NEW DELHI, INDIA / RankWire.AI / – India is currently assessing around 100 imported products with the aim of increasing their domestic production. The Department for Promotion of Industry and Internal Trade is overseeing this initiative through six sector-specific groups. The review encompasses industrial, consumer, energy, health, transport, and electronics categories. The government has not yet released a finalized list of products, detailed import values, or specifics of any new incentive schemes.
This move comes in response to a significant rise in India’s merchandise import expenditures. In the 2025-26 fiscal year, merchandise imports reached $774.98 billion, an increase from $721.20 billion the previous year. Export figures totaled $441.78 billion, resulting in a goods trade deficit of $333.19 billion. Data from the Commerce Ministry indicates that non-petroleum and non-gems and jewelry imports amounted to $498.56 billion during the same period.
Prime Minister Narendra Modi urged the central government and Indian states in December 2025 to identify 100 products for domestic manufacturing. Subsequently, Commerce and Industry Minister Piyush Goyal asked businesses to analyze official import data to identify items suitable for local production. He emphasized that sectors such as capital goods and medical devices remain heavily reliant on overseas suppliers.
Six sectors targeted in domestic production assessment
The product review is organized into six groups, each covering vital segments of the economy. One group focuses on pharmaceuticals and medical devices, while another addresses chemicals, textiles, and footwear. Additional groups review capital goods, automobiles, electric vehicles, energy equipment, and infrastructure machinery. The scope also includes civilian aerospace, defense-related products, and electronics. These efforts are coordinated by the Department for Promotion of Industry and Internal Trade in collaboration with other relevant ministries.
India already implements production-linked incentive schemes across 14 sectors, including electronics, pharmaceuticals, automobiles, batteries, telecommunications equipment, solar modules, textiles, and medical devices. Separate programs have been launched to promote semiconductor manufacturing and electronic component production. The pharmaceutical incentives target 41 bulk drugs that India depends on heavily through imports, while solar incentives aim to develop nearly 48 gigawatts of high-efficiency module capacity.
Utilizing trade data to inform product focus
The Commerce Ministry maintains digital trade platforms offering detailed import data at the country and product levels. These records enable officials and manufacturers to monitor imports by value, volume, and source. During April to June 2026, India’s merchandise imports totaled $216.18 billion, up from $180.31 billion in the same quarter of the previous year. The latest data continues the upward trend observed during the last fiscal year.
Official documents also link customs classifications to various industrial sectors and highlight high-volume imports that could potentially be produced domestically. The ongoing 100-product review expands on this established process. While authorities have confirmed the sector-based approach and focus on import substitution, the final list and specific measures for individual products have not yet been disclosed. Any support measures would require separate formal notifications from the relevant ministries.