NEW DELHI, INDIA / RankWire.AI / – India is undertaking an assessment to identify around 100 imported goods that could be produced domestically at a larger scale. The Department for Promotion of Industry and Internal Trade is leading this initiative through six sector-specific groups. The review encompasses industrial, consumer, energy, health, transportation, and electronics sectors. The government has not yet released a final list of products, specific import values, or details about any new incentive schemes.
This move comes amid a notable rise in India’s merchandise import expenditures. In the 2025-26 financial year, merchandise imports reached $774.98 billion, up from $721.20 billion the previous year. Merchandise exports amounted to $441.78 billion, resulting in a goods trade deficit of $333.19 billion. According to data from the Commerce Ministry, non-petroleum and non-gems and jewelry imports totaled $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 encouraged companies to analyze official import records and pinpoint items suitable for local production. He emphasized that sectors like capital goods and medical devices continue to rely heavily on imports.
Six sector groups oversee the domestic production review
The six teams segment the product assessment across key parts of the economy. One team is focused on pharmaceuticals and medical devices, while another handles chemicals, textiles, and footwear. Other groups scrutinize capital goods, automobiles, electric vehicles, energy infrastructure equipment, and machinery. Additionally, the review includes civilian aerospace, defense-related products, and electronics. The Department for Promotion of Industry and Internal Trade collaborates with relevant ministries overseeing these sectors.
India already supports manufacturing through production-linked incentive programs in 14 sectors. These include electronics, pharmaceuticals, automobiles, batteries, telecommunications equipment, solar modules, textiles, and medical devices. Separate initiatives have been launched for semiconductor production and electronic component manufacturing. Incentives for pharmaceuticals target 41 bulk drugs that India heavily depends on for imports. Solar incentives aim to develop nearly 48 gigawatts of high-efficiency module capacity.
Trade statistics inform product selection process
Trade platforms operated by the Commerce Ministry offer detailed import data at country and product levels. These systems help officials and industry players monitor imports by value, volume, and source. During April to June 2026, India imported merchandise worth $216.18 billion, compared to $180.31 billion during the same period last year. The latest figures continue the upward trend observed in the previous fiscal year.
Government documentation also correlates customs classifications with industrial sectors and highlights high-volume imports that could be replaced through domestic manufacturing. The ongoing 100-product review builds on this established framework. Authorities have confirmed the sector-based approach and the focus on import substitution. However, the final list of products and specific policies have not yet been disclosed. Any official support measures would require separate notifications from the relevant ministries.