Merchants’ Chamber of Commerce & Industry organised a Special Session with Dr. K. Rangarajan, Professor, Head of Indian Institute of Foreign Trade, Kolkata campus on “India’s Export Ambition

Arun Kumar Garodia, Chairman & Yogesh Gupta, Co-Chairman, Council on Foreign Trade, MCCI presenting a Memento to Dr. K. Rangarajan, Professor, Head – Indian Institute of Foreign Trade, Kolkata Campus at a Special Session on “India’s Export Ambitions: Trade Strategy to Achieve USD 2 Trillion by 2030 and How Tariffs are reshaping businesses”, on Saturday, 5 July 2025 at MCCI Conference Hall

Dr. K. Rangarajan, Professor, Head – Indian Institute of Foreign Trade, Kolkata Campus addressing at a Special Session on “India’s Export Ambitions: Trade Strategy to Achieve USD 2 Trillion by 2030 and How Tariffs are reshaping businesses”, on Saturday, 5 July 2025 at MCCI Conference Hall

Merchants’ Chamber of Commerce & Industry organised a Special Session with Dr. K. Rangarajan, Professor, Head of Indian Institute of Foreign Trade, Kolkata campus on “India’s Export Ambitions: Trade Strategy to Achieve USD 2 Trillion by 2030 and How Tariffs are reshaping businesses” on 5 th July 2025 at MCCI.

While highlighting India’s growth story, Shri Arun Kumar Garodia, Chairman, Council on Foreign Trade, MCCI in his welcome address mentioned that India’s US$ 2 trillion export target is ambitious but achievable with the right mix of trade diplomacy, structural reforms, and industry collaboration. However, tariffs and shifting trade dynamics demand Indian businesses to be agile, resilient, and globally compliant.

Dr. K. Rangarajan, Professor and Head of the Indian Institute of Foreign Trade, Kolkata campus, noted that despite severe disruptions impacting global supply chains, businesses have demonstrated resilience and adaptability. He highlighted that the world merchandise trade volume has grown by 2.9% during 2024-25, underscoring the sector’s ability to navigate challenges.

Dr. Rangarajan stated that among 12 key international trade corridors, India’s corridors are considered one of the safest, attracting significant traffic from countries worldwide.

Dr. Rangarajan noted that CIS countries have achieved a remarkable 4.4% growth in merchandise trade for 2025. However, India’s merchandise exports continue to face challenges, growing at a modest 2%.

To address this disparity, he suggested that micro-level interventions are essential to enhance India’s merchandise export performance.

While discussing on USA’s Reciprocal Tariff, he highlighted that

USA has adopted a retaliatory trade regime, or the Reciprocal Tariff regime.

Ø By this new policy, United Sates charge back the exact rate of tariff that is charged on them, throughout the global market, by the respective countries of bilateral trade.

Ø A few product categories are exempted in the list

Ø It was notified on 1/4/2025

Ø Put to pause on 9/4/2025 for 90 days

India currently faces a 26% discounted Reciprocal Tariff. However, India’s exports have increased in 115 countries out of 238 destinations during 2023-24, including the countries of Africa and Latin America.

He also mentioned that Trade will grow by $12 trillion by 2035 in a baseline scenario. The trade increase would boost today’s global trade value by about 35 percent, to $45 trillion. Depending on the scenario, over 30 percent of global trade in 2035 could swing from one trade corridor to another. Fragmentation, pushed by heightened tariff levels, could drive the largest shifts, especially in critical sectors. expressed optimism that after July 9, 2025, international trade might experience a favorable shift, potentially benefiting businesses.

The session ended with a hearty Vote of thanks proposed by Shri Yogesh Gupta, Co-Chairman, Council on Foreign Trade, MCCI mentioning that as India sets its sights on this ambitious goal, with global demand rising and Indian businesses rapidly digitising, the target seems attainable. He suggested that India should expedite the finalization of all Free Trade Agreements (FTAs) currently under discussion with various countries. There is need to address non-trade barriers imposed by other nations. Compliance audits, conducted by importing countries, were expensive, and Indian exporters struggled to recover these costs from buyers.

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