Piyush Goyal asks industry to lower dependence on single geography amid trade weaponisation

Commerce and Industry Minister Piyush Goyal urged industries to identify vulnerabilities, innovate, and diversify supply chains to ensure long-term resilience, citing the “weaponization of trade.” He highlighted India’s strong economic growth of 8.2% and robust foreign exchange reserves, emphasizing the need for self-sufficiency in critical sectors and deeper global integration.

India is actively working to lessen the effects of the US tariff increase on its exports. The government is launching an export promotion mission to boost trade diversification and resilience. Measures include engaging with the US for a trade agreement, providing immediate relief through RBI measures, and announcing a credit guarantee scheme for exporters.

Indian seafood exports saw a strong rise in the first seven months of FY26. Shipments to the European Union, China, Vietnam, Russia, and the United Kingdom surged. This growth helped compensate for reduced exports to the United States. The European Union saw a substantial increase in seafood value. Russia also increased its imports from India.

President Putin’s visit marks a critical juncture for India, solidifying its position as Russia’s largest oil supplier and a key defense partner. The summit aims to secure energy, defense, and payment mechanisms amidst global fragmentation, balancing India’s strategic autonomy with pressure from Washington and dependence on Moscow.

Global imports worth $2,640 billion were impacted by tariffs and trade measures between mid-October 2024 and 2025, a significant increase from the previous period. The WTO noted a rise in protectionism, with nearly a fifth of world imports now affected by such measures.

Higher palm oil imports by India, the world’s largest buyer of vegetable oils, could help top producers Indonesia and Malaysia reduce their stocks and support benchmark Malaysian palm oil futures, while putting pressure on US soyoil futures.

Asia Pacific economies are urged to boost local currency trade invoicing for goods like textiles and metals, potentially extending to services and finance. India Exim Bank highlights the need for interoperable digital systems and payment networks to facilitate seamless cross-border settlements. Regional cooperation and modernized infrastructure are key to enhancing trade efficiency and resilience.

In a bid to bolster local industry, a parliamentary committee is advocating for the domestic production of essential steel components. Leading manufacturers gathered to strategize on replacing imports of premium materials essential for transformers and automotive manufacturing. The emphasis is on fostering independence within these vital sectors.

India is exploring importing coking coal from Mongolia to diversify supplies, despite transport and geopolitical challenges. Currently reliant on Australia for over half its coal, India faces rising demand and is evaluating Mongolia’s high-grade, lower-cost coal via Russia or China routes, though logistics and potential Chinese restrictions pose hurdles.

India aims to achieve $2 billion in organic food exports by 2030, with current exports reaching $665 million in 2024-25. The nation’s organic production has surged to 46.99 lakh tonnes, driven by a 15% CAGR in cultivation area. The first Northeast India Organic Week is underway to boost regional organic potential.