sea port and improved road
links, alongside digital tools like the e-Suvidha portal and e-commerce partnerships, further
enhance its global trade potential. With a significant share of West Bengal’s export basket
comprising intermediate goods in 2024, there lies a strong foundation for industrial growth.
By capitalizing on this existing strength, the state can develop downstream manufacturing
ecosystems to convert these intermediates into high value finished products, thereby increasing
value addition, diversifying its export portfolio, and improving global trade competitiveness.
Threats
West Bengal’s industrial and export competitiveness is threatened by rising competition from
countries like Bangladesh, Vietnam, and Sri Lanka, which offer lower labor costs, favorable
trade policies, and sectoral strengths in textiles and leather. These nations are attracting more
FDI and global buyers. Additionally, the outmigration of skilled talent for better opportunities
elsewhere weakens the local workforce, limiting high-value industrial growth. Also, stricter
ESG compliance requirements in global markets pose a challenge for West Bengal’s key
export-oriented sectors such as mining, leather, and textiles, which may face increased scrutiny,
regulatory barriers, or loss of market access if sustainability standards are not met.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, West Bengal should direct
efforts toward:
Export Preparedness Index 2024 188
Andaman & Nicobar Islands Export Preparedness Index 2024 189
5.2 Small States, NE & UTs
5.2.1 Andaman & Nicobar Islands
Manufacturing hubs in Andaman & Nicobar Islands
Source: Ministry of Commerce and Industry
Introduction
The Andaman & Nicobar Islands, located in the Indian Ocean, comprises of 832 islands in
the southeastern Bay of Bengal, positioned close to Indonesia and Thailand. Their strategic
location makes them a vital hub for India’s economic and strategic cooperation, especially
under the Act East Policy. Andaman & Nicobar Islands play a key role in strengthening India’s
ties with East Asian and maritime nations. With 23 ports and an international airport in Port
Blair, the capital, the islands enjoy strong connectivity with global markets. The growing tourist Export Preparedness Index 2024 190
influx has created significant demand for local handicrafts, offering opportunities for artisans
and small businesses. Their favorable policies and infrastructure support the growth of these
emerging sectors. The region also houses 12,574 MSMEs, contributing to local employment
and economic activity.
125
As of FY24, the Gross State Domestic Product (GSDP) of the Andaman & Nicobar Islands
is estimated at approximately ₹12,504 crore. Over the past eight years, the government has
invested around ₹30,460 crore in the region, with an additional ₹10,125 crore worth of projects
in the pipeline, as part of a strategic infrastructure push. These efforts aim to transform the
islands into a key economic and logistical hub. Major initiatives include the development of
a trans-shipment hub, a greenfield airport, a new township, and a diesel/solar hybrid power
plant to enhance energy resilience. A major highlight is the planned international container
transshipment port at Galathea Bay on Great Nicobar Island. This port is expected to significantly
boost India’s maritime trade capacity and global logistics presence. The project is set to be
completed in phases, with the first phase targeted for completion in 2028. Upon completion, it
will have a handling capacity of 4 million Twenty-Foot Equivalent Units (TEUs).
The development of port infrastructures and trans-shipment capabilities in Great Nicobar
represents more than a logistical upgrade and it marks a strategic shift in India’s maritime
ambitions. Situated at the intersection of major global shipping lanes, the Andaman & Nicobar
Islands are poised to emerge as a vital hub for regional trade and security.
Export Statistics
Source: Ministry of Commerce and Industry
Andaman & Nicobar Islands’ export landscape is modest but distinctive, shaped by its island
geography and maritime environment. The state’s outbound trade is heavily centered around
marine products, supported by small pockets of activity in engineering goods and processed
foods. While the overall export value remains low compared to mainland states, the composition
reflects the islands’ natural resource base and niche manufacturing potential. The dominance
of frozen fish exports underscores the importance of fisheries to the local economy, both as a
livelihood and an economic driver.
126
125 IBEF
126 Ministry of Commerce & Industry Export Preparedness Index 2024 191
Source: Ministry of Commerce and Industry
Frozen fish is by far the most significant export from the islands, split primarily between whole
frozen fish and frozen fish fillets. These categories suggest both direct catch and processing
capabilities, likely catering to international markets that value clean sourcing and traceability.
Alongside fisheries, the export of iron and steel structures specifically towers, and lattice masts
indicates participation in specialized fabrication or shipyard-linked activities, which fits with
the islands’ strategic naval positioning. Frozen boneless beef, albeit in smaller volumes, adds
another dimension to the protein export base, potentially pointing to niche markets in Southeast
Asia or the Middle East. The export of tugs and pusher craft hints at some capacity for small-
scale shipbuilding or refitting, possibly tied to the local maritime infrastructure.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 192
Beyond the top sectors, a small but varied set of products rounds out the export mix. Machinery
used in mineral processing, including mixers for concrete or mortar, suggests some industrial
support activities likely aligned with regional infrastructure development. Other food
preparations indicate small-scale food processing, while items like printed books and leaflets
point to low-volume, perhaps locally produced educational or promotional material. Engine
components, medicaments, and ignition parts although minimal in value imply limited but
present participation in manufacturing or re-export of spare parts. These exports, though niche,
collectively reflect a localized, resource-aware trade strategy in a remote but strategically
situated territory.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 193 Export Preparedness Index 2024 194
SWOT Analysis
Strengths
Located near the strategic Strait of Malacca, the Andaman and Nicobar Islands offer strong
potential for port-led growth and maritime trade. With a vast 600,000 sq. km Exclusive Economic
Zone and rich marine biodiversity, the region is well-suited for fisheries and aquaculture and
also has abundant marine resources supported by rich biodiversity, pristine waters, and low
pollution levels, enabling the harvest of premium-quality seafood. The economy is driven by
over 35,000 MSMEs in services and agriculture, supporting local employment. Development is
being accelerated through initiatives like the Island Development Agency (IDA) and alignment
with national programs such as Udyam and PM Gati Shakti.
Weaknesses
There is a clear lack of large-scale manufacturing units, Special Economic Zones (SEZs), or
industrial clusters. Most of the economy is dominated by micro and small enterprises, which
restricts economies of scale, global competitiveness, and the ability to meet high-volume
export orders. Islands suffer from major infrastructure gaps, including a shortage of modern
cold storage facilities, warehouses, processing centers, and accredited laboratories. In addition,
basic education and English proficiency are strengths but there is a shortage of domain-specific
technical talent (e.g., in industrial engineering, export logistics, quality control), which limits
the development of specialized export industries.
Opportunities
The Islands hold strong potential to become a strategic trade gateway due to their location
near key international shipping lanes and Southeast Asian markets. Plans for developing a
deep seaport hub can attract global maritime traffic, boost transshipment, and reduce reliance
on mainland ports. Rising demand for value-added seafood and tropical agricultural products
presents opportunities for growth in Agri and marine processing, enabling the islands to tap
into premium export markets. The expansive EEZ enables growth in fisheries, deep-sea fishing,
aquaculture, seaweed farming, and marine biotech, key pillars of a thriving blue economy. Export Preparedness Index 2024 195
Threats
The Andaman and Nicobar Islands face significant geopolitical sensitivities due to their strategic
location in the Indo-Pacific, making them vulnerable to regional tensions and heightened
security risks that can disrupt trade and investment. Stringent environmental regulations and
restrictions, aimed at preserving the islands’ fragile ecosystems, limit large-scale industrial
activity and infrastructure expansion. Additionally, the region’s small population, limited
production base, and high logistics costs hinder its ability to achieve competitive scale in global
trade, reducing its appeal for large export-oriented industries.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Andaman and Nicobar Islands
should direct efforts toward: Export Preparedness Index 2024 196
Arunachal Pradesh Export Preparedness Index 2024 197
5.2.2 Arunachal Pradesh
Manufacturing hubs in Arunachal Pradesh
Source: Ministry of Commerce and Industry
Introduction
Arunachal Pradesh is the largest among the seven states located in Northeast India, with an
area of 83,743 sq kms. It shares its borders with the neighboring countries of Bhutan in the
west, China (Tibet) in the north and northeast, Myanmar in the east and southeast, and the
Indian states of Assam and Nagaland in the south. Arunachal Pradesh’s GSDP is estimated to
reach ₹46,096 crore in the financial year FY24. The state is rich in mineral reserves, offering
significant potential for growth in the mining sector. Additionally, its diverse topography
creates favorable Agri-climatic conditions, making it an ideal location for the cultivation of
flowers, as well as aromatic and medicinal plants. This combination of natural resources can
power economic development in Arunachal Pradesh.
The state is divided into five river valleys - the Kameng, the Subansiri, the Siang, the Lohit,
and the Tirap. These river valleys have immense hydropower potential, currently estimated at Export Preparedness Index 2024 198
50,328 Megawatt (MW), or approximately 10% of India’s current power generating capacity.
As of FY24, Arunachal Pradesh had a total installed power-generation capacity of 773.3 MW.
Arunachal Pradesh’s strategic location offers significant opportunities for international trade,
particularly with neighboring South Asian countries like Myanmar, Bhutan, and China. The
state’s textiles and handicrafts are in high demand in these markets, reflecting its growing trade
potential. The state is the largest producer of kiwis in India and the second largest producer of
large cardamom. It is also known for its diverse inland fisheries.
Export Statistics

Source: Ministry of Commerce and Industry
Arunachal Pradesh’s export landscape, while modest in scale, reflects a resource-rich economy
with growing industrial aspirations. Leading the state’s export basket are ferro-alloys, whose
production requires significant energy input. Tobacco and spice exports highlight the agrarian
base, with products like ginger and turmeric standing out for their niche quality and organic appeal.
Though limited in volume, alcoholic spirits such as rum and whisky indicate the emergence of
small-scale distillation industries tapping into sugarcane and grain production. These exports
together hint at an economy rooted in natural resources, traditional agriculture, and early-stage
processing industries that could benefit from better connectivity and value chain integration. Export Preparedness Index 2024 199
Source: Ministry of Commerce and Industry
The dominance of ferro-silicon in the state’s top exports points to the presence of metallurgical
processing units likely small or mid-scale furnaces utilizing local inputs and hydropower. Tobacco,
in stemmed or stripped form, reflects both cultivation and initial processing, potentially serving
domestic and regional markets with scope for upgrading into value-added products like cigars
or blends. Turmeric and ginger, both native to the region, speak to the agro-climatic advantages
of Arunachal and the growing demand for clean-label, naturally grown spices in global health-
conscious markets. Alcoholic beverages, though niche, show localized distillation activity with
rum taking precedence, indicative of potential for craft spirits branding. Veneer wood exports
further tap into forest resources, suggesting sustainable forestry practices and a step into wood-
based manufacturing that could expand with better forest-to-market infrastructure.
Source: Ministry of Commerce and Industry
Beyond the top five, Arunachal’s exports include small volumes of polished diamonds,
automotive components, and industrial parts like engine fittings and pumps. These categories,
while minor in value, reflect dispersed micro-industrial activity. Glassware and mechanical
pumps indicate low-scale manufacturing or assembly operations, perhaps linked to repair
markets or OEM supply chains. Overall, Arunachal Pradesh’s exports reveal a resource-led
model with early signs of industrialization, especially in metallurgy and Agri-processing. With
targeted investment in logistics, branding, and skill development, the state could turn its raw
strengths into high-value, sustainable exports that reflect both local identity and global demand. Export Preparedness Index 2024 200
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 201
SWOT Analysis Export Preparedness Index 2024 202
Strengths
Arunachal Pradesh possesses a favorable agri-climatic conditions that support a wide
range of horticultural activities, including the cultivation of oranges, kiwifruit, ginger, and
organic produce. The state has emerged as India’s leading producer of kiwifruit, contributing
approximately 7,430 metric tons annually, about 44.7% of the country’s total output. It also
ranks as the second-largest producer of large cardamom. The region’s rich tribal heritage fuels
the production of ethnic textiles, bamboo goods, and traditional crafts, which are increasingly
finding markets abroad. These products are further supported by government initiatives such
as Geographical Indication (GI) tagging to enhance their international appeal. Improved
connectivity through airports in Itanagar (Donyi Polo), Tezu, and under the UDAN scheme has
opened new freight and cargo channels, significantly boosting trade opportunities. Additionally,
the state’s growing ecotourism and cultural tourism sectors are attracting both domestic and
international travelers, creating promising avenues for the hospitality industry, support services,
and the export of locally made souvenirs.
Weaknesses
Despite recent improvements, road and rail infrastructure in Arunachal Pradesh remains
underdeveloped, particularly in interior regions. The state’s challenging terrain and remote
location make the transportation of goods to major markets both costly and time-consuming.
Inadequate logistics infrastructure, including the absence of cargo terminals, cold chain systems,
and industrial warehouses, severely hampers the potential for large-scale exports and imports.
Furthermore, the lack of Special Economic Zones (SEZs), export hubs, and industrial corridors
has limited the growth of export-oriented manufacturing. The state’s economy continues to
rely heavily on central government grants, with a low internal revenue base and minimal
participation from the private sector.
Opportunities
Arunachal Pradesh presents considerable opportunities under India’s Act East Policy, particularly
through initiatives like the India-Myanmar-Thailand Trilateral Highway, which enhance
connectivity with Southeast Asia. The establishment of border haats and integrated check posts
(ICPs) is poised to promote formalized cross-border trade with neighboring countries. With an
estimated hydropower potential exceeding 50,000 MW, Arunachal Pradesh is well-positioned
to become a hub for energy-intensive industries and a net exporter of electricity. Additional,
Arunachal’s climate is ideal for cultivating export-quality flowers such as orchids, anthuriums,
and gladiolus. With rising global demand for exotic florals, the state can tap into a valuable
niche export market.
Threats
Arunachal Pradesh faces several challenges to its economic and industrial growth. Ongoing
border disputes with China, especially in the Tawang region, contribute to uncertainty
surrounding long-term infrastructure investments and industrial planning. The state is also
geographically vulnerable, being prone to landslides, floods, and earthquakes, which frequently
disrupt supply chains and significantly raise logistics and maintenance costs. In addition, high
transportation costs, driven by the state’s remoteness from major trade hubs such as Kolkata
and Mumbai, diminish the price competitiveness of Arunachal’s exports. Exporters further Export Preparedness Index 2024 203
face challenges in accessing raw materials, establishing connections with global buyers, and
obtaining financial and trade facilitation services, all of which hinder the state’s ability to fully
realize its import-export potential.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Arunachal Pradesh should direct
efforts toward: Export Preparedness Index 2024 204
Assam Export Preparedness Index 2024 205
5.2.3 Assam
Manufacturing hubs in Assam
Source: Ministry of Commerce and Industry
Introduction
Assam leads the North-Eastern region in terms of economic output and industrial activity with
a Gross State Domestic Product (GSDP) of ₹5.8 lakh crore in FY24. Owing to its relative
proximity to the rest of the country and availability of quality infrastructure, the state offers a
favorable environment for industry.
Assam has the largest tea-growing area in the world with ~661 million kg constituting around
one-seventh of the global tea production. It also has 20 industrial estates, three industrial growth Export Preparedness Index 2024 206
centers, 11 Integrated Infrastructure Development Depots, 17 industrial areas, 12 growth
centers, eight mini-industrial estates, one export promotion park and one food processing
industrial park. Assam is also the most popular tourist destination among the northeast states.
Exports from the state stood at ₹3,700 crore in FY24. Assam strengthened its investment
climate by amending the Industrial & Investment Policy of Assam 2019, introducing tailored
incentives for mega projects, such as capital and production-linked subsidies, power tariff relief,
land and stamp duty concessions and payroll support. Complementing this was the launch of
the Assam Electronics (Semiconductor, etc.) Policy 2023, aimed at positioning the state as a
semiconductor and electronics hub. It offers an additional 40% capital expenditure support atop
central grants, along with subsidies on power tariffs (up to 50% for 10 years), concessional
water supply, land-price benefits, SGST reimbursements, and full stamp duty exemptions.
