India’s USD 1 Tn Export Target Achievable Through Coordinated Govt And Industry Action: Piyush Goyal

New Delhi, Jul 4 (KNN) Commerce and Industry Minister Piyush Goyal on Friday projected that India’s merchandise exports could grow by 16–17 per cent and services exports by 10–11 per cent in the current financial year.

Speaking after a meeting of the Board of Trade, Goyal said the projected growth could take merchandise exports to around USD 530 billion and services exports to about USD 470 billion in FY27, putting total exports within reach of the USD 1 trillion target. 

He emphasised that the goal, though ambitious, is achievable through coordinated efforts by the Centre, states, industry, and exporters.

Policy Push to Strengthen Export Ecosystem

The minister called for exports to be treated as a high-priority agenda across states, industry bodies and export promotion councils, with greater coordination and regular monitoring. 

He urged states to actively participate in the BHAVYA Industrial Parks Scheme and expedite the implementation of labour codes to improve the business environment.

He also highlighted the need to strengthen testing and certification infrastructure to reduce compliance costs, while encouraging wider use of the Export Promotion Mission (EPM), particularly to support micro, small and medium enterprises (MSMEs). 

Industries facing unfair trade practices were advised to seek relief through the Directorate General of Trade Remedies (DGTR).

Focus on FTAs and Market Access

With more trade agreements expected this year, the government outlined a framework to improve the utilisation of free trade agreements. The approach focuses on expanding exports in sectors where India has a competitive advantage, diversifying product offerings, addressing non-tariff barriers and helping MSMEs meet compliance requirements. 

Industry Flags Logistics and Credit Constraints

The Federation of Indian Export Organisations (FIEO) noted that as exporters face longer payment cycles, higher logistics costs, stricter compliance and rising global competition, timely access to affordable working capital is more critical than ever. Limited availability of pre- and post-shipment credit hampers their ability to fulfil orders, diversify markets and stay competitive.

FIEO urged improved access to export credit, especially for MSMEs, and called for greater coordination to address supply chain bottlenecks.

The federation said, "We, therefore, request the government to engage with the RBI and the banking sector to restore export credit as a strategic priority, ensure adequate and timely availability of export finance at internationally competitive interest rates and encourage banks to adopt a more facilitative approach towards exporters," as quoted by PTI.

Exports Performance and District-Level Push

India recorded total exports of USD 863 billion in FY 2025–26, marking a 4.6 per cent increase despite global uncertainties. Merchandise exports stood at about USD 442 billion, while services exports reached USD 421 billion. 

A 90-day drive under the Districts as Export Hubs initiative will cover 120 districts across states and union territories, aiming to increase exporter participation and boost local export value.

Outlook

Goyal expressed confidence that stronger collaboration between the Centre, states and industry, along with targeted policy support, will help sustain export growth and enhance India’s competitiveness in global trade.

(KNN Bureau)