New possiblities being created for expansion of India's exports: PM Modi
The central government is working closely with the states to increase export and investment, PM Modi said
In a world that is shrinking due to physical, technological and financial connectivity, new possibilities are being created around the world for the expansion of India's exports, Prime Minister Narendra Modi has said.
The Indian Prime Minister was interacting with Heads of Indian Missions abroad and stakeholders of the trade & commerce sector via video conference in a first of its kind initiative on Friday.
He reminded that one of the major reasons India had the highest share in the global economy in the past was its strong trade and exports.
The Prime Minister urged the stakeholders to put all their efforts to take advantage of the new opportunities created by the changes in the Global Supply Chain in the Post Covid Global World.
He stressed on the importance of strengthening exports in regaining India's old share in the global economy.
He also spoke about an important policy decision taken by the Indian government to promote investment in the country.
"The decision taken by India to get rid of retrospective taxation shows our commitment, shows consistency in policies and gives a clear message to all the investors that India is not only opening the doors of new possibilities but the decisive Government of India, has the will to fulfill its promises," PM Modi said.
The Prime Minister listed four factors that are very important for increasing exports.
* Manufacturing in the country has increased manifold and that has to be qualitatively competitive
*The problems of transport, logistics should be removed for that centre, states and private stakeholders will have to work continuously
*The government should walk shoulder to shoulder with the exporters
*The international market for Indian products needs to be expanded .
Only when these four factors are synergized will India will be able to achieve the goal of Make in India for the world in a better way, PM Modi said.
He also listed the initiatives of the Government to boost MSMEs like many relaxations given in compliances under Atmanirbhar Bharat Abhiyan and provision of Emergency Credit Line Guarantee Scheme of Rs 3 lakh crore.
He noted that the Production Linked Incentive Scheme will not only help in increasing the scale of our manufacturing but also increase the level of global quality and efficiency. This will develop a new ecosystem of Atmanirbhar Bharat, he said.
Pointing out that the country will get new global champions in manufacturing and export, PM Modi elaborated how Production Linked Incentives (PLIs) helped to strengthen the mobile phone manufacturing sector.
Seven years ago, India used to import mobile phones worth about $ 8 billion. Now, it has come down to $2 billion. Seven years ago, India used to export mobile phones worth only $ 0.3 billion. Now it has increased to more than 3 billion dollars, he pointed out.
The Prime Minister said the government, both at centre and states are also focussing to reduce the time and cost of logistics in the country. For this, work is going on at a rapid pace in every level.
The Prime Minister stressed on the role of states in achieving the export targets and implementing reforms, attracting investment, easing of doing business and creating last mile infrastructure.
He said the central government is working closely with the states to minimize the regulatory burden so as to increase export and investment. He said a healthy competition is being promoted between the states to make export hubs in the states. States are being encouraged to focus on one product in each district.
The Prime Minister said India's ambitious target regarding exports can be achieved only through a holistic and detailed action plan. He urged the stakeholders to accelerate existing exports and also work to create markets, new destinations for new products.
At present, almost half of India's exports are to only 4 major destinations. Similarly, about 60 percent of exports are related to Engineering Goods, Gems and Jewellery, Petroleum and Chemical Products and Pharmaceuticals.
He urged the stakeholders to find new destinations and also take our new products to the world. He added that with the opening of sectors like Mining, Coal, Defense, Railways, our entrepreneurs are also getting new opportunities to increase exports.
Addressing the gathering, the Prime Minister said that this is the time for Azadi ka Amrit Mahotsav. Along with celebrating the 75th festival of independence, this is an opportunity to build a clear vision and roadmap for future India. In this, our Export Ambitions and all the stakeholders play a major role.
The Union Commerce Minister and External Affairs Minister were also present during the interaction. The interaction also witnessed participation of Secretaries of more than twenty departments, state government officials, members of Export Promotion Councils and Chambers of Commerce.