Monday, September 8, 2025
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Piyush Goyal urges exporters to prioritise local supply chains

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New Delhi, Sep 8: Commerce and Industry Minister Piyush Goyal on Monday urged exporters to give priority to local supply chains to strengthen India’s economic security amid global trade uncertainties that can disrupt domestic production schedules.

“We have recently seen whenever any nation limits or puts export controls, then it impacts our exporters and industry. This is why Atmanirbhar Bharat is the key,” Goyal said in his address at the platinum jubilee celebration of the Engineering Exports Promotion Council (EEPC).

Goyal’s advice came in the backdrop of China’s restrictions on the export of rare earth magnets which have disrupted the production schedules India’s automobile and electronics manufacturing.

The minister also urged the industry to pass on to consumers the entire benefit of the reduction in the Goods and Services Tax (GST) announced by the government. He also highlighted that steps to simplify the indirect tax system and reduce rates would lead to an increase in domestic demand, which would spur economic growth.

India’s economy grew 7.8 per cent in the first quarter of 2025-26, surpassing market estimates, driven by buoyant growth in the services sector. Goyal has assured Indian exporters that the government is actively engaged in creating an enabling environment to help them navigate the challenges arising from rising trade tariffs.

Speaking at the event, Minister of State for Commerce and Industry, Jitin Prasada, said the Indian exporters must also adopt new technologies and sustainable practices, and expressed confidence that businesses will be able to tackle the present uncertainties.

“The global environment is not without challenges. Geopolitical tensions and the rising protectionism in some regions pose uncertainties, but I am confident our exporters will rise to the occasion with innovation and resilience,” Prasada added.

Meanwhile, Goyal chaired a meeting with Export Promotion Councils and Industry Associations last week to chart a path forward amid shifting trade dynamics. He urged exporters to upgrade product quality, align with global standards, diversify supply chains, and explore alternate markets.

There was a broad consensus on the need for alternative mechanisms, with the Government committed to addressing sectoral concerns and driving sustained export growth. The Union Minister emphasised that India’s long-term goal is to strengthen domestic manufacturing, boost exports.

He assured EPC and industry representatives that the government remains committed to providing a supportive ecosystem through ease of doing business initiatives, targeted trade support, and timely policy interventions to mitigate the impact of rising tariff measures.

IANS

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