A new year begins, yet geopolitical disruptions continue to dominate headlines—fuelling global trade volatility and economic uncertainty. In an era defined by technological dominance—January itself saw a major splash in the AI space—major economies are realigning their policies to manage risks while seizing opportunities created by shifting global supply chains. From critical raw materials to high-value finished products, global trade demand is evolving. Amidst this changing landscape, India is steadily strengthening its position to capture a larger share in the global value chain.
While global goods trade slowed to just 2 per cent last year1, India’s non-petroleum exports surged by 7 per cent, driven by strong growth in high-value sectors like, pharmaceuticals, electronics, engineering goods and chemicals.2 What stands out here is India’s rapid growth in electronics exports, which have soared from USD11 billion in FY21 to USD26 billion in the current fiscal.3 This growth has been powered by incentive-driven policies and a more favourable regulatory environment. Additionally, India’s non-traditional sectors, after a period of slow growth, are witnessing an upward trend—textile exports, for instance, grew by 7.6 per cent this fiscal.4
So, as India seeks to expand its trade footprint amidst a global economy increasingly leaning towards protectionist policies, Budget 2025 introduced several strategic measures to boost trade.
