India should target USD 350 bn exports through e-comm by 2030
A recent report released by the “Global Trade Research Initiative” (GTRI) suggested that India should set a target of $350 billion in e-commerce exports by 2030.
The report is published with the title “Making e-commerce exports a bigger success story than IT: Blueprint for realizing India’s e-commerce export potential”.
Highlights of the report:
- Global ‘business-to-consumer’ (B2C) e-commerce exports are projected to grow from the current $800 billion to $8 trillion by 2030. India is in a better position to take advantage of this.
- This is due to the following reasons: higher profit margin per unit of export from India, large number of skilled artisans, growing market etc.
- E-commerce or electronic commerce is the buying and selling of goods and services by companies and individuals over the Internet.
- Currently, India’s e-commerce exports are only $2 billion. This is less than 0.5 per cent of the country’s total merchandise exports.
The following reasons are responsible for low exports:
- There is a lack of comprehensive rules. This increases the compliance burden on small companies;
- lack of branding of products;
- There is a lack of conducive environment for commercial export transactions.
Key recommendations in the report –
- A separate policy on e-commerce exports should be issued. It should have provisions for business development and reducing regulatory burden.
- An e-commerce national trade network should be set up. Through this, different stakeholders should be brought together to build a central technology platform.
- Separate custom codes need to be created for e-commerce shipments. Also, green channel clearance should be allowed for e-commerce shipments.
Source – Outlook of India
