(MENAFN- KNN India)
New Delhi, Aug 10 (KNN)
A recent report by PwC India suggests that India could reach its ambitious target of USD 1 trillion in merchandise exports by 2028-29, a year earlier than the initial 2029-30 goal.
This accelerated timeline, however, hinges on an optimistic annual export growth rate of 18 per cent and assumes global Political and economic stability.
The report, titled 'VIKSIT: An Approach for India to Achieve USD 1 trillion exports,' outlines three potential scenarios. In the optimistic scenario, with 18 per cent annual growth, the target would be reached by 2028-29.
The current scenario, assuming 14.45 per cent annual growth, projects the target to be reached by early 2030.
This takes into account ongoing global challenges, including supply chain disruptions from the Russia-Ukraine conflict, high inflation, and growth stagnation in key economies such as the US, Germany, Japan, and the UK.
In the conservative scenario, with 10 per cent annual growth, the target would be reached by 2032-33.
The report highlights the increasing role of Micro, Small, and Medium Enterprises (MSMEs) in Indian exports post-COVID-19 pandemic.
However, it also identifies a significant gap in export growth and MSME internationalisation. Sanjeev Krishan, Chairperson, PwC India, noted that only 1.36 per cent of India's registered MSMEs are currently engaged in exporting activities.
He emphasised the need to address challenges such as the business environment, export procedures, finance access, and market information to boost MSME exports.
To facilitate export growth, the report proposes six 'VIKSIT' pillars including value addition and volume growth, infrastructure investments, knowledge sharing and capacity building, sustainable supply chains, inclusive industrialisation focused on MSMEs, and technology enablement.
The report concludes by recommending that both central and state governments should work to mobilise private sector investments towards export-oriented businesses, particularly in emerging sectors, and enhance MSME performance in exports.
These efforts are seen as crucial for India to achieve its ambitious export target and strengthen its position in the global economy.
(KNN Bureau)
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