New trade policy aims at $2tn exports by 2030

India on Friday announced a Foreign Trade Policy (FTP) targeting $2 trillion in exports by 2030, split equally between goods and services that does not have a so-called sunset clause, and which encourages trade settlements in rupees.

- Rajeev Jayaswal

The new trade policy will be effective from April 1.

Expressing confidence in Indian industry after launching the FTP 2023, Union commerce minister Piyush Goyal said any ambitious target could be achieved provided "we explore every possible opportunity" in terms of sectors and geographical locations. Citing Prime Minister Narendra Modi's vision for "Atmanirbhar Bharat" (self-reliant India), the minister added that India is set to expand its share in the global supply chain and exports. "It is better to aim high and miss, than to aim low and to hit... and, of course, what can be better than aim high and achieve," he said.

Goyal said that India is on track to exceed its target for 2022-23. "Despite global headwinds we estimated $750 billion exports (in both goods and services in 2022-23)."

"By February (2023), it appeared that we could achieve up to $760 billion... now we feel that we may even surpass it (to reach $765 billion or $770 billion exports in FY23)," he added on the basis of latest data and expected export figures for the last day of financial year 2022-23.

Terming the achievement a major one given the adverse geopolitical situation, he emphasised that the next milestone is the 2030 target - $1 trillion in goods and $1 trillion in services by 2030. "We have to work more on goods, else by 2030 services may surpass $1 trillion leaving you [merchandise exporters] behind," he added, a reference to the faster growth in services.

The minister said India would launch a "massive, focused, concentrated" global outreach in the next four or five months, involving Indian missions abroad to boost exports.