Export Preparedness Index (EPI) 2020
NITI Aayog in partnership with the Institute of Competitiveness released the Export Preparedness Index (EPI) 2020 on 26 Aug 2020. This is the first report to examine export preparedness and performance of Indian states. EPI also the identify challenges and opportunities, enhance the effectiveness of government policies and encourage a facilitative regulatory framework.
EPI comprises 4 pillars:
- Policy
- Business Ecosystem
- Export Ecosystem
- Export Performance
EPI comprises 11 sub-pillars: Export Promotion Policy, Institutional Framework, Business Environment, Infrastructure, Transport Connectivity, Access to Finance, Export Infrastructure, Trade Support, R&D Infrastructure, Export Diversification, and Growth Orientation.
We have to focus on “Atmanirbhar Bharat” & there is need to increase the export to achieve the target of making India a developed economy. The final framework of Export Preparedness Index was based on essential feedback from states, UTs and organizations. These organisations are EXIM Bank, IIFT and DGCIS.
To set up framework of EPI, 4 pillars are included & rationale behind to choose these pillars of EPI:
Policy: This is to provide a strategic direction on export and import by comprehensive trade policy.
Business Ecosystem: This can be helpful to states attract investments & create an enabling infrastructure for individuals to initiate start-ups.
Export Ecosystem: Aim of this pillar is to assess the business environment, which is specific to exports.
Export Performance: This EPI pillar examines the reach of export footprints of States and Union Territories & this is the only output-based pillar provides report on performance.
On the basis of findings of the report, export promotion in India faces three fundamental challenges:
- Intra – and inter-regional disparities in export infrastructure
- Poor trade support and growth orientation among states
- Poor R&D infrastructure to promote complex and unique exports
Key strategies to address these challenges:
- A joint development of export infrastructure
- Strengthening industry-academia linkages
- Creating state-level engagements for economic diplomacy
First Ranked state in Pillar Wise Export Preparedness Scores across States:
Policy Pillar: Maharashtra – 94.93
Business Ecosystem Pillar: Gujarat – 90.61
Export Ecosystem Pillar: Maharashtra – 81.19
Export Performance Pillar: Mizoram – 78.07
Top Three Category Wise Rankings:
Coastal:
Rank | State | Export Preparedness |
1 | Gujarat | 75.19 |
2 | Maharashtra | 75.14 |
3 | Tamil Nadu | 64.93 |
Himalayan:
Rank | State | Export Preparedness |
1 | Uttarakhand | 48.11 |
2 | Tripura | 40.79 |
3 | Himachal Pradesh | 38.85 |
Landlocked:
Rank | State | Export Preparedness |
1 | Rajasthan | 62.59 |
2 | Telangana | 57.43 |
3 | Haryana | 56.03 |
Union Territories / City States:
Rank | State | Export Preparedness |
1 | Delhi | 45.80 |
2 | Goa | 40.94 |
3 | Chandigarh | 26.07 |
Overall Rankings of States:
Rank | State | Export Preparedness | State Category |
1 | Gujarat | 75.19 | Coastal |
2 | Maharashtra | 75.14 | Coastal |
3 | Tamil Nadu | 64.93 | Coastal |
4 | Rajasthan | 62.59 | Landlocked |
5 | Odisha | 58.23 | Coastal |
6 | Telangana | 57.43 | Landlocked |
7 | Haryana | 56.03 | Landlocked |
8 | Chhattisgarh | 55.95 | Landlocked |
9 | Karnataka | 55.17 | Coastal |
10 | Kerala | 54.11 | Coastal |
11 | Uttar Pradesh | 53.63 | Landlocked |
12 | Madhya Pradesh | 49.47 | Landlocked |
13 | Uttarakhand | 48.11 | Himalayan |
14 | Jharkhand | 48.00 | Landlocked |
15 | Delhi | 45.80 | UT/City States |
16 | Goa | 40.94 | UT/City States |
17 | Tripura | 40.79 | Himalayan |
18 | Punjab | 39.63 | Landlocked |
19 | Himachal Pradesh | 38.85 | Himalayan |
20 | Andhra Pradesh | 35.58 | Coastal |
21 | Meghalaya | 34.66 | Himalayan |
22 | West Bengal | 34.05 | Coastal |
23 | Mizoram | 29.53 | Himalayan |
24 | Nagaland | 29.00 | Himalayan |
25 | Arunachal Pradesh | 28.28 | Himalayan |
26 | Sikkim | 26.75 | Himalayan |
27 | Chandigarh | 26.07 | UT/City States |
28 | Assam | 22.81 | Landlocked |
29 | Puducherry | 21.86 | UT/City States |
30 | Bihar | 21.55 | Landlocked |
31 | Dadra Nagar and Haveli | 20.77 | UT/City States |
32 | Manipur | 19.40 | Himalayan |
33 | Andaman and Nicobar Islands | 17.65 | UT/City States |
34 | Daman and Diu | 12.76 | UT/City States |
35 | Lakshadweep | 12.40 | UT/City States |
36 | Jammu and Kashmir | 12.27 | Landlocked |