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Niti Aayog Ranks States on Export Readiness
Maharashtra has secured the top position among large states in Niti Aayog's Export Preparedness Index (EPI) 2024, a significant indicator of the nation's trade competitiveness. The policy think tank's latest assessment places Tamil Nadu and Gujarat as the second and third best performers respectively. Uttar Pradesh and Andhra Pradesh round out the top five, highlighting their growing roles in India's export landscape.
Top Performers Identified
For smaller states, Uttarakhand emerged as the leader, with Jammu and Kashmir, Nagaland, and the union territories of Dadra and Nagar Haveli, Daman & Diu, and Goa also featuring prominently. The index categorizes states into leaders, challengers, and aspirers, providing a nuanced view of their export capabilities.
Index Framework and Objectives
The EPI 2024 framework meticulously evaluates states across four key pillars: export infrastructure, business ecosystem, policy and governance, and export performance. These are further broken down into 13 sub-pillars and 70 parameters, incorporating new indicators like macroeconomy, cost competitiveness, human capital, financial access, and the MSME ecosystem. The index aims to pinpoint structural challenges and identify growth opportunities to enhance export competitiveness at both state and district levels.
Driving India's Export Trajectory
Niti Aayog CEO B V R Subrahmanyam emphasized that the preparedness of states and districts is increasingly shaping India's export trajectory. He stressed the importance of strengthening export infrastructure, improving cost competitiveness, building robust institutions, and nurturing predictable policy environments. Enhancing subnational export readiness, Subrahmanyam stated, is crucial for sustaining long-term growth, generating employment, reducing regional disparities, and integrating deeper into global value chains amidst global volatility.
"Harnessing the power of competitive cooperative governance has become increasingly important as India positions itself more firmly within global value chains," Subrahmanyam remarked. He added that states are central to driving the country's export momentum, and their ability to leverage regional strengths, diversify capabilities, and foster an enabling environment is key to sustained growth. This marks the fourth edition of the EPI, with the first published in August 2020.