Export Statistics
Source: Ministry of Commerce and Industry
The major export for the state of Assam is tea, where the state has a long-standing global
reputation. The state produces some of the finest varieties of black tea, and its exports include
bulk black tea as well as retail packaged tea and smaller volumes of green tea. The presence
of organized auction platforms such as the Guwahati Tea Auction Centre (GTAC) and well-
established plantation infrastructure contribute to sustained export performance. Coke and semi-
coke form another key category, supported by coal availability and small-scale coke production
units in the region. The export of medicaments has also grown, aided by pharmaceutical
manufacturing hubs near Guwahati that produce formulations and antibiotic-based medicines
for domestic and global markets. Lastly, coal and bituminous coal contribute to resource-based
exports, facilitated by state-owned coal mining operations. Export Preparedness Index 2024 207
Source: Ministry of Commerce and Industry
The state’s export portfolio within these top-performing HS4 categories reflects notable
product diversity. For petroleum oils, both light oils and other refined oils are exported in
large quantities. In tea, the bulk exports are led by black tea over 3 kg and retail-packed tea,
supported by branding and long-standing demand in the Middle East, Europe, and Russia. For
medicaments, finished pharmaceutical formulations and antibiotics dominate, leveraging the
region’s growing industrial base in bulk drug production and formulation.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 208
Beyond these leading segments, several commodities represent untapped potential for export
growth. For instance, Assam exports wood charcoal and shell/nut wood in small volumes,
indicating possible opportunities for expanding exports through better value addition and
sustainable forestry practices. Similarly, in the fragrances and cosmetics segment, products
like odoriferous substances and skincare preparations are emerging exports that could benefit
from branding, quality enhancement, and targeting niche global markets. Sesame seeds and
other oleaginous fruits also present growth potential, given Assam’s Agri-climatic suitability
for oilseed cultivation. If supported by processing infrastructure and certification schemes,
these could be positioned for exports to East and Southeast Asian markets.
Success Stories
EPI 2024 – Results and Conclusions Export Preparedness Index 2024 209 Export Preparedness Index 2024 210
SWOT Analysis
Strengths
Assam has significantly improved its connectivity through initiatives like Bharat Mala,
Sagarmala, and the Act East Policy enhancing road, rail, and inland waterway infrastructure
most notably the multimodal logistics park at Jogighopa and Brahmaputra upgrades which
strengthen regional and cross-border trade with Bangladesh and Myanmar. These efforts are
further reinforced by the Assam Logistics and Warehousing Policy 2022, which aims to develop
integrated logistics hubs and modern warehousing to improve supply chain efficiency. As
India’s tea capital, Assam contributes over 50% of national tea production, with strong global
demand for its Orthodox and CTC varieties. In agriculture, Assam boasts a diverse crop base
including rice, mustard, citrus, and medicinal plants - with over 300 species cultivated under the
CSIR-Aroma Mission, which supports over 100,000 farmers and enhances rural livelihoods.
Assam stands out for its proactive trade planning, with 13 strategic export roadmaps in place
- among the highest in the country demonstrating a strong institutional focus on expanding
exports through targeted engagement with partner countries and aligning sectoral strengths
with external market opportunities.
Weaknesses
Assam’s export base remains narrow, with tea alone accounting for more than half of total
merchandise exports. This over-reliance on a single commodity exposes the state to global price
fluctuations and climate-related disruptions, weakening its export resilience. Simultaneously,
limited high-value job opportunities are prompting youth migration to larger cities, resulting in
a growing gap in the availability of skilled talent particularly in innovation-driven industries.
Assam’s export value chain is weakened by the shortage of NABL-accredited and EIC-approved
testing centers for tea and Agri-products. Exporters are majorly dependent on out-of-state labs
in Kolkata and Hyderabad, leading to delays, higher logistics costs and certification bottlenecks.
This hampers export competitiveness, especially for small and medium enterprises.
Opportunities
Assam’s strategic location places it at the heart of India’s Look East – Act East Policy, with
major connectivity initiatives like the India-Myanmar-Thailand Trilateral Highway and the Export Preparedness Index 2024 211
Kaladan Multi-Modal Transit Project significantly enhancing trade access to Southeast Asia.
These linkages position Assam as a potential gateway for regional value chains and cross-border
commerce. The state is also emerging as an important player in semiconductor manufacturing,
led by Tata Group’s ₹27,533 crore OSAT (Outsourced Semiconductor Assembly and Testing)
facility in Jagiroad set to produce 48 million chips daily by 2025, opening high-tech export
avenues and upstream supply chain opportunities. Additionally, Assam can expand exports
by leveraging its rich portfolio of GI-tagged products like Muga silk, Joha rice, and Assam
Orthodox tea, especially if supported by stronger branding, certification, and market linkage
initiatives. Global supply chain shifts under the China+1 strategy also offer the state’s tea
sector an opening to capture displaced demand from traditional sourcing hubs, provided
Assam strengthens logistics, traceability, and quality standards to meet international buyer
expectations.
Threats
Assam’s distance from key ports like Kolkata and Haldia leads to long transit times and
high freight costs for bulky and perishable goods. Poor connectivity, inadequate cold chain
infrastructure, and limited cargo services worsen logistics inefficiencies. Dependence on third-
party logistics and inter-state hubs raises operational costs and weakens export competitiveness.
The state’s export concentration is another risk, with Bhutan accounting for approximately 23%
of total exports, making Assam vulnerable to disruptions in bilateral trade. Natural disasters
like floods, landslides, and erratic monsoons frequently damage crops and infrastructure,
deterring investments and affecting supply chain stability. In addition, the state faces a serious
threat from unaccounted exports due to exporters bypassing formal trade channels and ignoring
standard export procedures. Practices like under-invoicing, non-registration, and routing
through informal networks or neighboring states lead to revenue loss and distorted trade data.
This compromises product traceability, damages Assam’s export credibility, and hinders the
development of a transparent export ecosystem.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Assam should direct efforts
toward: Export Preparedness Index 2024 212 Export Preparedness Index 2024 213 Export Preparedness Index 2024 214
Chandigarh Export Preparedness Index 2024 215
5.2.4 Chandigarh
Manufacturing hubs in Chandigarh
Source: Ministry of Commerce and Industry
Introduction
The Union Territory of Chandigarh, serving as the capital for both Punjab and Haryana, holds
a unique position in India’s administrative and economic landscape. Despite its relatively
small geographical size, Chandigarh maintains a notable economic profile with a Gross State
Domestic Product (GSDP) of ₹57,734 crore in 2022-23. In FY24, Chandigarh’s export value
stood at around ₹912 crore, reflecting its niche presence in sectors such as pharmaceuticals,
engineering goods and IT services.
Chandigarh’s economic strengths stem from its strategic location in northern India, a highly Export Preparedness Index 2024 216
literate population, and robust service sector activity. The city has developed as a hub for
administrative services, education, healthcare, and emerging tech-based industries. Its IT and
ITES sectors have steadily grown, aided by dedicated infrastructure such as the Rajiv Gandhi
Chandigarh Technology Park. This tech-focused environment has enabled the export of software
services and professional consulting to global markets. Additionally, the pharmaceutical
manufacturing units operating in the region contribute to medical exports, primarily to countries
in Africa and South Asia.
The city’s well-planned urban infrastructure and connectivity with industrial belts in Punjab and
Haryana further support its integration into regional trade dynamics. However, Chandigarh’s
export growth is constrained by limited industrial land availability and a focus on administrative
and residential functions. The absence of major logistical infrastructure such as cargo ports or
large airports limits scale in goods exports. Moreover, the UT’s export profile is less diversified,
which poses challenges in adapting to external demand shifts.
In essence, Chandigarh’s export profile reflects the characteristics of a highly urbanized, service-
oriented economy with niche contributions in IT and pharmaceuticals. While its absolute export
volume remains limited, its strong per capita indicators and focused sectoral strengths highlight
the distinct role it plays within India’s broader economic and export landscape.
Export Statistics
Source: Ministry of Commerce and Industry
Chandigarh’s export landscape is characterized by a blend of advanced machinery components,
synthetic textiles, pharmaceuticals, and precision equipment, reflecting the city’s industrial
and technological strengths. Leading exports include parts for textile machinery, particularly
parts for knitting machines and sewing machines with related needles, which highlight
Chandigarh’s role as a hub for textile engineering and manufacturing support industries. This
is complemented by significant exports of synthetic staple fibers and yarns, including acrylic
staple fibers, underpinning the city’s contribution to India’s synthetic textile supply chain. Export Preparedness Index 2024 217
Source: Ministry of Commerce and Industry
Drilling down to the HS6 codes, Chandigarh excels in exporting cameras and cinematographic
equipment, showcasing its niche in precision optical and imaging devices. The city is also
a notable exporter of medicaments, including antibiotics, reflecting a strong pharmaceutical
manufacturing base that benefits from the region’s emphasis on healthcare innovation and
research. These sectors underline Chandigarh’s diversified industrial base, blending traditional
manufacturing with high-tech pharmaceutical production.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 218
Despite its strong performance in machinery parts, synthetic fibers, and pharmaceuticals,
Chandigarh has opportunities to grow in other segments such as other food preparations and
jewelry articles, which currently contribute less significantly to exports but have potential given
the city’s growing consumer markets and artisan base. Additionally, the export of ammunition
and related products while specialized, represents a small but strategic sector with scope for
enhanced compliance and expanded market reach. By leveraging its technological infrastructure
and skilled workforce, Chandigarh can further diversify and scale its export capabilities across
these promising sectors.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 219 Export Preparedness Index 2024 220
SWOT Analysis
Strengths
Chandigarh boasts a diversified export market, with its goods reaching a broad range of
international destinations including the US, Germany, UAE, Singapore, and several others,
enhancing trade resilience and global integration. The UT also contributes significant value-
added exports, particularly in engineering goods and pharmaceuticals, reflecting the region’s
manufacturing capabilities. With a high literacy rate of around 86% and an urban-dominated
population, Chandigarh offers a well-educated, skilled workforce ideal for high-value production
and services. Additionally, despite its limited geographical area, the UT has developed a mature
industrial and logistics infrastructure, supporting sectors such as auto components, electronics,
and pharmaceuticals. Its well-developed road network, proximity to key industrial corridors,
and access to nearby air cargo facilities ensure seamless integration into regional supply chains,
enabling efficient movement of goods.
Weaknesses
Chandigarh currently lacks a dedicated export promotion cell, relying instead on central-level
mechanisms (DGFT, Ministry of Commerce) and UT administration, which limits targeted
export facilitation. The city also faces limited connectivity to export markets due to its
landlocked position and insufficient warehousing/cargo infrastructure; much of its outbound
logistics is dependent on facilities in Punjab and Haryana. Finally, operating costs remain high,
driven by premium real estate, educated labor costs, and constrained industrial real estate,
which reduces its competitiveness versus neighboring states.
Opportunities
Chandigarh can further tap its underpenetrated pharma sector, leveraging existing firms like
Pfizer and Ind‑Swift to expand into higher‑value formulations and specialty exports. With
MSMEs making up about 98% of its industrial base, the growing MSME ecosystem presents
a strong foundation to boost exports via capacity-building and cluster-level interventions. Export Preparedness Index 2024 221
The UT also has an existing presence in auto-ancillary production, which can be scaled up to
enhance engineering export value. Finally, limited land availability positions Chandigarh to
specialize as a strategic R&D hub, focusing on high-value innovation and leveraging its skilled
workforce and infrastructure.
Threats
One major constraint is limited industrial land, with just ~1,200 acres reserved, hindering the
expansion of heavy or space‑intensive industries. Chandigarh also faces fierce competition from
neighboring Punjab and Haryana, particularly in FDI attraction for manufacturing and Agri-
based sectors. Also, there is an increasing emphasis on services exports, especially software/
ITES overshadowing merchandise exports, potentially diverting policy attention and resources.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Chandigarh should direct efforts
toward: Export Preparedness Index 2024 222
Dadra & Nagar Haveli and
Daman & Diu Export Preparedness Index 2024 223
5.2.5 Dadra & Nagar Haveli and Daman & Diu
Manufacturing hubs in Dadra & Nagar Haveli and Daman & Diu
Source: Ministry of Commerce and Industry
Introduction
Dadra & Nagar Haveli and Daman & Diu, a Union Territory (UT) of India, is in the Western
region of India. The UT shares borders with the Arabian Sea, Maharashtra, and Gujarat.
In FY24, total merchandise exports from Dadra & Nagar Haveli and Daman & Diu stood at
₹38,493 crore. The Union Territory is a national leader in plasticizer production, accounting
for nearly 28% of India’s plastic output. Its plastics industry caters to a wide range of sectors,
including aerospace, household goods, medical devices, greenhouses, defense, and non-
conventional energy. Export Preparedness Index 2024 224
Infrastructure investment from the central government includes a major push in 2024:
₹1,916 crore was allocated across 33 large-scale projects in Dadra & Nagar Haveli and
₹340 crore in Daman & Diu, covering roads, health, education, and administrative facilities,
alongside 10 key initiatives per district in Daman and Diu. Diu Airport serves as the UT’s sole
commercial airport, handling 66,252 passengers in FY 2023–24, while Daman Airport remains
active for military and Coast Guard operations. Notably, FDI inflows totaling ₹1,480 crore
(Oct 2019-Mar 2024) demonstrate increasing investor interest.
Export Statistics
Source: Ministry of Commerce and Industry
Dadra & Nagar Haveli and Daman & Diu presents one of the most industrially vibrant export
profiles among India’s union territories, driven by a strong base in metals, pharmaceuticals,
textiles, and plastics. The region has developed into a key manufacturing and packaging
hub, leveraging its proximity to Maharashtra and Gujarat, robust infrastructure, and investor-
friendly policies. Its export portfolio reflects a blend of heavy industrial goods like aluminum
and copper products, alongside high-value pharmaceuticals, and synthetic textiles, indicating
both capital-intensive production and diverse manufacturing capacities. Export Preparedness Index 2024 225
Source: Ministry of Commerce and Industry
Aluminum wire and cables lead the export roster by a significant margin, split almost evenly
between steel-reinforced and other aluminum variants. This signals substantial local capacity
in metal processing, likely supporting both domestic and international infrastructure projects.
Copper wire exports, composed entirely of refined wire with large cross-sections, suggest a
focus on high-grade, utility-scale applications. Pharmaceuticals form another major pillar, with
most exports coming from a wide range of mixed or unmixed medicaments, supplemented by
antibiotic-based formulations. The presence of synthetic filament yarn dominated by textured
polyester underscores the territory’s textile strength, catering to both domestic garment
production and overseas buyers. Rounding out the top five are miscellaneous plastic articles, a
broad category that reflects the region’s mature plastic processing ecosystem.
Source: Ministry of Commerce and Industry
The next tier of exports continues the theme of industrial and consumer-focused manufacturing.
Optical fiber exports, comprising fiber bundles and cables, indicate integration with telecom
hardware supply chains. Textile fabrics coated with plastics used in everything from tarpaulins
to industrial coverings, showcase technical textile capabilities. Exports of flexible packing sacks
made of man-made fibers reflect the territory’s stronghold in industrial packaging. Smaller but
still notable exports include plastic packaging items like ethylene polymer bags and a presence
in consumer goods, such as perfumes and toilet waters. Together, these exports reflect a territory
that has strategically diversified its industrial base to cater to both infrastructure-heavy sectors
and branded consumer segments. Export Preparedness Index 2024 226
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 227
SWOT Analysis Export Preparedness Index 2024 228
Strengths
Dadra & Nagar Haveli and Daman & Diu host a diverse range of industries, spanning plastics,
textiles, pharmaceuticals, engineering goods, and chemicals, contributing to its merchandise
exports. The UT is a leading contributor to India’s synthetic textile and plastic exports, with
industrial hubs like Silvassa and Daman accounting for a large share of the country’s polyester
texturized yarn and molded plastic goods output. Its geographic position on India’s western
coast places it within a strategic trade corridor, allowing efficient access to major ports such
as JNPT and Hazira, enhancing export logistics for containerized and industrial cargo. The
region’s strong MSME ecosystem, comprising over 3,000 small and medium units, benefits
from investor-friendly industrial policies and infrastructure across 117 industrial estates,
making the UT an agile and cost-effective manufacturing base that supports both volume-
driven and specialized exports.
Weaknesses
Despite its industrial strengths, Dadra & Nagar Haveli and Daman & Diu faces challenges
that impede its export potential. A major shortcoming is the limited branding and international
visibility of its export products, especially in textiles and plastics, which are often integrated
into global supply chains without origin recognition, thereby missing out on value premiums.
The inadequate availability of cold storage and temperature-controlled logistics continues to
limit the territory’s ability to diversify into perishables, marine products, and pharmaceuticals
requiring end-to-end cold chains. Furthermore, despite a strong base of MSMEs, the limited
presence of large-scale enterprises constrains the region’s ability to scale up exports. While
MSMEs form the backbone of production, they often lack the capacity for global marketing,
advanced compliance systems, and large-volume fulfilment, functions typically enabled by
larger anchor firms that are currently underrepresented in the UT’s industrial landscape.
