Union Commerce and Industry Minister Piyush Goyal said India’s exports in the current financial year will exceed those achieved in 2024-25, as the government accelerates efforts to diversify outbound shipments across new markets and products.
Goyal highlighted that the industry has committed to passing on the benefits of the latest Goods and Services Tax (GST) rate cuts to consumers. “This has been a very special year for consumers,” he said, pointing to income tax concessions announced in the Union Budget alongside Wednesday’s GST reforms.
The minister said GST rationalisation will have a multiplier effect on the economy, keeping inflation in check while boosting demand and manufacturing. “Reduction in prices also benefits industry as it leads to higher demand, which in turn boosts manufacturing activities,” he noted.
India’s goods and services exports reached USD 820 billion in 2024-25, up nearly 6% from USD 778 billion in 2023-24, despite global headwinds. However, a 50% tariff imposed by the US on Indian goods has created fresh challenges. Goyal stressed that diversification of export destinations and products is underway, citing efforts to expand into new markets such as the UAE and Singapore.
“India is exploring the UAE market for shrimp and seafood exports. Singapore has assured us it will buy eggs and chicken from India, and I have also requested them to examine fish exports—they tell me they love the taste of Indian fish,” he said.
On how GST reforms would aid exporters, Goyal explained that rationalised rates would help all sections of industry, especially those impacted by trade actions of third countries. “It’s a win-win for all, as exporters can also capture a bigger share of the Indian market,” he said.
The Commerce Ministry said industry bodies have welcomed the GST measures, which include faster tax refunds for exporters, relief under the inverted duty structure, and rate rationalisation across key sectors. These steps are expected to ease liquidity pressures, reduce working capital blockages, strengthen supply chains, and boost MSMEs and export competitiveness.
Key takeaways from GST rationalisation for exporters, the ministry said, include:
- Lower input costs and enhanced global competitiveness
- Support for MSMEs and export-oriented sectors
- Efficient supply chains and logistics
- Encouragement for innovation and new products
- Sustainable, structured growth
Commerce Secretary Sunil Barthwal described the move as a “decisive step” to strengthen India’s manufacturing base, empower MSMEs, and reinforce the vision of an Atmanirbhar Bharat. “It delivers concrete benefits to producers, traders, and exporters across the country,” he said.
Join our WhatsApp channel for more updates:
Subscribe to our YouTube channel for more updates:
