India just rolled out a $5 billion powerhouse plan to supercharge exports amid crushing U.S. duties. Prime Minister Narendra Modi greenlit the Export Promotion Mission (EPM) Thursday, vowing to sharpen the nation’s global edge.
Washington slapped 50% tariffs on Indian goods punishment for buying Russian oil. India calls it geopolitics in trade clothing.
The $3 Billion Core Engine
Running through 2030-31, this chunk replaces scattered old programs with a single, streamlined system.
Focus:
- Cheaper loans for small factories
- Global quality upgrades
- Hard-hit sectors get priority
Commerce Ministry:
“We’re tackling structural roadblocks head-on.”
$2.3 Billion Safety Net
Information Minister unveiled a credit guarantee fund for exporters.
Why now?
“Some nations’ policies hurt others we shield our own.”
Target Industries
Labor-heavy winners:
- Textiles
- Leather
- Gems & Jewellery
- Engineering
- Seafood
Economy: Boom Meets Storm
India world’s 5th largest economy just posted its fastest growth in 5 quarters (Apr-Jun 2025).
Drivers:
- Government spending surge
- Consumer confidence rebound
But U.S. tariffs cast a shadow:
- 60–80 basis point GDP drag possible
- Exports under fire
Trade Talks Still Alive
Despite farm trade spats and U.S. claims that India’s oil buys fund Ukraine war, negotiations continue.
The Big Picture
India refuses to bow. $5B isn’t just cash it’s defiance.