Opportunities
Dadra & Nagar Haveli and Daman & Diu have several avenues to diversify and upscale their
export portfolio. The UT’s 27 km coastline and seven landing centers present opportunities to
expand marine exports, particularly in seafood processing, provided investments are made in cold
chain logistics and quality certification systems. Building on its pharmaceutical manufacturing
capabilities, the region can venture into high value-added pharmaceutical exports, capitalizing
on national schemes supporting bulk drug and medical device production. The UT’s strong
plastics manufacturing base can be leveraged to produce export-graded plastics that meet global
quality and sustainability standards, opening opportunities in diversified markets beyond its
current primary destinations. Moreover, leveraging e-commerce platforms can enable local
manufacturers and artisans to access international markets, facilitating export growth without
substantial physical infrastructure investments.
Threats
Dadra & Nagar Haveli and Daman & Diu face structural export risks stemming from limited
container availability, which often disrupts shipment schedules and increases freight costs
for local manufacturers. The problem is particularly acute for smaller exporters who lack
bargaining power with logistics providers, resulting in delayed deliveries and potential loss
of overseas orders. Compounding this challenge is the overdependence on a single export
destination, with the United States accounting for nearly 26% of the Union Territory’s total Export Preparedness Index 2024 229
exports. Such concentration exposes exporters to significant vulnerability from fluctuations
in U.S. demand, changes in trade policy, or currency movements, potentially impacting
overall export stability. Additionally, the dominance of plastic-based industries raises concerns
regarding environmental sustainability and compliance with global standards, as international
markets increasingly implement stringent regulations on plastic products.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Dadra & Nagar Haveli and
Daman & Diu should direct efforts toward: Export Preparedness Index 2024 230
Delhi Export Preparedness Index 2024 231
5.2.6 Delhi
Manufacturing hubs in Delhi
Source: Ministry of Commerce and Industry
Introduction
Delhi, part of the National Capital Territory (NCT), is a dynamic hub that blends political,
economic, and cultural significance in India. Covering an area of 1,483 square kilometers,
it houses over 21.7 million people, making it one of the most populous metropolitan areas
globally. While historically service-driven, New Delhi’s economy has evolved into a
multifaceted powerhouse, reflecting consistent growth across sectors such as IT, real estate,
retail, and tourism. This analysis delves into its economic profile, export performance,
strategic advantages, challenges, and policy initiatives, substantiated with data from FY24 and
projections for the future.
127
127 IBEF Export Preparedness Index 2024 232
The GSDP was recorded at approximately ₹11.2 lakh crore in FY24, marking an annual growth
rate of 9.1%. This positions it as a significant contributor to India’s GDP, accounting for 4.7%
of the national economy. The service sector dominates the economic landscape, contributing
around 80% to the GSDP, with trade, hotels, real estate, and financial services as leading sub-
sectors. Meanwhile, the industrial and manufacturing sectors have been expanding steadily,
driven by policies promoting innovation and technology adoption. In FY24, the per capita
income of New Delhi stood at ₹5,43,920, far above the national average of ₹2,00,832, reflecting
its high economic productivity.
128
Delhi benefits from its strategic position as India’s capital, offering unparalleled access
to policymaking bodies, foreign embassies, and international trade organizations. The UTs
extensive transport infrastructure, including the Indira Gandhi International Airport (handling
over 69 million passengers annually), and its connectivity to major economic corridors enhance
its logistical capabilities Connectivity to major economic corridors and industrial hubs like
Gurgaon and Noida strengthens its ecosystem for commerce and exports.
The city’s digital infrastructure is equally advanced, with nearly 98% broadband penetration
and a thriving startup ecosystem that complements its export ambitions in technology-driven
sectors. Furthermore, the development of dedicated freight corridors under India’s Gati Shakti
Master Plan enhances the efficiency of goods movement, reducing export logistics costs.
129
The government is addressing economic challenges with targeted initiatives to boost exports
and growth. The Delhi Export Promotion Policy 2023 sets a ₹1.2 lakh crore export target
by 2030, focusing on fiscal incentives, skill development, and upgraded infrastructure. High-
potential sectors like IT services, green energy, and digital healthcare are prioritized to diversify
the city’s ₹71,128 crore export portfolio (FY24). The MSME Growth Strategy 2023-24 aims
to formalize 62% of informal MSMEs, offering financial incentives, digital tools, and export
facilitation centers to enhance their contribution to exports, currently dominated by engineering
goods (25.6%) and textiles (18.4%).
130
Export Statistics
Source: Ministry of Commerce and Industry
Delhi maintains its position as a significant hub for high-value, technology-driven, and design-
intensive exports. The city’s top export categories include turbojets and turbo-propellers,
128 Planning Department – Government of NCT of Delhi Export Preparedness Index 2024 233
jewelry articles, smartphones and telecom equipment, rice, and aircraft parts. These exports
are underpinned by Delhi’s advanced services ecosystem, access to skilled labor, strong air
connectivity, and the presence of leading manufacturing and assembly operations in nearby
NCR regions like Noida, Gurugram, and Ghaziabad. Delhi serves as both a production and
distribution center, with a well-integrated warehousing and logistics network that supports
rapid movement of high-value and time-sensitive goods, especially in sectors like aviation
components, telecom, and pharmaceuticals.
Source: Ministry of Commerce and Industry
At a granular level, Delhi’s export strengths are evident across a range of detailed commodities.
The aviation and aerospace segment includes turbojets with thrust over 25 KN and their parts,
along with various aircraft components like undercarriages and parts of helicopters, highlighting
Delhi’s role in supporting India’s growing aerospace manufacturing and maintenance
ecosystem. Jewelry exports continue to perform well, especially precious metal jewelry crafted
in Delhi’s traditional jewelry districts. The city’s electronics exports are led by smartphones
and communication equipment for telecom networks, indicating Delhi’s strategic linkages
with electronics assembly units in the NCR. In pharmaceuticals, medicaments composed of
mixed or unmixed products and formulations with alkaloids are among Delhi’s top performers,
supported by robust wholesale and distribution networks. Export Preparedness Index 2024 234
Source: Ministry of Commerce and Industry
Delhi also shows promising exports in categories that could be scaled further. The apparel sector,
particularly women’s woven garments like synthetic and cotton dresses, and men’s synthetic
fiber suits, is growing steadily with fashion and design inputs from Delhi’s garment clusters.
The city exports a considerable volume of semi or wholly milled rice, leveraging sourcing from
northern grain belts and proximity to export hubs. Motor vehicle parts and accessories, taps and
valves, and navigational instruments, especially those used in aerospace applications, signal
Delhi’s evolving capabilities in precision engineering and specialized industrial components.
With greater investment in logistics infrastructure, export facilitation services, and product
standardization, Delhi can enhance its position as a high-value export center, particularly in
aerospace, electronics, pharmaceuticals, and fashion-driven sectors.
Success Stories Export Preparedness Index 2024 235
EPI 2024-Results and Conclusions Export Preparedness Index 2024 236
SWOT Analysis
Strengths
Delhi’s strong R&D ecosystem, anchored by IIT Delhi and CSIR labs, drives innovation
in sectors like electronics, pharma, and renewables, supporting high-quality, export-ready
manufacturing. Close academia-industry linkages enhance scalable, tech-led production. The
UT benefits from robust connectivity via national highways, expressways, the RRTS, and
Dedicated Freight Corridors. The Delhi Metro further links industrial zones like Mundka,
improving logistics and workforce mobility. A skilled talent pool from premier institutions
fuels growth in high-tech sectors. Delhi’s IGI Airport, India’s busiest air cargo hub, handles
over 1 million tons annually, with global connectivity, modern infrastructure, and dedicated
logistics parks, making it a vital node in global trade. Export Preparedness Index 2024 237
Weaknesses
Despite its strategic position, Delhi’s export growth is hindered by logistical inefficiencies such as
traffic congestion, lack of last-mile freight options, limited multimodal integration, and inadequate
warehousing in central areas. Scarce land availability due to urbanization and zoning restrictions,
limits industrial expansion, pushing businesses to peripheral regions like Noida and Gurugram. High
operational costs, including expensive real estate, labor, and utilities, further deter MSMEs and large-
scale investments, making Delhi less competitive than emerging hubs in neighboring states.
Opportunities
Delhi is well-positioned to drive export-led industrialization by leveraging its digital ecosystem
and skilled workforce. In 2024, Delhi-NCR attracted ₹19,246 crore in startup funding, supporting
growth in e-commerce and fintech. Fintech leaders like BharatPe and Paytm have built digital
payment systems that empower MSMEs and exporters. The city’s textile and handicraft sectors
hold strong export potential, aided by platforms like IHGF and Bharat Tex, and supported by
PLI and MITRA schemes. MSMEs, vital to India’s exports, benefit from policies like PMEGP,
ODOP, and the Delhi Startup Policy. With over 33% of the population in the working-age group
and graduates from top institutions, Delhi offers a strong talent pool. Digital India, ONDC, and
Startup India initiatives further enhance export readiness, reinforcing Delhi’s status as a rising
hub for digital trade and innovation.
Threats
Delhi’s export and industrial growth faces multiple threats. A fragmented approval system,
with overlapping authority among agencies like DDA, MCD, DSIIDC, and L&DO, creates
delays, higher costs, and regulatory uncertainty for establishing export hubs, logistics parks, and
industrial clusters. Severe air pollution deters investors and disrupts operations in sectors such
as food processing and electronics. Additionally, Delhi’s export and industrial development
is threatened by the absence of a real-time land bank portal, limiting transparency and access
to available land for investors. Without a centralized digital platform, developers face delays
and higher acquisition costs. This hampers the timely establishment of export hubs, industrial
clusters, and logistics infrastructure.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Delhi should direct efforts toward: Export Preparedness Index 2024 238
Goa Export Preparedness Index 2024 239
5.2.7 Goa
Manufacturing hubs in Goa
Source: Ministry of Commerce and Industry
Introduction
Goa, India’s smallest state by area, continues to shine as a vibrant mix of natural beauty and
cultural richness, renowned for its stunning beaches, historic temples, and majestic churches.
In FY24, Goa recorded a Gross State Domestic Product (GSDP) of approximately ₹1.1 lakh
crore, reflecting a strong 15.4% year-on-year growth. The state’s per capita income rose to
about ₹680,318, indicating a rising standard of living. Goa’s economy is primarily driven by Export Preparedness Index 2024 240
tourism, but it is also supported by key sectors like agriculture, mining, and manufacturing,
including pharmaceuticals. With a literacy rate of 93.6% as of 2024, Goa continues to invest in
human capital, strengthening its position as a top destination for both leisure and industry.
131, 132

Goa stands as the 8th largest pharmaceutical producer in India, boasting over 120 manufacturing
units that contribute significantly to the nation’s pharma exports. With pharmaceutical exports
making up 47% of Goa’s total export sector and accounting for 4.4% of India’s overall
pharmaceutical exports, the state plays a pivotal role in the global healthcare supply chain.
In FY24, Goa’s export value reached an impressive ₹20,000 crore, underscoring the sector’s
strength and its critical impact on the state’s economy. Goa’s ports, including Mormugao and
Panaji, are essential gateways for exporting goods, significantly contributing to the state’s
economy. These maritime hubs play a key role in facilitating trade, supporting the fishing
industry, and boosting tourism, while also enhancing connectivity with global markets. With
their rich nautical heritage, Goa’s ports continue to generate vital employment opportunities
and drive economic growth.
133, 134, 135

Since FY22, Goa has experienced a decline in export growth, raising concerns about its global
competitiveness and the diversification of its export sectors. For instance, the state’s seafood
exports peaked in FY23 but saw a 14% decline in FY24, attributed to global challenges and
shifting consumer preferences.
136, 137
The Government of Goa, in collaboration with the Department for Promotion of Industry and
Internal Trade (DPIIT), is actively promoting exports and industrial growth. The “One District
One Product” (ODOP) initiative aims to identify unique products from each district, enhancing
their export potential and transforming districts into global manufacturing hubs. Additionally,
there is ongoing encouragement for the processing of environmentally friendly Agro-products
that add value to agricultural, fish, and animal husbandry produce, thereby opening up export
potential.
138, 139

Export Statistics
Source: Ministry of Commerce and Industry
Goa’s export profile is a distinctive blend of pharmaceutical precision, chemical synthesis, and
mineral-based industries, reflecting its compact but highly specialized industrial landscape.
The dominance of medicaments at the top of the list confirms Goa’s status as a major hub for
formulation manufacturing, with many global pharmaceutical firms operating in the state. The
presence of iron ores, pig iron, and intermediate chemicals like ketones indicates that Goa
131 IBEF
132 GOA – IPB (Investment Promotion Board, Goa) Export Preparedness Index 2024 241
continues to leverage its natural resources and port access for mineral and chemical exports.
Notably, emerging categories like optical fibers and mobile communication equipment reflect a
pivot toward knowledge-intensive, tech-driven sectors. Overall, Goa’s exports demonstrate the
potential of high-value, low-footprint industries to drive significant global engagement from a
small but strategically located state.
Source: Ministry of Commerce and Industry
Pharmaceuticals, especially formulations with antibiotics and other active compounds,
dominate Goa’s export basket. These include both mixed/unmixed products and specialized
antibiotics, pointing to a robust pharma base with strong regulatory compliance and a focus on
generics. The presence of pig iron highlights the processing of local iron ores into primary steel
inputs, suggesting an integrated mineral-to-metal pathway supported by local industry and
port infrastructure. The export of ketones and related chemicals further reinforces Goa’s role
in the fine chemicals and intermediates space, catering to both pharma and broader industrial
demand. Iron ore, both agglomerated and non-agglomerated, continues to feature as a major
export, though in a more regulated and value-enhanced format compared to earlier decades.
Communication equipment, especially telecom base stations, rounds out the top five, indicating
Goa’s increasing participation in the electronics manufacturing ecosystem. Export Preparedness Index 2024 242
Source: Ministry of Commerce and Industry
In the next tier, pesticides, including insecticides and fungicides, signal a growing agrochemical
base in the state, possibly linked to synergies with its chemical and pharmaceutical industries.
Optical fibers represent a high-tech niche, and their inclusion suggests Goa is aligning with
India’s push toward telecom infrastructure and digital exports. Frozen fish, particularly whole
fish excluding fillets, adds a maritime flavor to the export mix, leveraging the state’s coastal
resources and processing facilities. These sectors reflect a broadening of Goa’s industrial base
beyond pharma and minerals, showing signs of diversification into high-tech, Agri-linked, and
precision-oriented domains. As Goa continues to invest in quality infrastructure and logistics,
its export potential, especially in value-dense, compact industries, can grow substantially.
Success Stories Export Preparedness Index 2024 243
EPI 2024 – Results and Conclusions Export Preparedness Index 2024 244
SWOT Analysis
Strengths
Goa’s export strength lies in its globally compliant pharmaceutical sector, which accounts for
nearly 50% of the state’s ₹10,289 crore export value (FY24), with key players like Cipla,
Glenmark, and Mylan operating in the state. A high literacy rate of 93.6% (PLFS 2023-24)
provides a skilled and adaptable workforce, especially for high-value sectors. Iron ore exports
have also rebounded, contributing to India’s three-year high of 47.8 million tons in FY24.
Additionally, Goa’s longstanding Portuguese heritage offers cultural and trade advantages with
Lusophone nations and parts of Europe, facilitating niche export opportunities and international
goodwill.
Weaknesses
Goa’s limited industrial base, dominated by tourism, mining, and small-scale manufacturing,
restricts export scale and diversification. Industrial land is scarce, with estates like Verna and
Ponda already constrained. Strict environmental regulations, especially CRZ norms, slow
down industrial approvals and limit sectoral scope. High labor costs, driven by Goa’s increased
per capita income and preference for white-collar jobs, have led to dependency on migrant Export Preparedness Index 2024 245
labor, increasing operational costs and volatility. These structural challenges hinder large-scale
manufacturing and sustained export growth.
Opportunities
Goa can expand its marine exports by leveraging its 105 km coastline and enhancing port
facilities, cold chains, and certification systems. GI-tagged products like Feni, Khola chilies, and
Mancurad mangoes offer unique global appeal if supported by strong branding and compliance
frameworks. The state can also pivot into medical device exports, building on pharmaceutical
strengths. Rising interest in organic and sustainable products offers additional scope for Agri-
exports, especially in health-focused international markets. Growing cargo capabilities at Mopa
Airport can further unlock high-value, perishable export potential if appropriately equipped.
