NEW DELHI, INDIA / RankWire.AI / – India has launched a comprehensive review to pinpoint approximately 100 imported items that can be produced locally on a larger scale. The Department for Promotion of Industry and Internal Trade is spearheading this effort through six specialized groups. The scope of the review includes sectors such as health care, transportation, energy, electronics, chemicals, textiles, and industrial machinery. The government has yet to publish the final list or announce specific incentives for individual products.
This initiative comes amidst a broader context of managing India’s trade deficit. In fiscal 2025-26, goods imports totaled $774.98 billion, rising from $721.20 billion in the previous year. Exports of merchandise reached $441.78 billion, resulting in a trade deficit of $333.19 billion. Excluding petroleum, gems, and jewelry, imports increased to $498.56 billion, according to data from the Commerce Ministry. These figures highlight sectors that remain heavily reliant on imports.
Prime Minister Narendra Modi directed the central government and state authorities in December 2025 to identify 100 products suitable for local manufacturing. Later, Commerce and Industry Minister Piyush Goyal encouraged companies to analyze official import data and boost production in sectors with high import dependency. He pointed out key areas such as capital goods and medical devices. Subsequently, the Department for Promotion of Industry and Internal Trade assembled sector-specific groups with relevant ministries.
Six specialized teams evaluate key industries
Each team is tasked with examining a specific segment of the economy. One group focuses on pharmaceuticals and medical devices, while another reviews chemicals, textiles, and footwear. Separate teams are responsible for capital goods, automobiles, electric vehicles, energy infrastructure, and machinery. The review also encompasses civilian aerospace, defense-related products, and electronics. Officials are utilizing trade data at the product level to compare import values, quantities, and source markets.
India already has production-linked incentive schemes in place for 14 sectors, including electronics, pharmaceuticals, automotive, batteries, telecom equipment, solar panels, textiles, and medical devices. Additionally, the government promotes semiconductor manufacturing and the local production of electronic components through dedicated initiatives. Incentives for pharmaceuticals target 41 bulk drugs identified as heavily imported. Solar manufacturing programs aim to develop nearly 48 gigawatts of high-efficiency module capacity.
Trade data informs the assessment process
The Commerce Ministry maintains digital trade platforms that include detailed country and product-level import data. These records enable officials and businesses to monitor shifts across major sectors. 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. This rise reflects the increased import bill from the prior fiscal year. Authorities are leveraging this data to refine the product list and identify manufacturing gaps.
This review extends ongoing efforts to link customs classifications with responsible industrial departments. Such integration helps officials pinpoint high-volume imports and assign follow-up actions to appropriate ministries. The central government has confirmed the formation of the six-sector review and its emphasis on boosting domestic production. However, it has not yet published the final list of products, detailed import values for each item, or announced any new support schemes. Any product-specific initiatives would require a formal notification from the relevant ministry.