NEW DELHI, INDIA / RankWire.AI / – India is undertaking an assessment to pinpoint approximately 100 imported goods 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-specific groups. The review encompasses products in the industrial, consumer, energy, health, transportation, and electronics categories. The government has not yet released a definitive list of products, specific import values, or details about any new incentive schemes.
This move comes amid a significant rise in India’s merchandise import expenses. In the 2025-26 fiscal year, merchandise imports reached $774.98 billion, increasing from $721.20 billion the previous year. Exports of goods totaled $441.78 billion, resulting in a goods trade deficit of $333.19 billion. Imports excluding petroleum and gems and jewelry amounted to $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 for local manufacturing. Subsequently, Commerce and Industry Minister Piyush Goyal requested businesses to analyze official import data and select products suitable for domestic production. He emphasized sectors such as capital goods and medical devices, which India continues to import in large quantities.
Six-sector focus of domestic manufacturing assessment
The product review is organized into six groups, each covering key parts of the economy. One group focuses on pharmaceuticals and medical devices, another on chemicals, textiles, and footwear. Additional groups evaluate capital goods, automobiles, electric vehicles, energy equipment, and infrastructure machinery. The review also includes civilian aerospace, defense-related products, and electronics. The Department for Promotion of Industry and Internal Trade collaborates with other relevant ministries overseeing these sectors.
India already promotes manufacturing through production-linked incentive programs across 14 sectors, including electronics, pharmaceuticals, automobiles, batteries, telecommunications equipment, solar modules, textiles, and medical devices. Separate initiatives support semiconductor manufacturing and electronic components. The existing pharmaceutical incentives target 41 bulk drugs, identified due to high import reliance. Solar incentives aim for nearly 48 gigawatts of high-efficiency module capacity.
Trade data informs product selection process
The Commerce Ministry provides digital trade platforms that supply import data at the country and product levels. These records enable officials and manufacturers to monitor imports by value, volume, and source. In April through June 2026, India’s merchandise imports totaled $216.18 billion, up from $180.31 billion during the same period the previous year. These figures reflect a continued upward trend from the previous fiscal year.
Government documents also link customs classifications to industrial sectors and identify high-volume imports with potential for local production. The current 100-product initiative builds on this established framework. Authorities have confirmed the sector-focused review and emphasis on import substitution. However, the final list of products and specific support measures have not yet been announced. Any official support, once approved, will require separate notifications from the relevant ministries.