Threats
Goa’s export profile is overly dependent on a few sectors, iron ore, pharma, and petroleum,
making it vulnerable to price swings, mining restrictions, or regulatory shifts. Its export markets
are also geographically concentrated, heightening exposure to external shocks. Weak cargo
infrastructure, especially at Mormugao Port, has limited container capacity, pushing exporters
toward distant ports like JNPT and raising costs. Although cargo operations have begun at
Mopa Airport, critical gaps like the absence of cold storage and APEDA-certified facilities,
limit its effectiveness. These factors collectively threaten Goa’s long-term trade resilience and
global competitiveness.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Goa should direct efforts toward: Export Preparedness Index 2024 246
Himachal Pradesh Export Preparedness Index 2024 247
5.2.8 Himachal Pradesh
Manufacturing hubs in Himachal Pradesh
Source: Ministry of Commerce and Industry
Introduction
Nestled in the lap of the Himalayas, Himachal Pradesh is a state known for its natural beauty,
rich cultural heritage, and agrarian economy. With a GSDP of ₹2.2 lakh crore in FY24, the
state’s economy reflects a blend of traditional practices and gradual industrialization. However,
its export performance has seen challenges in recent years, with a modest YoY growth rate
of 5.9% in FY24 and total exports valued at ₹19,414 crore. Despite this, Himachal Pradesh
continues to harness its unique geographic and natural advantages to support its economic
activities and contribute to the national economy.
140,

141

140 IBEF
141 NIRYAT (National Import-Export Record for Yearly Analysis of Trade) Export Preparedness Index 2024 248
Pharmaceutical and electronics sectors have seen significant development due to the presence
of industrial areas like Baddi, which is one of Asia’s largest pharmaceutical hubs. The
government has implemented various initiatives aimed at boosting productivity and enhancing
export capabilities. Programs like the “Him Unnati Yojana” focus on improving agricultural
output through structured incentives for milk production and cash crops.
142

Transport infrastructure in Himachal Pradesh remains a challenge due to its rugged terrain. The
high cost of transportation affects the competitiveness of its exports, particularly in the global
market. The state has also witnessed a stagnation in the growth of MSMEs, with no growth
in FY24. This stagnation underscores the need for stronger policy interventions and financial
support to rejuvenate the sector, which has significant potential to contribute to employment
and exports. Additionally, the export growth rate has slowed in recent years, indicating a need
for diversification and value addition in its export basket. Moreover, the reliance on a few key
sectors like pharmaceuticals and horticulture makes the state’s economy vulnerable to market
fluctuations and climate change.
143

However, the government is also focusing on improving road connectivity, building tunnels,
and upgrading airports which is expected to ease the movement of goods and people, thereby
enhancing the state’s economic potential. A balanced approach that fosters innovation within
MSMEs and enhances export competitiveness will be crucial for improving income from
exports for the state.
Export Statistics
Source: Ministry of Commerce and Industry
Himachal Pradesh, despite its relatively small geographic and industrial footprint, has carved a
distinctive niche in India’s export landscape through its robust pharmaceutical manufacturing
sector. Dominated by medicaments, both general and antibiotic-based, the state’s exports
reflect the presence of a thriving pharma cluster, particularly in Baddi, which has emerged as
a major hub for formulations. This stronghold in high-value, precision-driven products like
pharmaceuticals has enabled Himachal to maintain a disproportionately high export value
relative to its industrial size, positioning it as a pharmaceutical export leader among hill states.
142 Hindustan Times Export Preparedness Index 2024 249
Source: Ministry of Commerce and Industry
Medicaments alone account for over ₹8,368 crore in export value, including both mixed
and unmixed products, as well as antibiotics and penicillin derivatives. Organic compounds,
many of which are active pharmaceutical ingredients (APIs) or intermediates, complement
this sector, reinforcing the vertically integrated nature of pharma production in the state. The
export of processed paper products and packaging items suggests auxiliary industrial activity
supporting the pharma ecosystem. The growing presence of electric accumulators (batteries)
and air-conditioning machines highlights diversification into electrical and electronic equipment
manufacturing, possibly aided by policy incentives and proximity to northern markets.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 250
Further, Himachal Pradesh shows moderate but growing activity in FMCG and consumer
exports. Products like bakery items, malt extract, and sweet biscuits point to food processing
ventures leveraging clean water and quality control advantages of the hill state. Niche categories
such as perfumes and razor blades reflect light manufacturing suited to Himachal’s terrain and
labor profile. In sum, Himachal Pradesh’s exports are deeply anchored in high-value, low-
footprint industries like pharmaceuticals and precision goods, with emerging diversification
into consumer durables and processed foods—offering a model of sustainable, quality-driven
industrial growth from a hilly region.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 251 Export Preparedness Index 2024 252
SWOT Analysis
Strengths
Himachal Pradesh’s export strengths are anchored in its thriving pharmaceutical sector,
robust food processing ecosystem, streamlined governance, and abundant renewable energy.
The Baddi-Barotiwala-Nalagarh (BBN) industrial corridor ranks among Asia’s largest
pharmaceutical manufacturing zones, with over 700 units, including Cipla, Dr. Reddy’s, Sun
Pharma, and Torrent Pharma, collectively generating a turnover of ₹30,209 crore, of which
₹9,540 crore comes from exports. This growth is driven by cost-effective production, high
compliance standards, and state-level policy support. The state also boasts a nationally
recognized food processing sector, with 23 food parks, including a Mega Food Park, and cold
chain infrastructure comprising 18 projects that enhance Agri-export efficiency. Governance
reforms, such as the Single Window Clearance System (SWCS) under the Himachal Pradesh
Investment Promotion Agency (HIPA), enable time-bound approvals for over 90 industrial
and export-related services. Furthermore, Himachal’s surplus hydropower capacity, 10,500
MW harnessed out of a potential 27,436 MW, ensures uninterrupted, clean energy supply for
industries, creating a stable and eco-friendly manufacturing environment.
Weaknesses
Himachal Pradesh faces infrastructure gaps and limited export diversification that constrain
its full potential. Inadequate cold storage facilities critically impact the state’s high-value
horticultural output, particularly apples. With over 1.1 lakh hectares under apple cultivation,
nearly 30% of the annual harvest is lost due to post-harvest inefficiencies, compelling farmers to
sell at low prices and resulting in substantial income loss. The export basket remains narrowly
concentrated in pharmaceuticals and horticulture, making it vulnerable to sector-specific
disruptions such as regulatory changes or demand volatility. Furthermore, export activity is
largely concentrated in districts like Solan, Sirmaur, and the BBN corridor, creating regional
imbalances. Many remote and mountainous regions lack adequate industrial infrastructure,
cold chain logistics, and market access, leading to underutilization of resources and increased
migration to urban centers. These structural weaknesses hamper inclusive growth and limit the
state’s ability to scale and diversify its exports. Export Preparedness Index 2024 253
Opportunities
Himachal Pradesh has strong potential to broaden its export base by leveraging its unique
GI-tagged products such as Kinnauri Shawls, Chamba Rumal embroidery, Kangra tea, and
Himachali apples. With investments in quality certification, heritage branding, and global
promotion, these products can tap into niche international markets with premium pricing. The
state’s transition toward organic and natural farming presents further opportunities, over 1.3
lakh farmers, including 12,000+ apple growers, practice natural farming across 7,609 hectares,
with plans to scale up to 20,000 hectares. Himachal’s diverse Agri-climatic zones also support
high-value aromatic crops like lavender, rosemary, lemongrass, and wild marigold, enabling
exports in essential oils and wellness products. Moreover, the upcoming 1,405-acre Bulk Drug
Park in Una and the 300-acre Medical Devices Park in Nalagarh present a strategic opportunity
to scale pharmaceutical exports, boost API/device production, and integrate Himachal Pradesh
into global healthcare supply chains.
Threats
Himachal’s export competitiveness is threatened by structural and external factors. Logistics
costs are 5–6% higher than in coastal states due to the state’s rugged terrain, limited rail
connectivity, and reliance on road transport. The absence of a major cargo airport or multimodal
logistics hub delays shipments and reduces export efficiency. Additionally, MSME development
is facing stagnation over 72% of registered MSMEs have seen flat or declining performance
over the last five years, constrained by limited credit access, outdated infrastructure, and
weak market linkages. Traditional sectors such as handloom, handicrafts, and processed foods
face rising global competition from countries like Vietnam and Bangladesh, which benefit
from lower production costs, aggressive policy support, and superior trade integration. These
challenges could erode Himachal’s competitiveness in value-added exports, especially if not
matched with strategic interventions in trade facilitation, innovation, and market development.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Himachal Pradesh should direct
efforts toward: Export Preparedness Index 2024 254
Jammu and Kashmir Export Preparedness Index 2024 255
5.2.9 Jammu and Kashmir
Manufacturing hubs in Jammu and Kashmir
Source: Ministry of Commerce and Industry
Introduction
Jammu and Kashmir, known as the paradise on earth is a Union Territory (UT) of India,
located in the country’s northern part, and a global tourist destination. In addition to traditional
recreational tourism, a vast scope exists for adventure, pilgrimage, spiritual, and health tourism.
Jammu is famous for its temples, while Kashmir Valley is known for its lakes and gardens. The
economy is primarily services based and Agri-oriented. The GSDP of Jammu and Kashmir has
been recorded at ₹2.6 lakh crore in 2023-24.
In FY24, the region recorded total exports worth ₹1,614 crore. The primary export items
from J&K include drug formulations and biologicals, readymade garments made of wool,
and manmade yarn fabrics, reflecting the region’s growing participation in pharmaceuticals
and
textile-based trade. Jammu and Kashmir possesses Agri-climatic conditions that are highly Export Preparedness Index 2024 256
conducive to horticulture and floriculture, making these sectors the backbone of its rural
economy and a key source of employment for thousands of locals. The region’s flourishing
floriculture industry supplies flowers to both domestic and international markets, showcasing its
export potential. Additionally, the people of Jammu and Kashmir are known for their traditional
craftsmanship and skills in weaving and textile design, which provides a strong foundation for
expanding textile units in the region. Kashmir is well known for its quality of silk and traditional
silk weaving industry. Sericulture is an Agri-based labor-intensive cottage industry, providing
gainful employment to about 30,000 families in rural areas of the UT. These artisanal skills can
be further harnessed to support industrial processes and boost employment. Union Minister of
State for Science and Technology highlighted Jammu and Kashmir’s emergence as an agricultural
start-up hub, particularly in Bhaderwah, where lavender cultivation has flourished.
Jammu & Kashmir has implemented an industrial policy that provides attractive incentives
and a streamlined single-window clearance system to encourage investment. In a major boost
to the region’s development, Prime Minister Narendra Modi inaugurated, dedicated, and laid
the foundation for various projects worth over ₹32,133 crore in Jammu, covering key sectors
such as health, education, and infrastructure. These initiatives collectively underscore the
government’s commitment to transforming J&K into a vibrant economic and industrial hub.
APCC, a high-power clearance committee, has been set up to rapidly clear projects under the
chairmanship of the Chief Secretary of the UT. The committee serves as a single-window
clearance system for projects related to all cases of export-oriented units and prestigious units.
The entire procedure is completed within a maximum timeframe of two months.
Export Statistics
Source: Ministry of Commerce and Industry
Jammu and Kashmir’s export portfolio is led by a strong pharmaceutical presence and a rich
legacy in textile craftsmanship. The top HS code export category from the state is medicaments,
including mixed/unmixed products, antibiotics, and vitamin-based medicaments. These reflect
the increasing industrial activity in the Jammu region, where pharmaceutical manufacturing
clusters have developed thanks to policy incentives, industrial parks, and proximity to northern
markets. The presence of pharmaceutical goods such as dental cements further reinforces this
sector’s significance. Export Preparedness Index 2024 257
Source: Ministry of Commerce and Industry
Equally prominent is the export of shawls, scarves, and mufflers, an emblematic product of
Kashmir’s cultural and artisanal identity. Within this category, woolen shawls and those made
from silk and other textile materials dominate. The diversity across fiber types including
synthetic and artificial fibers indicates adaptation to changing market demands while preserving
traditional weaving expertise. These handcrafted products continue to find global appeal,
especially in high-value fashion and heritage textile markets.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 258
Other notable exports include yarn especially polyester, cotton-poly blends, and combed cotton
yarns, supporting the state’s downstream textile value chain. Niche chemicals such as nucleic
acids and sulphonamides and nitrogen heterocyclic compounds also feature, showing signs
of chemical and biotech sector emergence. Unwrought lead and razor blades are smaller but
stable contributors. Additionally, semi-milled rice offers agricultural diversification. While the
region has demonstrated excellence in textiles and pharmaceuticals, categories like chemical
intermediates and personal care tools could benefit from enhanced scale, branding, and market
linkages to bolster exports further.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 259 Export Preparedness Index 2024 260
SWOT Analysis
Strengths
Jammu and Kashmir’s export strengths lie in its Agri-climatic diversity and globally recognized
products like apples, walnuts, saffron, and basmati rice. Its traditional handlooms and handicrafts
such as pashmina shawls and Kashmiri carpets, enjoy strong global demand and GI-tagged
credibility. A diversified export portfolio across countries like Bangladesh, UAE, and Oman
reduces market risk. Dedicated clusters in Srinagar, Anantnag, and Kathua further support
value addition through shared infrastructure and market linkages.
Weaknesses
Jammu and Kashmir’s export potential is constrained by limited awareness among small
exporters about trade regulations, quality standards, and support schemes. Insufficient cold
storage facilities especially impact perishable exports like apples and cherries, causing
spoilage and lead to post-harvest losses. Additionally, limited access to certifications like ISO,
HACCP, and organic labels hampers entry into premium global markets and reduces overall
competitiveness.
Opportunities
Jammu and Kashmir can significantly enhance its Agri-value chains by leveraging its diverse
Agri-climatic zones and promoting high-value crops. Strengthening cold chain infrastructure,
pack houses, and processing units will reduce post-harvest losses and boost farmer incomes.
Branding and promoting GI-tagged products can unlock niche global markets. The UT also
has strong potential to develop a sports goods industry, backed by artisanal skills and MSMEs.
Kashmir willow, preferred for professional cricket bats, offers a strategic export opportunity
with the right investment in branding and training. Additionally, J&K’s untapped lithium
and boron reserves in Reasi and Rajouri position it to support India’s EV battery ecosystem.
With incentives under the New Industrial Policies, the UT can attract investments in battery
assembly, components, and R&D. Establishing EV parks and collaborating with institutions
like NIT Srinagar can further establish J&K as a green industrial hub in the Himalayan region. Export Preparedness Index 2024 261
Threats
Jammu and Kashmir faces key threats to its long-term export and industrial growth. Political
instability, cross-border tensions, and internal security issues disrupt trade and deter investment.
The Agri-export sector is highly seasonal and vulnerable to climate variability and logistical
delays, impacting timely harvest and shipment of key crops like apples and saffron. Additionally,
rising outmigration of educated youth and skilled workers is depleting the local talent pool,
limiting innovation and the region’s capacity for value-added production.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Jammu and Kashmir should
direct efforts toward: Export Preparedness Index 2024 262
Ladakh Export Preparedness Index 2024 263
5.2.10 Ladakh
Manufacturing hubs in Ladakh
Source: Ministry of Commerce and Industry
Introduction
Ladakh, located at the Northernmost part of India, is the largest and second least populous union
territory. The diverse topology, with high-altitude cold desert located in the Great Himalayas,
and picturesque locations make it a favored destination among domestic and foreign tourists.
According to Union Budget cor civil aviation. The state faces 320 clear sunny days and receives
an average daily global solar radiation of 2022 kWh/m2/annum. These factors have made
Ladakh a favorable spot for solar power generation in India. Also, abundance of wind resource
due to valley terrain landform creates a potential for harnessing wind energy in Ladakh.
Agriculture forms the backbone of Ladakh’s economy, employing over 70% of the workforce,
primarily as cultivators, agricultural laborers, and livestock reapers. Tourism also plays a
crucial role in generating revenue, creating jobs, and driving the overall growth of the region. Export Preparedness Index 2024 264
In 2019, the total number of tourists visiting Ladakh was 279,937. This number rose to 304,077
in 2021 and in 2022, the total number of tourist arrivals surged to 531,396, of which 510,137
were domestic tourists and 21,259 were foreign tourists.
