Deloitte India Highlights Supply Chain Vulnerabilities Amid Global Trade Challenges

• •Deloitte India stresses the importance of GVC integration for boosting exports.
• •Vulnerabilities in supply chains include supplier reliance and geopolitical risks.
• •The report advocates for supporting MSMEs to better utilize FTAs.

Deloitte India emphasizes the need for India to enhance its integration into global value chains (GVCs) to boost exports. The report identifies vulnerabilities such as supplier reliance and geopolitical risks that could impact high-end manufacturing sectors like electronics and pharmaceuticals. It suggests forming technology partnerships and optimizing free trade agreements (FTAs) to mitigate these risks. The report also calls for a 'Response Cell' to monitor emerging trade-related requirements and recommends lowering logistics costs to improve supply chain efficiency. Additionally, it highlights the importance of supporting micro, small, and medium enterprises (MSMEs) in navigating compliance with trade agreements. Deloitte's insights aim to align India's industrial strategy with its trade policies to enhance competitiveness in global markets.