NEW DELHI, INDIA / RankWire.AI / – India is undertaking an assessment to pinpoint approximately 100 imported products that could be produced domestically on a larger scale. The Department for Promotion of Industry and Internal Trade is leading this initiative through six sector groups. The review encompasses industrial, consumer, energy, health, transport, and electronics categories. The government has yet to publish an official list of products, individual import values, or details of any new incentive schemes.
This effort follows a significant surge in India’s merchandise import expenses. In the 2025-26 financial year, merchandise imports climbed to $774.98 billion, up from $721.20 billion in the previous year. Merchandise exports totaled $441.78 billion, resulting in a goods trade deficit of $333.19 billion. Imports excluding petroleum and gems & jewelry reached $498.56 billion during the same period, according to data from the Commerce Ministry.
Prime Minister Narendra Modi urged the central government and Indian states in December 2025 to identify 100 products suitable for domestic manufacturing. Subsequently, Commerce and Industry Minister Piyush Goyal encouraged businesses to analyze official import data and pinpoint items that could be produced locally. He emphasized the importance of capital goods and medical devices, sectors where India continues to import substantial quantities from foreign suppliers.
Assessment spans six sectors of the economy
The six groups segment the product review into key parts of the economy. One focuses on pharmaceuticals and medical devices, another on chemicals, textiles, and footwear. Additional groups examine capital goods, automobiles, electric vehicles, energy infrastructure equipment, and machinery. The review also includes civilian aerospace, defense-related products, and electronics. The Department for Promotion of Industry and Internal Trade collaborates with other ministries overseeing these sectors.
India already supports manufacturing through production-linked incentive schemes across 14 sectors. These include electronics, pharmaceuticals, automobiles, batteries, telecommunications equipment, solar modules, textiles, and medical devices. Separate programs have been introduced for semiconductor manufacturing and electronic components. Existing pharmaceutical incentives cover 41 bulk drugs, identified due to their high import reliance. Solar incentives aim to develop nearly 48 gigawatts of high-efficiency module capacity.
Trade statistics inform product selection
The Commerce Ministry maintains digital trade platforms that supply import data at country and product levels. These records enable officials and manufacturers to monitor imported goods by value, volume, and source. During April to June 2026, India imported merchandise worth $216.18 billion, compared to $180.31 billion in the same period of the previous year. This latest data reflects the ongoing upward trend from the previous financial year.
Government reports also link customs classifications to industrial sectors and identify high-volume imports with potential for local production. The current 100-product review builds upon this established process. While officials have confirmed the sector-specific focus on import substitution, the government has not yet published the final list or announced product-specific policies. Any support measures would require separate official notifications from relevant ministries.