In Ladakh, 95% micro and small industries operate at a household-level. To provide large-scale
self-employment opportunities to the youth, the Union Territory of Ladakh has formulated
first-ever Sustainable Industrial Policy to harness unique strengths such as local resources and
traditional skill sets by employing modern technology.
Export Statistics
Source: Ministry of Commerce and Industry
Ladakh’s export profile, though modest in scale, reflects a distinct blend of eco-conscious
production, traditional craftsmanship, and a budding textile sector. The region’s exports are
likely driven by local entrepreneurial initiatives and cottage industries rather than large-scale
manufacturing. There’s a clear emphasis on items that align with sustainability and local culture,
furnishing articles and handmade textiles dominate the list, suggesting an economy rooted in
resourcefulness and heritage. While volumes remain small, the diversity hints at potential for
growth through targeted support and branding of artisanal products.
Source: Ministry of Commerce and Industry
Leading the list are furnishing articles made of textiles, pointing to small-scale home décor or
utility products possibly crafted with traditional designs. Women’s woven apparel, especially Export Preparedness Index 2024 265
cotton dresses, and knitwear like woolen dresses, further underscore Ladakh’s role in producing
niche, climate-appropriate garments. Women’s cotton blouses and shirts continue the theme of
small-batch textile manufacturing aimed at both comfort and regional style. Woven silk fabrics,
especially those with high silk content, suggest a preservation of traditional weaving techniques,
possibly aimed at niche luxury or cultural markets. Lastly, miscellaneous textile articles like
dishcloths and dusters represent everyday utility goods, simple but essential. Together, these
products present a picture of Ladakh’s economy as one where traditional skills, sustainable
choices, and slow-scale production converge into a unique export identity.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 266 Export Preparedness Index 2024 267
SWOT Analysis
Strengths
Ladakh holds strong potential for niche exports and sustainable industrialization, driven
by its unique high-altitude products like Ladakhi Pashmina, sea buckthorn, and Raktsey
Karpo apricots. The region’s ODOP focus and GI-tagged products such as Pashmina wool
and wood carvings reinforce its export identity by ensuring quality, traceability, and market
differentiation. Ladakh’s rich biodiversity, including over 1,000 medicinal and aromatic plant
species like Rhodiola and black cumin, further strengthens its export prospects in the pharma
and nutraceutical sectors. Ladakh benefits from relatively lower power tariffs compared to
other states and UTs, largely due to the availability of subsidized hydroelectric power. This
cost advantage can support energy-dependent sectors like Agri-processing, cold storage, and
small-scale manufacturing.
Weaknesses
Ladakh’s export and industrial growth is hindered by severe logistical challenges due to harsh
terrain, seasonal road closures, and costly, limited air cargo capacity. Skilling gaps and labor
shortages further constrain growth, with a small, scattered population lacking access to industrial
training. The weak industrial base, marked by a lack of large industries, modern infrastructure,
and anchor industries limits value addition and deters private investment, keeping the region
reliant on raw exports.
Opportunities
Ladakh’s growing MSME sector in crafts, processed foods, and herbal products can boost
rural employment with proper credit, training, and infrastructure. Ladakh’s clean environment
and traditional farming practices provide a strong base to position the region as a hub for
organic produce with high export potential. Stronger branding and targeted promotion of
Ladakh’s unique products such as pashmina, apricots, and handicrafts can boost their visibility
in global markets. Digital platforms can help Ladakh overcome location constraints by directly
connecting local producers with buyers worldwide. Export Preparedness Index 2024 268
Threats
Ladakh’s export ecosystem is vulnerable due to overreliance on a few international markets,
especially the UK, making it prone to external disruptions. Its geopolitical sensitivity and
border proximity to China and Pakistan create uncertainty, delaying infrastructure and deterring
investment. Harsh climatic conditions, short growing seasons, and high operational costs further
limit production and scalability, hindering export diversification and economic resilience.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Ladakh should direct efforts
toward: Export Preparedness Index 2024 269 Export Preparedness Index 2024 270
Lakshadweep Export Preparedness Index 2024 271
5.2.11 Lakshadweep
Manufacturing hubs in Lakshadweep
Source: Ministry of Commerce and Industry
Introduction
Lakshadweep, India’s smallest Union Territory, comprises 36 coral islands located in the
Arabian Sea, 200–440 km off the southwestern coast of the Indian mainland. Spanning just
32.6 sq. km in land area with a population of ~69,000 (projected 2024, UIDAI), the territory
boasts a literacy rate of 91.8% and a unique cultural identity shaped by Malayalam, Jeseri,
and Dhivehi-speaking communities. The islands’ ecological richness, untouched beaches, and
atolls have positioned them as emerging eco-tourism destinations, with places like Bangaram
and Thinnakara gaining traction for their pristine beauty and rare bioluminescent waters.
Strategically, Lakshadweep plays a crucial defense role underscored by the commissioning of
INS Jataayu at Minicoy Island in March 2024 which enhances India’s maritime surveillance and
security footprint in the western Indian Ocean, especially amid increasing regional competition. Export Preparedness Index 2024 272
The union territory is also leveraging its marine geography for energy, water, and export
development. A significant initiative is the Ocean Thermal Energy Conversion (OTEC) plant
being developed in Kavaratti by the National Institute of Ocean Technology (NIOT) under
the Ministry of Earth Sciences. This 65-kW renewable energy facility will power a 1-lakh-
litre-per-day desalination plant that uses Low-Temperature Thermal Desalination (LTTD)
to convert seawater into potable water positioning Lakshadweep as a pioneer in sustainable
ocean-based technologies. Additionally, the islands operate 41 diesel generators and 12 solar
PV units (totaling 18.5 MW), forming a hybrid energy model. The archipelago is surrounded
by an Exclusive Economic Zone (EEZ) of over 400,000 sq. km, rich in pelagic fish species like
tuna and sharks. With an estimated annual fishery potential of 100,000 tons, the government
is actively promoting marine exports under schemes like the Pradhan Mantri Matsya Sampada
Yojana (PMMSY), which supports cold chain infrastructure, modern fishing equipment, and
value-added processing. These efforts collectively position Lakshadweep as a strategically
significant and export-ready maritime territory.
Export Statistics
Source: Ministry of Commerce and Industry
Lakshadweep, though geographically isolated and relatively small in economic scale, has
begun to showcase export activity in niche and region-specific product categories. A key export
from the islands is pepper, particularly dried pepper, which leverages the region’s tropical
Agri-climatic conditions that favor the cultivation of high-quality spices. The unique terroir
of the islands lends distinct aroma and flavor to the pepper, making it desirable in global spice
markets. Export Preparedness Index 2024 273
Source: Ministry of Commerce and Industry
Additionally, Lakshadweep’s export profile includes non-alcoholic beverages, especially
flavored and sweetened mineral water. Given the growing domestic tourism in the islands and
investments in sustainable hospitality, there is potential for scaling up production of bottled
beverages tailored to niche, eco-conscious consumer segments. Other notable exports include
vegetable products not elsewhere classified, likely linked to seaweed, coir or other tropical
vegetation, indicating opportunities for value-added natural products like bio-fertilizers or
herbal supplements.
Source: Ministry of Commerce and Industry
A few industrial and mechanical items also feature in Lakshadweep’s modest export list. These
include miscellaneous rubber articles and parts for engines and motors, as well as aerospace
components. While these may represent transshipment or specialized low-scale fabrication,
they point to potential participation in high-tech value chains through strategic partnerships or
defense-linked manufacturing. Exports of fresh cut roses, although niche, hint at floriculture
efforts possibly aided by controlled-environment farming. Overall, Lakshadweep’s exports are
still in early stages but demonstrate promise in spice cultivation, sustainable beverages, and
select high-value components. Scaling these sectors will require investments in infrastructure,
logistics, and market access. Export Preparedness Index 2024 274
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 275 Export Preparedness Index 2024 276
SWOT Analysis
Strengths
Lakshadweep’s strategic location along key international sea lanes and its pristine ecosystem
positions it as a niche hub for marine-based exports and sustainable industrial growth. Its vast
EEZ, rich in high-value fish like tuna and mackerel, supports eco-friendly fisheries and premium
seafood exports. The pollution-free environment also favors organic agriculture, aligning with
global demand for sustainable produce. The growing tourism sector supports the production
and branding of local artisanal and Agri-based goods, which can find export markets as niche
lifestyle and wellness products. These strengths make Lakshadweep a promising player in
India’s blue economy and a potential transshipment and coastal logistics hub.
Weaknesses
One of the foremost challenges is the lack of support infrastructure, including inadequate port
facilities, limited cargo handling capacity, and the absence of cold chains or warehousing needed
for perishable and high-value goods. The union territory also has a minimal manufacturing base,
with no significant industrial clusters or value-addition units, making it heavily dependent on
raw or semi-processed exports and reducing its competitiveness in global markets. Regulatory
hurdles, especially those linked to environmental clearances and Coastal Regulation Zone
(CRZ) norms, often delay project approvals, and deter private sector investments. Additionally,
land restrictions due to ecological sensitivity and limited availability of flat, developable land
across the islands make it difficult to set up export-oriented infrastructure or industrial facilities.
These structural and regulatory constraints collectively hinder Lakshadweep’s ability to scale
its export ecosystem and attract long-term, sustainable industrial investments.
Opportunities
Lakshadweep offers emerging opportunities in sustainable exports, particularly in value-
added seafood, eco-branded products, and coconut-based diversification. Its pristine marine
environment supports high-end exports like tuna loins and dried fish, while certifications for
organic and eco-friendly products can boost global appeal. Seaweed farming is also gaining
momentum, driven by demand from pharma and cosmetics sectors. Additionally, expanding
coconut-based exports such as virgin oil, coir products, and beverages can diversify livelihoods
and enhance the UT’s export footprint in line with sustainability goals. Export Preparedness Index 2024 277
Threats
Overreliance on tourism in Lakshadweep risks diverting focus from sustainable, export-oriented
sectors like fisheries and food processing, leaving the economy exposed to seasonal and global
disruptions. The UT also faces stiff competition from coastal states with stronger infrastructure
and diversified exports. Moreover, strict ecological regulations, though vital, limit land use
and delay industrial projects, hindering the development of export infrastructure and deterring
large-scale investment.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Lakshadweep should direct
efforts toward: Export Preparedness Index 2024 278
Manipur Export Preparedness Index 2024 279
5.2.12 Manipur
Manufacturing hubs in Manipur
Source: Ministry of Commerce and Industry
Introduction
Manipur is situated in the eastern-most corner of Northeast India. The state shares borders with
other northeast states like Nagaland, Mizoram, and Assam, as well as with the neighboring
country of Myanmar. Due to its wealth of flora and fauna, Manipur is described as a ‘flower
on lofty heights’, ‘a jewel of India’ and the ‘Switzerland of the East’. Its breathtaking scenic
beauty makes it a tourist’s paradise.
As of the fiscal year FY24, Manipur’s Gross State Domestic Product (GSDP) at current prices Export Preparedness Index 2024 280
is estimated at ₹45,522 crore, reflecting a 21.9% increase over the revised estimates for FY23.
The state has the advantage of acting as India’s ‘Gateway to the East’ through Moreh town,
which is the only feasible land route for trade between India and Myanmar, as well as other
Southeast Asian countries. With about 8,377 square km of area covered by bamboo forests,
Manipur is one of India’s.
Handloom is the largest cottage industry in the state. Manipur ranks among the top 5 states in
terms of number of looms in the country. Manipur has around 40 active handloom production
centers. Agriculture is the main occupation of the people of Manipur. The agriculture sector
contributes a majority share to the total state domestic product and employs about 52.8% of
the total workers in Manipur. Thus, agriculture is a living proposition rather than a commercial
proposition. Natural forests cover about 77% of the total geographical area of Manipur. Teak,
pine, oak, Uningthou, leihao, bamboo, cane, etc. are important forest resources. In addition,
rubber, tea, coffee, orange, and cardamom are grown in the hilly areas. Food and cash crops are
grown mainly in the valley region.
Industrial diversification is essential for Manipur, as the state continues to rely predominantly
on traditional sectors. To create more employment opportunities and enhance export potential,
it is crucial to strengthen modern industries including manufacturing, agro-processing, and
information technology services. In addition, greater investment in healthcare, education, and
skill development is vital to empower the youth and bridge the existing human capital gap.
Export Statistics
Source: Ministry of Commerce and Industry
Manipur’s export profile, though modest in scale, provides a window into the early-stage
industrial and artisanal ecosystem of a landlocked northeastern state. The state’s outbound
shipments are characterized by a mix of processed agricultural products, light manufacturing,
and niche handmade or semi-industrial items. Manipur’s location along India’s eastern border
positions it as a potential trade conduit to Southeast Asia, and its export basket hints at sectors
where small enterprises and resource-based processing are gradually gaining momentum.
Though still developing, this export structure reflects an economy exploring value addition in
traditional sectors while cautiously expanding into select industrial goods. Export Preparedness Index 2024 281
Source: Ministry of Commerce and Industry
At the top of Manipur’s export basket is solid cane or beet sugar, indicating agro-processing
activity likely driven by local sugarcane production and small-scale refineries. Pharmaceuticals,
particularly finished medicaments, suggest some presence of medical distribution or contract
packaging, albeit on a limited scale. Veneered wood sheets made from tropical wood mark
the beginning of timber-based value addition, possibly tapping into forest resources through
controlled harvesting and local finishing. Women’s blouses and shirts, particularly those made
of cotton, show signs of a nascent garment manufacturing industry catering to domestic styles or
ethnic fashion. Hydraulic power engines and motors, especially linear-acting cylinders, reflect
isolated industrial components manufacturing or distribution likely linked to infrastructure or
automotive assembly chains in the region.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 282
The next set of commodities includes metal taps and valves, likely for thermostatic or fluid
control applications, which suggest the presence of engineering goods either assembled locally
or rerouted from nearby industrial centers. Natural honey indicates the cultivation and processing
of apiculture products, supported by Manipur’s forested terrain and biodiversity. Niche garment
items such as cotton track suits highlight small-scale tailoring or custom clothing, often geared
toward sport or leisurewear. The inclusion of crushed or ground capsicum reflects local spice
cultivation especially chili, which is abundant in the region and modest spice processing.
Lastly, exports of rubber gloves point to the presence of protective gear manufacturing or
re-packaging, a category that saw a spike in global demand during health emergencies and
continues to serve niche utility sectors.
Success Stories
Results and Conclusions Export Preparedness Index 2024 283 Export Preparedness Index 2024 284
SWOT Analysis
Strengths
Manipur has developed a reasonably strong Agri-export infrastructure, including integrated
food parks, cold-chain hubs, and processing units that support value addition and market
readiness. The state is known for its unique agricultural produce such as black rice (Chak-Hao),
mandarin, figs, olives and passionfruit, which provide strong export differentiation. Manipur
also has a deep-rooted artisan base, with over two lakh weavers and craftsperson, especially
women, sustaining vibrant handloom and handicrafts exports. Moreover, with nearly 70% of
its installed power capacity from renewable sources mainly hydro projects. The state offers a
low-carbon manufacturing environment that aligns with global sustainability trends.
Weaknesses
The state faces persistent logistical challenges due to hilly terrain, limited rail connectivity,
and underdeveloped road networks, which hinder the efficient movement of goods to ports
and border points. There is also an absence of large-scale manufacturing facilities, which
restricts Manipur’s ability to scale exports beyond primary and semi-processed goods, limiting
competitiveness in global value chains. In addition, the UT faces a key weakness in limited
access to export finance, especially among SMEs, artisans, and Agri-based producers operating
in the informal sector. The lack of credit history, collateral, and awareness of export financing
schemes restricts their eligibility for formal financial support. Low penetration of instruments
like pre/post-shipment credit and export insurance hampers their ability to scale and compete
globally. This financial gap limits export readiness and stalls Manipur’s integration into broader
value chains.
Opportunities
Manipur has strong potential to grow floriculture and medicinal plant exports, building on
its biodiversity and growing global demand for natural wellness products. With expanding
organic cultivation under government schemes, the state is well-positioned to brand and export
organic Agri-products to premium markets. The Act East Policy and the development of border
trade infrastructure at Moreh offer strategic access to Southeast Asian markets. Additionally, Export Preparedness Index 2024 285
the state can significantly upscale handloom and handicraft exports by leveraging its cultural
heritage and skilled workforce to meet international demand for artisanal goods.
