CHENNAI: The government of Tamil Nadu, which recently unveiled its new export promotion strategy, has identified six champion sectors to focus on for the state’s export push.
Champion sectors identified for the strategy include automotive and automotive components, textiles, food processing, leather and footwear, electronics and communications, and machinery.
Unveiling the state’s export promotion strategy on Wednesday this week, Chief Minister MK Stalin set a target for the state to reach $ 100 billion in exports by 2030. This requires that exports of state are quadrupled in just over eight years. 26 billion dollars and therefore the need to identify the champion sectors for special attention as part of the strategy.
Tamil Nadu boasts of a diverse export basket in various sectors, including automotive and components, machinery and instruments, electronic hardware, software, ready-made clothing and accessories, wires , fabrics and leather products. Manufactured goods represent an important part of the state’s economic growth and exports and, therefore, it has traditionally focused on export-oriented manufacturing to foster high value-added production.
According to the export policy, the value of goods from Tamil Nadu amounted to Rs 11.55 lakh crore ($ 168.5 billion) between 2015-16 and 2020-21. In fiscal year 2020-21, Tamil Nadu accounted for 9% of national exports.
Becoming a key export region and maintaining this position requires the state to be competitive in champion sectors and in particular in specific segments of these sectors, noted the export promotion strategy. Thus, the state’s champion sectors for export promotion have been identified on the basis of parameters such as production, employment, trade, competitiveness and investment.
The identified champion sectors also revealed a comparative advantage for Tamil Nadu, where the state exports more than its fair share. The structure of world trade reveals that large economies like the United States, Europe, Japan and Canada are the most important export markets. While this is true with the champion sectors identified by the state, it is essential for the state to help manufacturers identify and connect with partners, understand and comply with requirements, and export effectively to these regions. .
To support Tamil Nadu’s efforts on the export front, a state export promotion committee should be formed. The committee will be headed by the Chief Secretary and will include government secretaries from relevant departments and related to identified areas of export interest, in addition to a few others.

Source link

Leave a Reply

Your email address will not be published.