Most Indian states performed well on an average across the sub-pillars of exports diversification, transport connectivity and infrastructure, with the states’ average score in these three sub-pillars being above 50 per cent, according to the Export Preparedness Index (EPI) 2020 released recently by the NITI Aayog in partnership with the Institute of Competitiveness.
Overall, most coastal states are the best performers. Gujarat, Maharashtra and Tamil Nadu occupy the top three ranks respectively. Six of the eight coastal states feature in the top ten rankings, indicating the presence of strong enabling and facilitating factors to promote exports.Most Indian states performed well on an average across the sub-pillars of exports diversification, transport connectivity and infrastructure, with the states' average score in these three sub-pillars being above 50 per cent, according to the Export Preparedness Index 2020 released by the NITI Aayog in partnership with the Institute of Competitiveness.#
In the landlocked states, Rajasthan has performed the best, followed by Telangana and Haryana. Among the Himalayan states, Uttarakhand is the highest, followed by Tripura and Himachal Pradesh. Across the Union Territories, Delhi has performed the best, followed by Goa and Chandigarh, according to an official release.
The report also highlights that export orientation and preparedness are not just restricted to prosperous states. Even emerging states can undertake dynamic export policy measures, have functioning promotional councils, and synchronise with national logistical plans to grow their exports.
Chhattisgarh and Jharkhand are two landlocked states that had initiated several measures to promote exports. Other states facing similar socio-economic challenges can look at the measures taken by Chhattisgarh and Jharkhand and try to implement them to grow their exports, the document said.
Many northeastern states under the growth orientation sub-pillar were able to export more by focusing on their indigenous product baskets. This shows that a focused development of such baskets (like spices) can drive exports on one hand and also improve farmer incomes on the other in these states.
Indian states should also focus on other key components in order to improve export competitiveness, suggested the document.
The first report to examine export preparedness and performance of Indian states, EPI intends to identify challenges and opportunities; enhance the effectiveness of government policies; and encourage a facilitative regulatory framework.
The structure of the EPI includes four pillars—policy; business ecosystem; export ecosystem; export performance –and 11 sub-pillars—export promotion policy; institutional framework; business environment; infrastructure; transport connectivity; access to finance; export infrastructure; trade support; R&D infrastructure; export diversification; and growth orientation.
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