Threats
Overdependence on a few export destinations increases the vulnerability of Manipur’s trade to
geopolitical or regulatory changes in those markets. Security concerns and periodic disruptions
within the state or at border points can interrupt trade flow and reduce investor confidence.
Furthermore, environmental challenges such as deforestation and unsustainable agricultural
practices may attract stricter regulations, potentially limiting the growth of resource-based
exports. The lack of value-added exports poses a significant threat to Manipur’s export
sustainability, as most products like handlooms, bamboo crafts, and Agri-produce are exported
in raw or minimally processed forms, limiting profitability and global market appeal. Without
modern processing units, packaging facilities, and product innovation, local exporters struggle
to meet international quality standards and tap into high-value markets. This constraint reduces
export competitiveness, hampers job creation, and undermines the development of a resilient
industrial base.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Manipur should direct efforts
toward: Export Preparedness Index 2024 286
Meghalaya Export Preparedness Index 2024 287
5.2.13 Meghalaya
Manufacturing hubs in Meghalaya
Source: Ministry of Commerce and Industry
Introduction
Located in the northeastern region of India, Meghalaya is a hilly state known for its rich
natural resources, biodiversity, and cultural heritage. With a GSDP of approximately ₹47,700
crore in 2023-24, Meghalaya contributes in its own way to the national economy. The state’s
export performance remains limited, with a total export value of around ₹83.7 crore in
FY24. Meghalaya’s exports are largely resource-based, with key products including coal and
limestone, agricultural produce like bay leaves and turmeric, and niche items such as handloom
and handicrafts.
Meghalaya’s economy is primarily agrarian, with over 80% of its population dependent on Export Preparedness Index 2024 288
agriculture and allied activities. The state is known for the cultivation of high-value crops such
as areca nut, turmeric, ginger, and Lakadong turmeric, which has a uniquely high curcumin
content and growing global demand. Traditional knowledge and organic practices are often
embedded in farming systems, giving Meghalaya’s Agri-exports a distinctive identity. The
state is also rich in mineral resources, and prior to regulatory changes, coal and limestone
exports formed a significant part of its trade. While the ban on rat-hole mining reduced coal
exports, limestone continues to be exported through land ports on the Indo-Bangladesh border.
Meghalaya shares a 443-km international border with Bangladesh, and several border markets
and land customs stations such as Dawki and Borsora facilitate trade. However, the absence
of large-scale processing industries, limited logistical infrastructure, and terrain-related
connectivity challenges restrict the state’s ability to scale up exports. Additionally, Meghalaya
lacks an industrial base capable of value addition, which means many products are exported in
raw or semi-processed form.
Despite these constraints, Meghalaya’s strategic location, natural produce and cultural assets
provide it with a unique export identity among India’s smaller states. Its trade flows may be
limited in volume, but they reflect the distinctiveness of its economy and the role of small-
scale, community-led production in cross-border trade.
Export Statistics
Source: Ministry of Commerce and Industry
Meghalaya’s export portfolio is anchored by its rich natural resources and traditional industries.
The top commodities include aromatic and medicinal plants, limestone, and quartz. The
state’s favorable climate and biodiversity support the cultivation and harvesting of medicinal
plants, which are processed and exported under specific sub-categories like medicinal plants.
Limestone, abundant in Meghalaya’s extensive cave systems and geological formations, is
exported mainly for industrial use as flux and raw material. Quartz, sourced from local mines,
is also a notable export commodity, serving industries requiring high-purity silica. Export Preparedness Index 2024 289
Source: Ministry of Commerce and Industry
Looking deeper into the HS6 categories under these main HS4 groups, Meghalaya shows strong
export presence in medicinal plants and limestone for industrial use. The export of quartz is
significant given the quality required for manufacturing and industrial applications. The state
also exports coke and semi-coke, largely a byproduct of local coal processing. Exports of ferro-
alloys, particularly ferro-silicon containing more than 55% silicon, reflect emerging industrial
activity in mineral beneficiation and metallurgical products. These sectors form the backbone
of Meghalaya’s export capabilities, supported by its mineral-rich geology and established
mining infrastructure.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 290
While Meghalaya has strengths in these traditional mineral and plant-based exports, there are
clear opportunities to enhance exports in several other HS6 categories. Products like wood
charcoal and veneering wood sheets of tropical timber are exported in modest quantities,
suggesting potential for value addition and sustainable forestry management to boost foreign
demand. Additionally, brooms and brushes made of vegetable materials represent niche
handicraft exports with scope for growth through better market linkages and branding.
Enhancing processing capacities, improving quality standards, and developing export-oriented
clusters could enable Meghalaya to diversify its export basket and increase value realization
from its abundant natural resources.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 291 Export Preparedness Index 2024 292
SWOT Analysis
Strengths
Meghalaya possesses significant mineral reserves including coal, limestone, bauxite, and other
industrial minerals, making it a key contributor to regional exports of raw materials and cement-
related products. The state has implemented a Single Window Clearance System to streamline
investment and export-related approvals, improving ease of doing business. Additionally,
Meghalaya’s strategic location along Bangladesh, Bhutan and Nepal enables robust cross-
border trade, especially through functional border haats and land customs stations, offering
natural trade corridors for Agri-commodities, minerals, and forest-based products. Meghalaya’s
GI-tagged products like Lakadong Turmeric, Khasi Mandarin, and Memong Narang boost its
export identity through unique quality, traceability, and organic cultivation. These tags enhance
branding, enable premium pricing, and open doors to health-conscious global markets. The
state’s biodiversity and eco-friendly farming further strengthen its position in niche export
segments.
Weaknesses
Despite its export potential, Meghalaya struggles with limited physical connectivity due to
challenging terrain and underdeveloped transport infrastructure, which restricts efficient
movement of goods. The state also faces a major gap in cold-chain infrastructure, particularly
affecting its agri-horticulture exports like pineapples and turmeric that require temperature-
sensitive logistics. Furthermore, the lack of substantial private and institutional investment in
processing, logistics, and warehousing has hindered the development of large-scale export-
oriented industries, curbing the state’s value addition capabilities.
Opportunities
Meghalaya stands to gain significant opportunities in export-led growth by aligning its natural
strengths with global market trends. The rising international demand for natural health and
wellness products offers strong potential for exporting herbal supplements, essential oils, and
medicinal plants, leveraging the state’s biodiversity and traditional knowledge. Community-
driven bamboo and cane handicrafts can tap into eco-conscious export markets, promoting
sustainable rural livelihoods. Enhancing export infrastructure such as establishing modern
logistics hubs, improving warehousing facilities, and expanding cold chain networks can
significantly boost the efficiency, reliability, and competitiveness of Meghalaya’s export supply
chains. Additionally, the state’s forest wealth and artisan base present a major opportunity to Export Preparedness Index 2024 293
scale value-added wood exports, especially in premium furniture and décor segments through
modern design, branding, and quality certification.
Threats
Meghalaya’s industrial base remains narrow, largely dominated by cement and limestone
mining, which together contribute only 18–20% to the state’s GSDP, well below the national
average. Limited diversification into high-value sectors such as pharmaceuticals, textiles, or
electronics restricts export potential, leaving the state heavily reliant on primary commodities
and vulnerable to external market fluctuations. Simultaneously, limited access to affordable
credit and export financing, particularly for small producers and MSMEs, poses a threat to
scaling up operations, adopting advanced infrastructure, or meeting global quality standards,
thereby impacting the long-term competitiveness of Meghalaya’s export ecosystem. The state’s
hilly landscape and frequent landslides, especially during the monsoon, disrupt the timely
movement of goods and increase transit times. Poor connectivity with major ports and industrial
hubs means exporters must rely on long-distance road transport to reach logistics nodes in
Assam or West Bengal, which escalates freight charges and reduces price competitiveness in
national and international markets.
Strategic roadmap – Focus areas
Considering global consumption trends and existing strengths, Meghalaya should direct
efforts toward: Export Preparedness Index 2024 294
Mizoram Export Preparedness Index 2024 295
5.2.14 Mizoram
Manufacturing hubs in Mizoram
Source: Ministry of Commerce and Industry
Introduction
Mizoram is one of the seven states in the northeast. Mizoram shares its borders with other
northeast states like Manipur, Tripura, and Assam as well as with neighboring countries
of Bangladesh and Myanmar. In 2024, Mizoram’s tourism sector experienced a significant
resurgence, attracting a total of 219,149 visitors between April 2023 and March 2024. This
figure comprises 215,265 domestic tourists and 3,884 international travelers.
Industries in the state have a unique location-specific advantage. Bordering Myanmar and
Bangladesh, Mizoram offers a gateway for engaging in international trade with Southeast Export Preparedness Index 2024 296
Asian countries. With improving road, rail and air connectivity and the establishment of trade
routes with neighboring countries, trade facilitation has improved over the last decade. The
Gross state domestic product (GSDP) of Mizoram was recorded at ₹35,579 crore in 2023-24.
The climatic conditions in the state provide a conducive breeding ground for commercial
exploitation of all kinds of silkworms. Sericulture remains one of the state’s key industries.
Raw silk production in Mizoram stood at 59 metric tonnes in FY22 and 84 MT in FY23. In
FY24, the state produced 346.07 thousand tonnes of fruits under an area of 68.8 thousand
hectares. Similarly, 101.21 thousand tonnes of spices were produced in the state under an area
of 27.8 thousand hectares in FY24.
The UT road and rail connectivity with the rest of India remains limited. Accelerating the
development of projects like the Kaladan Multi-Modal Transit Transport Project, along with
the expansion and improvement of internal road networks, is essential for seamless movement
of goods and people. Additionally, expanding Lengpui Airport and introducing more direct
flight connections to major Indian cities would significantly enhance tourism, trade, and overall
economic integration.
Export Statistics
Source: Ministry of Commerce and Industry
Mizoram’s export footprint, though limited in scale, reflects a developing industrial identity
with a strong presence in apparel and leather goods. The state’s geographical isolation and hilly
terrain pose logistical challenges, but local industries have carved out niches in value-added,
lightweight products suited for export. With a mix of textile-based items, handcrafted leather
goods, and emerging food products, Mizoram’s exports are likely driven by micro, small, and
medium enterprises, with potential for further growth through improved connectivity and
market access. Export Preparedness Index 2024 297
.
Source: Ministry of Commerce and Industry
The standout commodity is men’s knitwear, particularly ensembles made from non-cotton
textile materials, which form the backbone of Mizoram’s outward shipments. This suggests
a focused manufacturing segment catering to fashion or contract production. Following this,
leather bags and cases especially wallets and leather-surfaced suitcases highlight the region’s
capability in crafting finished leather products. The quality and finish required for these items
imply a certain level of artisanal expertise and market orientation. Bakery products also make
a modest but noteworthy appearance, pointing to the potential of processed foods from the
region perhaps supported by local ingredients or small-scale enterprises. Interestingly, the list
also includes minuscule shipments of radioactive materials and isotopes, as well as healthcare
services most likely anomalies or small-value technical exports that may relate to institutional
activities or research-linked transfers. Lastly, the presence of iron and steel screws, though
symbolic in volume, signals the early signs of diversification, even into industrial goods.
Success Stories Export Preparedness Index 2024 298
EPI 2024-Results and Conclusions Export Preparedness Index 2024 299
SWOT Analysis
Strengths
Mizoram possesses rich horticultural diversity, with significant production of fruits like bananas,
oranges, pineapples, and passion fruit, forming the backbone of its Agri-export potential. The
state’s strong focus on organic farming further enhances its global competitiveness, catering
to rising international demand for clean, residue-free produce. Several of Mizoram’s unique
offerings have received Geographical Indication (GI) tags, such as the Mizo Chili and handicrafts
like Hmaram and Pawndum among others, helping establish brand identity in niche markets.
Notably, the state has demonstrated commendable enthusiasm in promoting its trade potential,
organizing 28 trade fairs and exhibitions in recent years, which is a high number compared to
other states of similar size and economic scale, signaling strong institutional intent to integrate
local producers into broader markets. Export Preparedness Index 2024 300
Weaknesses
Mizoram continues to face challenges due to a limited industrial base, with very few organized
industrial clusters or large-scale manufacturing units established in the state. This restricts
the scope for industrial employment and limits opportunities for scaling up export-oriented
production. Additionally, the state suffers from severe infrastructure bottlenecks, including
underdeveloped road and rail connectivity, limited cold chain and warehousing facilities, and
insufficient transport logistics, factors that constrain movement of goods and increase lead
times. Furthermore, relatively higher costs of operation, including comparatively increased
wage rates and water charges pose challenges for businesses, especially when benchmarked
against other Northeastern states with similar profiles, thereby reducing competitiveness and
deterring industrial investment.
Opportunities
The state’s vast bamboo reserves, covering over 31% of its geographical area, create strong
prospects for developing bamboo-based industries such as engineered wood, furniture,
handicrafts, and incense sticks, which align with rising global demand for sustainable products.
The state’s location is strategically aligned with the Act East Policy, offering opportunities for
enhanced border trade with Myanmar and Bangladesh, which could facilitate greater integration
with Southeast Asian value chains. Additionally, value-added silk exports, especially those
building on local Eri and Muga silk production, offer a niche export opportunity. The state also
holds scope for palm oil exports, with potential for expansion through targeted agro-industrial
initiatives.
Threats
Mizoram’s overdependence on a single export destination, with 66% of exports directed to
Yemen, creates significant vulnerability to market disruptions or trade barriers originating from
geopolitical or economic shocks in that region. Moreover, the state’s geographical positioning
along politically sensitive and occasionally volatile international borders can pose serious
challenges to consistent trade flows, infrastructure development, and investor confidence.
Instances of cross-border tension or insurgent activity can result in border closures or transport
disruptions, limiting the reliability and scalability of international trade. Compounding
these risks is the outmigration of young talent, driven by limited industrial and professional
opportunities, which gradually erodes the availability of skilled human capital essential for
export-oriented growth. Export Preparedness Index 2024 301
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Mizoram should direct efforts
toward: Export Preparedness Index 2024 302
Nagaland Export Preparedness Index 2024 303
5.2.15 Nagaland
Manufacturing hubs in Nagaland
Source: Ministry of commerce and industry
Introduction
Nagaland, one of the seven northeastern states of India, is located on the far eastern edge of
the country. It shares its borders with Myanmar to the east, Arunachal Pradesh to the north,
Assam to the west, and Manipur to the south. The state is rich in natural resources, including
significant reserves of minerals, petroleum, and hydropower. GSDP of Nagaland for FY24 is
recorded at ₹39,566 crore. Notably, Nagaland has unexploited reserves of approximately 600
million MT of crude oil and over 20 MT of hydrocarbons. Additionally, it possesses around
315 MT of coal reserves and 1,038 MT of limestone reserves, offering considerable potential
for future industrial and energy development.
144 Export Preparedness Index 2024 304
Nagaland offers significant commercial potential owing to its favorable Agri-climatic conditions,
especially in floriculture and horticulture. The state is home to 650 indigenous species of
medicinal and aromatic plants, enhancing both its agricultural and ecological value. In FY24,
horticulture crop production reached approximately 901.68 thousand metric tons across 93.2
thousand hectares. The state holds significant potential for organic honey and pollen production,
thanks to its rich biodiversity, traditional knowledge, widespread beekeeping practices, and the
presence of numerous honeybee species. The state is estimated to be capable of producing
around 15,000 metric tons of honey and 100 metric tons of wax annually.
Nagaland also plays a notable role in India’s bamboo economy, with its bamboo growing stock
representing nearly 5% of the national total. Additionally, the state has demonstrated steady
progress in sericulture, with raw silk production increasing from 264 metric tons in FY21 to
304 metric tons in 2022–23. These strengths underscore Nagaland’s growing importance in
sectors tied to biodiversity, traditional agriculture, and sustainable natural resource utilization.
The state recorded total exports worth ₹11.7 crore in FY24, with major export items including
minerals, handloom products, engineering goods and manufactured tobacco. These sectors
collectively reflect the state’s growing economic diversification and export potential. The state
received business investment intent in various sectors worth ₹4,560 crore from both national
and international business delegates during the Business 20 conference in April 2023.
Export Statistics
Source: Ministry of Commerce and Industry
Nagaland’s export landscape is largely shaped by its natural resources and traditional
artisanal crafts. The state’s leading export commodity is coal, specifically anthracite coal, not
agglomerated, which forms the backbone of its mineral exports. The availability of high-quality
coal deposits in Nagaland supports significant shipments to domestic and international markets.
