NEW DELHI, INDIA / RankWire.AI / – India has initiated a comprehensive evaluation aimed at pinpointing around 100 imported products that can be produced domestically on a larger scale. The Department for Promotion of Industry and Internal Trade is spearheading this effort through six specialized teams. The assessment covers sectors such as health care, transportation, energy, electronics, chemicals, textiles, and industrial machinery. The government has yet to release the finalized list or disclose any product-specific incentives.
This initiative comes amid India’s effort to address a broader trade deficit. In fiscal year 2025-26, imports of goods hit $774.98 billion, up from $721.20 billion in the previous year. Meanwhile, exports reached $441.78 billion, resulting in a trade shortfall of $333.19 billion. Data from the Commerce Ministry shows that excluding petroleum, gems, and jewelry, imports increased to $498.56 billion. These figures highlight which sectors continue to rely heavily on imports.
Prime Minister Narendra Modi directed both the central government and state authorities in December 2025 to identify 100 products suitable for local production. Subsequently, Commerce and Industry Minister Piyush Goyal encouraged companies to analyze official import data and increase manufacturing in sectors with high import dependence. He emphasized the importance of capital goods and medical devices. The Department for Promotion of Industry and Internal Trade then organized sector-specific teams in collaboration with relevant ministries.
Six specialized groups scrutinize key industrial sectors
Each team focuses on a specific segment of the economy. One examines pharmaceuticals and medical devices, another reviews chemicals, textiles, and footwear. Separate groups are tasked with capital goods, automobiles, electric vehicles, energy infrastructure, and machinery. The review also encompasses civilian aerospace, defense-related products, and electronics. Officials utilize product-level trade data to compare import values, quantities, and sourcing countries.
India already operates production-linked incentive schemes across 14 industries, including electronics, pharmaceuticals, automobiles, batteries, telecommunications equipment, solar panels, textiles, and medical devices. The government supports semiconductor manufacturing and the domestic production of electronic components through dedicated programs. Incentives for pharmaceuticals target 41 bulk drugs, chosen due to heavy reliance on imports. Solar manufacturing initiatives aim to develop nearly 48 gigawatts of high-efficiency module capacity.
Trade data informs the review process
The Commerce Ministry maintains digital trade platforms that contain detailed import data categorized by country and product. Officials and industry stakeholders utilize these records to monitor shifts in major categories. From April to June 2026, India imported goods worth $216.18 billion, up from $180.31 billion during the same period in the previous year. The rise reflects increased import expenses from the prior financial year. Authorities are leveraging this data to refine the product list and identify manufacturing opportunities.
This ongoing review builds on efforts to connect customs classifications with responsible industrial sectors. Such alignment assists officials in pinpointing high-volume imports and delegating follow-up actions to appropriate ministries. The government has confirmed the six-sector review and its goal of boosting domestic manufacturing. However, the final list of products, detailed import figures for each item, or new support schemes have yet to be published. Any product-specific incentive programs would require a formal notification from the relevant ministry.