India must deepen GVC ties, leverage FTAs to boost exports

Deepening integration into global value chains and leveraging existing free trade agreements are critical for India to accelerate export growth and develop its high-end manufacturing capabilities, Deloitte India said in a new assessment.

Anil Talreja, Partner at Deloitte India, highlighted the need to reduce logistics costs through multimodal export corridors by improving end-to-end supply chain efficiency. He stressed that priority areas should include lowering port handling charges, transportation costs, warehousing expenses, enhancing rail connectivity, improving container availability, and strengthening last-mile logistics networks.

Talreja recommended establishing a dedicated 'Response Cell' to monitor and analyse evolving trade requirements in major export markets, including changes to product standards, carbon-border adjustment measures, sustainability and traceability protocols, and international sanctions regimes. Such a mechanism would help Indian exporters stay ahead of emerging regulatory requirements.

The consulting firm's recommendations align with India's broader efforts to position itself as a manufacturing alternative to China. Stronger supply chain resilience, combined with better leverage of FTAs with key trading partners, could unlock significant opportunities for Indian exporters across sectors including electronics, pharmaceuticals, and engineering goods.