Alongside coal, veneering wood sheets, including tropical wood veneer sheets, contribute
substantially to the export value. The rich forest resources of Nagaland facilitate the production
of these wood products, which are used widely in furniture and interior decoration industries. Export Preparedness Index 2024 305
Source: Ministry of Commerce and Industry
Examining further within the top export groups, Nagaland has notable exports in tropical wood
veneer sheets and furnishing articles, such as cushions and pillows made of synthetic fibers,
reflecting growing capabilities in value-added wood and textile products. The state also exports
other tobacco products, a significant item given the region’s traditional tobacco cultivation and
processing practices. Additionally, exports of aircraft and spacecraft parts, mainly “other parts
of airplanes or helicopters”, indicate emerging industrial activities, possibly linked to niche
manufacturing or assembly units. The export of handcrafted woven goods like basketwork of
bamboo underscores Nagaland’s strong heritage in bamboo craftsmanship.
Source: Ministry of Commerce and Industry
While Nagaland’s current exports are dominated by coal and forest products, there is clear
potential for growth in other segments. Categories such as printed books and leaflets and parts
for machine tools, including tool holders for machines, represent opportunities for industrial
diversification and expansion. The development of local manufacturing ecosystems and
enhancement of artisan skills could help scale up exports in these areas. Focusing on sustainable
resource management, product innovation, and improved market access will be crucial for
Nagaland to leverage its diverse export potential and drive broader economic growth. Export Preparedness Index 2024 306
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 307
SWOT Analysis Export Preparedness Index 2024 308
Strengths
Nagaland’s core strength lies in its thriving organic farming ecosystem, built on traditional,
chemical-free practices and strong community participation. Over 6,800 hectares are under
certified organic cultivation, producing high-value, GI-tagged crops like Naga Mircha (King
Chili), ginger, and millets. Schemes such as the Mission Organic Value Chain Development
for Northeastern Region (MOVCDNER) and Paramparagat Krishi Vikas Yojana (PKVY)
provide training, certification, and input support, especially benefiting tribal communities and
women-led cooperatives. Agri-export zones in Dimapur and Kohima enhance export readiness
by linking organic clusters to global markets. Nagaland’s location on the India-Myanmar
border, with facilities like the ICP at Moreh and trade points at Longwa and Pangsha, boosts
cross-border trade. This strengthens links to Southeast Asia and positions the state as a hub
for regional trade and economic diversification. In addition, the state has high literacy rate of
around 80% which is a key socio-economic strength, fostering a well-informed and education-
focused population. It supports youth-driven skill development, entrepreneurship, and civic
engagement. The relatively high female literacy also promotes gender equity and greater
participation of women in governance and the workforce.
Weaknesses
Nagaland’s export potential is constrained by an underdeveloped industrial base, with limited
presence in large-scale and value-added manufacturing sectors. The economy remains focused
on agriculture, handicrafts, and cottage industries, which lack the scale and infrastructure for
global competitiveness. Nagaland faces a weak financial and industrial base, with limited
private investment and few large-scale enterprises or anchor companies establishing operations,
hindering industrial growth and export-linked value addition. Informal cross-border trade with
Myanmar, driven by porous borders and weak enforcement, results in revenue leakage and
unrecorded exports. Additionally, limited road and rail networks, inadequate warehousing, and
the lack of direct air cargo facilities hinder the smooth movement of goods, delaying shipments
and reducing Nagaland’s competitiveness in international markets.
Opportunities
Nagaland’s strategic location near Myanmar and Southeast Asia, supported by India’s Act East
Policy and projects like the Asian Highway Network, offers strong opportunities for cross-
border trade. The state’s abundant bamboo resources provide great potential for value-added
products like furniture and handicrafts, which can boost exports and rural employment through
better technology and branding. Expanding horticulture exports of crops like pineapples and
medicinal plants, along with improved infrastructure such as cold storage and processing
facilities, will help meet rising global demand. Skill development and entrepreneurship training,
coupled with better access to finance via schemes like PMEGP and MUDRA, can support local
businesses. Nagaland has significant opportunities to leverage digital marketing to expand the
reach of its unique products, including organic agricultural produce, handicrafts, and handloom
goods. E-commerce platforms and strategic online promotions can help artisans and farmers
access international markets directly, increase brand visibility, and boost export potential. Export Preparedness Index 2024 309
Threats
Nagaland’s export competitiveness is hindered by high logistics costs, significantly exceeding
the national average of 8.3% of GDP (NCAER). The state’s challenging terrain, inadequate
infrastructure, and dependence on slow, costly road transport exacerbated by frequent landslides
and the absence of direct rail connections to ports increase freight expenses, reduce exporter
profits, and discourage investment. Additionally, Nagaland faces a critical loss of human
capital due to the outmigration of educated and skilled youth seeking better job opportunities.
The latest Periodic Labor Force Survey (PLFS) 2023-24 reports youth unemployment at
27.4%, rising to 39.6% in urban areas, which undermines innovation, entrepreneurship, and
the growth of export-oriented sectors. Moreover, a major challenge for Nagaland’s exports is
the misattribution of its goods to neighboring states like Assam and West Bengal due to the lack
of local export infrastructure. Without functional dry ports, customs stations, or warehousing
facilities, many products are routed through other states. This leads to underreporting of
Nagaland’s actual export performance and limits its visibility in policy decisions.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Nagaland should direct efforts
toward: Export Preparedness Index 2024 310
Puducherry Export Preparedness Index 2024 311
5.2.16 Puducherry
Manufacturing hubs in Puducherry
Source: Ministry of Commerce and Industry
Introduction
Puducherry, a Union Territory located along India’s southeastern coastline, is unique in its
geographic distribution, comprising four enclaves, Puducherry, Karaikal, Mahe, and Yanam,
spread across Tamil Nadu, Kerala, and Andhra Pradesh. Covering a total area of 490 sq. km,
the territory has a population of approximately 1.6 million, with a relatively high literacy rate
of 85.8%. Puducherry’s colonial heritage, vibrant tourism infrastructure, and serene coastal
environment make it a major tourist draw. Key attractions include its beaches, French colonial
architecture, and religious sites, with growing infrastructure investments under the 10-year
Tourism Perspective Plan aimed at generating 5,000 jobs over five years. Export Preparedness Index 2024 312
The Union Territory is increasingly recognized for its industrial and logistical infrastructure.
Puducherry has nine established industrial estates housing over 9,400 registered industrial units,
including 77 large-scale and over 9,100 small and medium-scale enterprises. Key industries
include textiles and garments, chemicals, leather goods, electronics, food processing, and light
engineering. The secondary sector accounted for 48.2% of the Gross State Value Added (GSVA)
in FY22, and the UT’s GSDP grew at a CAGR of 7.6%, reaching ₹47,901 crore by FY24.
Export performance from Puducherry has been gaining momentum, with total exports reaching
₹4,327 crore in FY24. The Union Territory leverages port connectivity through Puducherry
Port and the deep-draft Karaikal Port, which is projected to handle over 125 MMT of cargo
by 2025 under Adani Ports’ development. The government has supported the fisheries sector
with a dedicated budget of ₹108.3 crore and technology interventions such as subsidized GPS-
enabled transponders to improve safety and traceability. Puducherry’s export preparedness is
underpinned by its focus on port modernization, renewable energy adoption, and digitization
of industrial governance.
Export Statistics
Source: Ministry of Commerce and Industry
Puducherry’s export landscape is defined by its strong industrial orientation, anchored by a robust
pharmaceutical sector and a notable presence in engineering goods and electrical components.
With a foundation built on industrial parks and consistent investments in manufacturing, the
union territory leverages its proximity to Tamil Nadu’s supply chain ecosystem while carving a
distinct identity in select high-value domains. Its export profile suggests a mature manufacturing
base that caters to global demands across healthcare, electronics, chemicals, and automotive
parts. Export Preparedness Index 2024 313
Source: Ministry of Commerce and Industry
Medicaments top the charts by a wide margin, led primarily by mixed or unmixed formulations
used in a broad range of treatments. The pharmaceutical segment is further supported by
antibiotic-based products, pointing to a strong formulation and packaging capability in the
region. Organic compounds, too, occupy a significant share, dominated by specialized, export-
oriented chemical intermediates which suggests integration with global pharmaceutical and
specialty chemical supply chains. Exports of engines and motors reflect another key strength,
with a split between pneumatic power units and a wide range of associated parts, indicating
a well-rounded capability in precision mechanical systems. Electrical products also feature
prominently, with insulated cables and low-voltage electric conductors reflecting demand
in construction, electronics, and power sectors, while the export of electrical switches and
connectors points toward a mature electricals manufacturing base.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 314
The next tier of exports is equally diverse. Automotive parts, such as steering components,
underscore Puducherry’s integration with southern India’s auto manufacturing corridors.
Rubber tires, especially those used in commercial vehicles like buses and trucks, further reflect
this alignment. Among chemical exports, the presence of chlorates and hydroxides, such as
sodium hydroxide, suggests steady output in basic industrial chemicals. On the agricultural side,
milled rice appears in modest volumes, possibly representing either niche varieties or residual
Agri-processing. Together, these exports reflect an industrial base that spans sophisticated
pharmaceuticals to practical components, with an underlying consistency in manufacturing
scale and export readiness.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 315 Export Preparedness Index 2024 316
SWOT Analysis
Strengths
Puducherry hosts a well-established industrial landscape, with over 25 industrial estates and
major sectoral strengths in automotive components, pharmaceuticals, chemicals, and electrical
components. The UT benefits from proximity to key industrial corridors in Tamil Nadu,
including Chennai and Sriperumbudur, enabling integration with larger supply chains. Its
location along the southern coast offers convenient access to ports such as Chennai and Karaikal,
facilitating smoother export logistics and multimodal connectivity. Puducherry’s technical
and vocational training institutes, aligned with industry needs, develop skilled manpower and
a pipeline of export-ready talent proficient in manufacturing, compliance, and international
trade. Additionally, Puducherry’s historical French connections and large diaspora in France
and the Francophone world offer opportunities to leverage cultural and trade ties for niche
export markets and tourism-linked exports.
Weaknesses
Despite its strategic location, Puducherry’s port infrastructure remains underdeveloped, with
limited cargo handling capacity and no large-scale container terminals, making it reliant on
nearby ports like Chennai and Karaikal. This dependency increases logistics costs and delays. In
addition, the UT’s air cargo capacity hampers the timely export of high-value goods, increases
costs, undermines competitiveness, and discourages investment in industries dependent on
rapid supply chains. Furthermore, the lack of robust cold chain infrastructure hampers export
potential in marine products, perishables, and pharmaceuticals, sectors where temperature
control is essential for value retention and regulatory compliance.
Opportunities
Puducherry’s coastal location and active fishing base offer a foundation for scaling up marine
exports, particularly in seafood processing and value-added aquaculture products. The UT is
also positioned to diversify into high-value pharmaceutical exports, leveraging its existing base
of formulation units and proximity to the Chennai pharma cluster. Enabling policies can drive
greater export participation from MSMEs, which account for a significant share of the UT’s
industrial base. Additionally, Puducherry’s high literacy, research institutions, and peaceful Export Preparedness Index 2024 317
environment make it well-suited to emerge as an R&D destination, particularly in biotech,
green chemistry, and food technology, areas with growing global demand.
Threats
Puducherry faces growing regulatory and environmental constraints, particularly from coastal
zone norms, land use regulations, and pollution control mandates, which can restrict industrial
operations along the coast. The UT’s geographic compactness limits availability of land for
new industrial zones, creating challenges for space-intensive manufacturing. In addition, there
is a trend of outmigration of the workforce, especially among the youth, which affects the
availability of skilled human capital and may reduce long-term competitiveness in knowledge-
intensive and export-driven sectors.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Puducherry should direct efforts
toward: Export Preparedness Index 2024 318
Sikkim Export Preparedness Index 2024 319
5.2.17 Sikkim
Manufacturing hubs in Sikkim
Source: Ministry of Commerce and Industry
Introduction
Nestled in the eastern Himalayas, Sikkim is India’s least populous state and one of the most
environmentally conscious regions. Despite its small size, Sikkim has made notable strides in
economic development, with a GSDP of approximately ₹47,700 crore in FY24. The state’s total
export value in FY24 stood at around ₹142.3 crore, a significant figure given its demographic
and geographic scale. Sikkim’s export profile is dominated by the pharmaceutical sector, which
accounts for a large share of its outbound trade, followed by organic agricultural products and
handicrafts. Export Preparedness Index 2024 320
A standout feature of Sikkim’s economy is its thriving pharmaceutical industry. Over the past
decade, the state has attracted major pharmaceutical companies, thanks to its industry-friendly
policies, tax incentives, and pollution-free environment. This sector alone contributes a
substantial share of Sikkim’s exports and industrial output. In addition, Sikkim’s push towards
organic farming has created international demand for products such as ginger, large cardamom,
turmeric, and buckwheat. These are increasingly finding niche markets in countries interested
in sustainably grown food products.
However, Sikkim faces significant structural and logistical constraints. Its mountainous terrain
and landlocked geography lead to high transportation costs and a heavy reliance on the Siliguri
Corridor in West Bengal for the movement of goods. The absence of direct access to major ports
or international cargo airports, coupled with limited availability of industrial land, constrains
the state’s ability to expand large-scale export-oriented industries. Export infrastructure is
largely reliant on road connectivity, which is vulnerable to weather disruptions.
Nonetheless, Sikkim presents a compelling case of a small state leveraging its strengths namely
clean industry, organic farming, and environmental branding to create a distinct export niche.
Its contribution to India’s export basket may be modest in scale, but it stands out in terms of
product identity and sustainability-driven trade.
Export Statistics
Source: Ministry of Commerce and Industry
Sikkim’s export profile is a compelling example of how a small state can carve a niche through
specialization in high-value, low-volume industries. Dominated by pharmaceuticals, the state’s
export strategy capitalizes on its clean environment and investor-friendly policies to attract
leading healthcare manufacturers. This focus on precision manufacturing, complemented
by smaller yet sophisticated categories like instruments and food products, reflects a well-
orchestrated industrial policy aimed at sustainable and high-margin sectors. Though the scale is
modest, the composition of exports highlights Sikkim’s growing importance in quality-driven
manufacturing. Export Preparedness Index 2024 321
Source: Ministry of Commerce and Industry
Pharmaceuticals form the backbone of Sikkim’s exports, led by a strong presence of finished
medicaments. The bulk of this comes from mixed and unmixed formulations, followed by
specialized products containing antibiotics and vitamins suggesting a diversified production
line within therapeutic segments. Closely aligned to this are other food preparations and pasta,
which hint at auxiliary food processing units, likely driven by the state’s clean water and
regulatory compliance advantages. The pasta exports are mainly of the stuffed, uncooked, or
frozen variety, suggesting a focus on packaged convenience foods with export-friendly shelf
lives. Together, these sectors paint a picture of a tightly integrated, high-quality manufacturing
ecosystem.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 322
The next set of products reflects Sikkim’s branching into precision and niche markets.
Instruments for physical analysis lead this segment, indicating export-oriented production in
scientific equipment. Pharmaceutical goods such as contraceptive preparations add further
depth to the state’s healthcare portfolio. Plastic packaging products and parts for precision
instruments, though modest in value, point to supporting industries that enable the pharma and
scientific sectors. Meanwhile, malt extracts and beauty products suggest emerging consumer-
focused segments, while medical dressings round out the portfolio with specialized healthcare
essentials. Collectively, these categories suggest a measured but strategic diversification into
complementary and value-added sectors.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 323 Export Preparedness Index 2024 324
SWOT Analysis
Strengths
Sikkim boasts a strong pharmaceutical base, with a rapidly growing manufacturing sector
supported by several major national players operating in the state, including Sun Pharma,
Zydus, and Cipla, alongside a network of small and medium enterprises (SMEs) that specialize
in organic-based formulations. Its unique distinction as India’s first 100% organic state has
bolstered its commitment to sustainable agriculture, contributing to a growing export portfolio
of certified organic products such as large cardamom, ginger, and turmeric, which enjoy
high demand in global markets. Sikkim’s export profile is also supported by diverse market
access, with shipments reaching destinations like France, Singapore, and Poland, aided by
organic certification credibility and trade linkages with neighboring countries such as Bhutan
and Nepal. Additionally, the secondary sector contributes significantly to the state’s GSVA,
particularly through pharmaceuticals and food processing, offering a strong base for future
export-oriented industrial expansion.
Weaknesses
Despite its manufacturing strengths, Sikkim’s export profile remains heavily reliant on the
pharmaceutical sector, making it vulnerable to sector-specific disruptions and changing global
regulatory frameworks. The state also grapples with logistics infrastructure constraints, including
limited freight handling capacity, poor last-mile connectivity, and dependence on distant ports,
all of which increase export turnaround times and costs—especially for time-sensitive and
perishable goods. Due to Sikkim’s limited awareness among local exporters regarding export
procedures, compliance requirements, and market opportunities, which hampers broader
participation in international trade. Additionally, the scarce number of small-scale processing
and cold storage for Sikkim’s niche crops like cardamom and ginger restrict value addition
and market access. Enhancing processing infrastructure is vital to boost competitiveness and
farmer incomes.
Opportunities
Sikkim has considerable potential to scale up horticulture and floriculture exports, leveraging
its temperate climate and biodiversity to grow high-value flowers and fruits with global market Export Preparedness Index 2024 325
potential. The pharmaceutical sector also presents scope for high-value exports in the form of
organic, herbal, and ayurvedic formulations, aligning well with global demand for wellness
products. Strengthening cold chain infrastructure could significantly improve the shelf life and
quality of perishable exports like organic produce and temperature-sensitive drugs. Moreover,
with increasing interest in sustainable and ethical consumption, Sikkim can position itself to tap
into premium global markets. The state can also focus on promoting tea exports, capitalizing on
its niche organic tea production and growing demand for specialty teas. Furthermore, premium
global branding for GI and organic products provides Sikkim an opportunity to differentiate its
exports and capture higher-value market segments.
Threats
Sikkim’s logistics infrastructure constraints pose significant threats to its trade and export
potential. Limited freight handling capacity, inadequate road connectivity, and a lack of
modern warehousing facilities hinder timely movement of goods, increase transportation costs,
and reduce competitiveness in international markets. The state’s reliance on organic exports
is also vulnerable to global compliance challenges, as differing organic standards across
regions can impose high certification costs and restrict market entry. Furthermore, Sikkim’s
mountainous terrain makes it highly prone to frequent landslides, especially during monsoons,
disrupting road connectivity, damaging infrastructure, and severely affecting the reliability of
logistics and export cycles. Additionally, the highly competitive international market for both
pharmaceuticals and organic products poses challenges for Sikkim to sustain and expand its
global trade presence.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Sikkim should direct efforts
toward: Export Preparedness Index 2024 326
Tripura Export Preparedness Index 2024 327
5.2.18 Tripura
Manufacturing hubs in Tripura
Source: Ministry of Commerce and Industry
Introduction
Tripura, a Northeastern state of India, shares its borders with Bangladesh on the north, west,
south, and southeast, and with Assam and Mizoram to the east. The state’s economy has shown
steady growth, with its GSDP reaching approximately ₹82,625 crore in 2023–24, growing at a
CAGR of 8.8% between FY16 and FY24. According to the DPIIT, the state attracted FDI worth
₹6.28 crore between October 2019 and June 2024. Tripura also boasts a high literacy rate of
87.2%, surpassing the national average, which positions it as a promising hub for knowledge-
based industries. Export Preparedness Index 2024 328
Tripura enjoys a favorable climate that supports the cultivation of a wide range of fruits and
horticultural crops, including rice, jackfruit, pineapple, potato, sugarcane, chili, and natural
rubber. Rice is the dominant crop, occupying 91% of the total cropped area. The state is also
known for its rich biodiversity, with a vast array of medicinal plants 266 species alongside
379 types of trees, 581 herbs, 320 shrubs, and 165 climbers. In addition to its agricultural and
ecological wealth, Tripura is endowed with natural resources such as natural gas, glass sands,
limestone, plastic clay, and hard rock. Its pleasant climate and scenic landscapes make it an
attractive tourist destination, featuring historical Hindu and Buddhist sites, temples, rivers,
and rock carvings. In 2019, the state recorded 154,405 foreign tourist arrivals, underscoring its
growing appeal on the global tourism map.
Tripura, with its pleasant climate, scenic landscapes, and rich cultural heritage, is emerging as a
favored tourist destination. To further enhance the tourism experience and promote sustainable
practices, the government introduced the Tourism Policy 2020–25. In addition to its tourism
appeal, Tripura offers a strong foundation for knowledge-based industries, supported by a large
pool of skilled labor and premier institutions like the NIT and TIT, which supply talent to
various sectors. The state also holds significant untapped potential in areas such as organic
spices, biofuels, and eco-tourism, offering new avenues for sustainable economic development.
Export Statistics
Source: Ministry of Commerce and Industry
Tripura’s export portfolio is deeply rooted in its rich natural resources and agricultural produce.
The top ten export commodities included construction-grade stone materials like pebbles and
gravel, a variety of nuts and coconuts, rough wood, rice, and an array of spices. These were
followed by exports of pepper and capsicum, seeds such as anise and fennel, different forms
of maize, fresh fruits, and dried pulses. The spread across minerals, forestry products, and
multiple agricultural segments signals a balanced export base, even if still in a nascent stage of
development. Export Preparedness Index 2024 329
Source: Ministry of Commerce and Industry
Delving deeper into the top five product groups, Tripura’s exports are notably rooted in its
geography and climate. The export of crushed stone for concrete use stems from the state’s
abundant hilly terrain and natural deposits, supporting construction markets in nearby regions.
Shelled cashew nuts dominate the nut category, supported by Tripura’s favorable Agri-climatic
conditions for cashew cultivation. Rough wood exports are primarily composed of coniferous
timber, tapping into the state’s forest wealth and traditional logging practices. In rice, the
state largely exports husked (brown) rice, indicating limited processing but strong cultivation.
Ginger leads the spice exports, aligning with both government promotion and the region’s
longstanding reputation for high-quality spice production.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 330
Among the next five key commodities, Tripura continues to show niche strengths. Dried pepper
exports point to localized spice farming practices, often sustained by tribal communities and
smallholders. Cumin seed exports reflect expanding spice cultivation in response to rising
regional demand. Maize exports include both seed and feed varieties, suggesting utility across
food and farming uses. The presence of frozen fruit indicates initial development of cold-chain
and processing infrastructure, hinting at future growth in horticulture-based value addition.
Finally, dried lentils though limited in volume represent Tripura’s engagement in the pulses
trade, backed by small-scale farming and local consumption linkages. Together, these exports
reinforce that while Tripura’s volumes are still emerging, the diversity and depth of its products
offer a solid foundation for targeted export growth.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 331 SWOT Analysis
Strengths
Tripura’s Agri-climatic conditions—fertile soil, ample rainfall, and a subtropical climate,
enable year-round cultivation of high-value crops over 2.5 lakh hectares, supporting strong
export potential. Its organic produce, including GI-tagged Queen Pineapple, oranges, litchi,
and ginger, is exported to markets like Bangladesh and Oman. The state is also leveraging
technologies like AI and 5G under its IT and Data Center policies to improve export efficiency.
Tripura is a leading producer of natural rubber and bamboo, India’s second-largest rubber
producer and home to 28% of the country’s bamboo stock, supplying nearly 70% of incense
bamboo sticks, highlighting its importance in both national and export markets.
Weaknesses
Tripura’s exports have sharply declined from ₹122.6 crore in 2022-23 to just ₹13.4 crore in
2023-24, a 90% drop over two years. This is driven by a lack of key infrastructure such as
certification labs, standardization facilities, and export-oriented clusters. Heavy dependence
on a few border trade points with Bangladesh also exposes trade to disruptions. The industrial
sector contributes less than 10% to the state’s GSDP, dominated by small-scale units with
limited presence in high-value sectors like textiles, electronics, or pharma. In addition, export
growth and industrialization are hampered by poor connectivity, limited rail and road links, and
reliance on distant ports, leading to higher transit times and costs. Border procedural delays and
the absence of integrated multimodal logistics further undermine competitiveness and deter
large-scale investments.
Opportunities
The state is upgrading Land Customs Stations and developing ICPs like Khowaighat, while
12 proposed border haats aim to boost local exports such as fruits, spices, and handicrafts.
Infrastructure projects like the Maitri Setu bridge and Agartala-Akhaura rail link will improve
access to Chittagong port, cutting logistics costs. Tripura’s natural gas output (3.5 MMSCMD,
rising to 4 MMSCMD) supports energy-intensive export industries like petrochemicals and
food processing. Organic farming has expanded from 2,000 to 20,000 hectares (2017-2023),
targeting 50,000 hectares by 2026-27, supported by FPOs and better logistics. GI-tagged
products like Queen Pineapple, Risa, and bamboo crafts, along with new applications for items Export Preparedness Index 2024 333
like Sobri Banana and Shidol, position Tripura to access premium global markets.
Threats
Tripura’s export growth is threatened by a persistent talent drain due to limited industrial and
job opportunities, pushing skilled youth to migrate and weakening sectors like Agri-processing
and high-value manufacturing. Increasing climate risks such as over 60 extreme rainfall days
in recent years, disrupt agricultural cycles and affect key exports like pineapples, rubber, and
bamboo. Declining forest cover also impacts non-timber products crucial for handicrafts
and herbal trade. While the 856 km border with Bangladesh offers trade potential, it remains
vulnerable to political tensions, border disputes, and regional instability involving China and
Myanmar, posing risks to cross-border trade and corridor development.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Tripura should direct efforts
toward: Export Preparedness Index 2024 334
Uttarakhand Export Preparedness Index 2024 335
5.2.19 Uttarakhand
Manufacturing hubs in Uttarakhand
Source: Ministry of Commerce and Industry
Introduction
Uttarakhand, a Northern Indian state, showcases a dynamic economic landscape with both
emerging opportunities and areas for development. In FY24, its Gross State Domestic
Product (GSDP) was approximately ₹3.5 lakh crore, reflecting steady economic activity. The
state’s export sector recorded a total value of ₹15,062 crore in FY24, with a year-on-year
growth rate of 1.1%. While this growth is moderate, it points to a stable export base with
potential for expansion. Uttarakhand’s unique geography, particularly its mountainous terrain, Export Preparedness Index 2024 336
presents logistical challenges that can affect connectivity to industrial hubs and remote areas.
However, several infrastructure initiatives such as the Rishikesh-Karnaprayag railway line and
enhancements at Jolly Grant Airport are underway to improve transportation networks. These
developments are expected to ease existing constraints, enhance market access, and support
more competitive and efficient exports, paving the way for broader industrial growth across the
state.
145, 146, 147
With the Uttarakhand Logistics Policy, 2023 the state implemented measures to reduce logistics
costs and enhance efficiency, which benefits the export sector. These include creating logistics
parks, relaxing regulations for warehouse establishment, and promoting green logistics
practices to support sustainable development. In terms of industrial development, the state
has reported a remarkable 61.4% growth in micro, small, and medium enterprises (MSMEs)
in FY24 compared to FY23. The MSME sector is crucial for job creation and economic
diversification.
148, 149
Export Statistics
Source: Ministry of Commerce and Industry
In FY24, Uttarakhand’s export profile reflected a diverse but focused industrial base, led by ten
key product categories. The foremost among these were vessels and other floating structures,
followed by unwrought zinc and pharmaceutical formulations. Scientific and precision
instruments, especially oceanographic appliances, featured prominently, indicating niche
technological capabilities. Automotive components and plastic-based industrial products also
held substantial shares. Rounding off the top ten were exports of light-vessels, motorcycles,
heavy-duty rubber tires, and select chemical compounds. Despite the overall modest export
value compared to major industrial states, Uttarakhand’s export portfolio underscores a
commendable diversity spanning sectors such as metallurgy, healthcare, engineering, and
chemicals. Export Preparedness Index 2024 337
Source: Ministry of Commerce and Industry
A deeper look into the top five product categories reveals concentrated strengths. Exports
of vessels are primarily driven by specialized manufacturing of industrial and defense-
related floating structures, possibly facilitated by dedicated infrastructure and government
contracts. Zinc exports are focused entirely on unwrought, non-alloyed forms, highlighting
mineral resource processing capabilities within the state. Pharmaceutical exports show
significant internal diversity ranging from general formulations to antibiotic and vitamin-based
medicaments supported by a robust ecosystem of pharmaceutical clusters in areas like Selaqui
and Haridwar. Precision instruments exports, particularly oceanographic surveying devices,
point to Uttarakhand’s role in specialized, low-volume, high-skill manufacturing. Automotive
parts, notably silencers and exhaust pipes, further reflect the presence of organized auto
component manufacturing zones.
Source: Ministry of Commerce and Industry Export Preparedness Index 2024 338
In the next five key categories, the trend of specialization continues. Plastic exports center
on processed PET and polypropylene films, likely stemming from downstream petrochemical
activities. The state also produces advanced floating structures like pontoons and fire-floats,
indicating continuity in marine-related manufacturing. Motorcycle exports are driven by mid-
range engine capacity models, aligning with the operations of major two-wheeler OEMs based
in Uttarakhand. The rubber tire segment is focused on truck and bus applications, leveraging
the state’s capacity for heavy-duty industrial goods. Lastly, chemicals like ethylene glycol
point to Uttarakhand’s capabilities in producing essential industrial intermediates. Together,
these categories reflect a manufacturing base that, while not high in overall value, is rich in
technical variety and sectoral specialization.
Success Stories
EPI 2024-Results and Conclusions Export Preparedness Index 2024 339 Export Preparedness Index 2024 340
SWOT Analysis
Strengths
Uttarakhand is driving export growth by focusing on pharmaceuticals, food processing,
handloom, handicrafts, and horticulture, leveraging its diverse agro-climatic zones and natural
resources. It collaborates with national export bodies like FIEO, APEDA, and Pharmexcil for
market access and capacity building. Strong digital infrastructure supports exporters through
online documentation, e-commerce training, and the ‘Invest Uttarakhand’ Portal, which
has issued over 25,000 digital approvals since 2023, cutting processing time by 30-40%.
Additionally, hydroelectric power generation of 5,157.9 GWh in 2024 ensures reliable clean
energy, strengthening Uttarakhand’s appeal for energy-intensive industries.
Weaknesses
Uttarakhand’s export sector faces key structural challenges that limit its global trade
competitiveness. Difficult terrain and poor transport infrastructure lead to high logistics costs,
delays, and cargo risks, especially in remote areas. The lack of multimodal facilities like ICDs
and MMLPs further hampers cargo movement. Exporters, particularly MSMEs, struggle with
inadequate access to export credit and insurance, exposing them to financial risks and limiting
their ability to scale. A limited industrial base also restricts export volume and diversity,
reducing Uttarakhand’s integration into global value chains and its attractiveness for trade-led
investments.
Opportunities
Uttarakhand’s MSME sector plays a vital role in employment and export growth, supported
by initiatives like ODOP and skill development programs. Enhancing access to credit, digital
platforms, and quality certifications can boost value-added exports in handicrafts, herbal
products, and processed foods. The state’s agro-climatic diversity enables high-value crop
cultivation, offering scope to expand floriculture and horticulture exports with better cold
chain, packaging, and market linkages. Pharma manufacturing hubs in SIDCUL (Haridwar and
Dehradun) provide a base for export-focused clusters, supported by investments in bulk drug
parks and regulatory upgrades. To shift from volume to value, Uttarakhand must strengthen
R&D through public-private partnerships and specialized centers in pharma, AYUSH, biotech,
and food processing. Export Preparedness Index 2024 341
Threats
Uttarakhand’s export growth is threatened by delays in infrastructure projects such as logistics
parks, industrial corridors, and transport upgrades which hamper supply chain efficiency and
deter export-focused investments. The state’s vulnerability to natural disasters like landslides and
floods frequently disrupts transport networks, causing export delays and financial losses while
weakening investor confidence. Additionally, a significant talent drain, over 500,000 people
have migrated in the past decade, leaving 734 villages abandoned has reduced the availability
of skilled labor, limiting innovation and operational capacity in the export ecosystem.
Strategic Roadmap – Focus Areas
Considering global consumption trends and existing strengths, Uttarakhand should direct
efforts toward: Export Preparedness Index 2024 342
Authors and Research Team
NITI AayogDeloitte South Asia
Shri Sanjeet Singh
Senior Adviser
Kathir Thandavarayan
Partner
Dr. Pravin Kumar
Easwaran Subramanian
Partner
Sh. Pulkit Tyagi
Sundar V C
Director
Sh. Kushagra Tripathi Subrahmanyam Nandula
Abhinav Anil
Annika Gupta
Suvigya Lala
Srikanth Mani
Akshay Mali Economics and Finance - II Division