← Concept Library · International Relations
International Relations GS 2 In the news 8 times

India's Trade Policy Architecture

India's trade policy is managed by the Ministry of Commerce and Industry, with the DGFT (Directorate General of Foreign Trade) administering export-import controls. India's overall trade policy has undergone significant shifts since the 1991 reforms — from an import-substitution regime to a more open economy, though it has maintained relatively high tariffs in sensitive sectors (agriculture, dairy, electronics). Bilateral and regional FTAs have been negotiated selectively: India has FTAs with ASEAN, Japan, South Korea, and the UAE, but has stayed out of RCEP.

Key details
  • India withdrew from the Regional Comprehensive Economic Partnership (RCEP) in 2019, citing concerns about Chinese import surges and inadequate market access reciprocity.
  • India's exports to the US (goods): approximately $83-90 billion, making the US the single largest export destination.
  • Key exports at risk from US tariffs: pharmaceuticals, IT hardware, gems and jewellery, textiles, engineering goods.
  • The $500 billion US purchase commitment (energy, aircraft, technology) over five years signals a strategic reorientation of India's import basket away from Russia and China.
In the news

Tracked since February 03, 2026 · last seen June 24, 2026 · updates as the daily brief publishes

Related concepts
See it in today’s brief. Daily current affairs with every static concept explained in place.
Read the daily brief