THEBUSINESSBYTES BUREAU

NEW DELHI, OCTOBER 29, 2026

Commerce and Industry Minister Piyush Goyal on Thursday said quality, economies of scale, global market access and inclusivity would be the key drivers of India’s industrial transformation, asserting that collaboration between the government, private sector and academia was essential to make the country a globally recognised manufacturing powerhouse.

Addressing the Fourth National Conference on India’s Industrial Transformation, organised by the Institute for Studies in Industrial Development (ISID) and IDRA, Goyal said India must leverage its vast domestic market, expanding international trade partnerships and growing technological capabilities to strengthen its manufacturing ecosystem and achieve the vision of Viksit Bharat 2047.

Identifying quality as the foremost priority, the minister reiterated Prime Minister Narendra Modi’s emphasis on “Zero Defect, Zero Effect”, stressing that Indian products must meet global standards while ensuring environmental sustainability.

With free trade agreements opening access to markets across the world, India must focus on increasing its global market share and leveraging preferential access to strengthen exports, he said.

Goyal noted that India’s domestic market of 1.4 billion people, coupled with access to international markets, offered manufacturers significant opportunities to achieve economies of scale, improve affordability and reduce production costs.

He emphasised that industrial growth must be sustainable and inclusive, ensuring that the benefits of economic progress reach all sections of society.

Describing Viksit Bharat 2047 as a collective commitment of 1.4 billion Indians, Goyal called for coordinated efforts among the government, industry, academia and research institutions. He said India must draw lessons from its economic history, assess its current position realistically and develop a clear roadmap for the future.

Highlighting the importance of intergenerational collaboration, he said the experience of senior professionals and the energy and fresh perspectives of young people must be brought together to address emerging challenges rather than allowing institutions to operate in silos.

On India’s evolving trade strategy, Goyal said the country’s trade agreements went well beyond tariff reductions, rules of origin and conventional market access. They were comprehensive economic partnerships designed to identify export opportunities, protect sensitive sectors and facilitate access to critical technologies and products, including graphics processing units, memory technology and medical equipment.

The agreements also covered services, investment, education, skill development, technology partnerships and cooperation on climate objectives, he said, adding that extensive stakeholder consultations were undertaken to safeguard India’s interests before agreements were finalised.

Referring to the ongoing India-US trade deal negotiations, Goyal expressed confidence that the details, when made public, would demonstrate that the interests of farmers and other sensitive stakeholders had been protected and that India would secure a strong comparative advantage.

Trade, he said, should be assessed through the lens of comparative advantage and competitiveness rather than absolute figures alone. He observed that several developed economies had structured their tariff regimes in ways that imposed high duties on labour-intensive products, often using them as negotiating instruments.

Goyal said India’s trade agreements covered 38 developed and relatively prosperous countries, creating opportunities for complementary economic engagement in which India could export products required by its partners while importing goods and technologies needed for domestic development.

Describing such arrangements as mutually beneficial partnerships, he stressed that trade agreements must be fair, equitable and balanced.

The minister said the nine free trade and bilateral trade agreements concluded by the government had opened preferential market opportunities in economies with a combined gross domestic product of USD 60 trillion, compared with USD 10 trillion covered by agreements concluded before 2014.

He said the earlier agreements were largely with economies competing with India, while the current approach focused on building complementary economic relationships that could support exports, investment and industrial development.

Highlighting the growing international demand for Indian talent, Goyal recalled his conversation with the German foreign minister regarding the India-Germany migration agreement and Germany’s requirement for 90,000 Indians annually. He said Germany had indicated that its need for Indian professionals was substantially higher.

The presence of Indian professionals in senior positions at Fortune 500 companies and their contributions to cutting-edge technologies reflected the strength of the country’s skilled workforce, he said.

Goyal expressed confidence that India would remain the world’s fastest-growing major economy for the next 20 to 25 years, attributing the outlook to the talent, skills, energy and entrepreneurial capabilities of its people.

On climate action, the minister said global efforts must be guided by the principles of polluter pays and common but differentiated responsibilities, with adequate financial and technological assistance for developing countries.

He highlighted that 60 per cent of India’s installed electricity capacity came from green and renewable sources, while maintaining that coal continued to play an important role in ensuring energy security and affordable power.

Goyal said India had progressively moved from being predominantly a buyer of products manufactured elsewhere to emerging as a significant manufacturing destination. Initiatives such as Make in India and phased manufacturing programmes across sectors had helped attract factories, expand domestic production and strengthen local supply chains.

He said India would continue to increase the share of goods manufactured domestically, reducing dependence on imports wherever feasible and enhancing its competitiveness in global markets.

Innovation, he stressed, would remain central to the country’s industrial transformation, requiring closer collaboration between public institutions, private enterprises and academia. The government, he said, should primarily act as a facilitator and catalyst for private-sector-led innovation.

Pointing to the scientific knowledge and research capabilities available at IITs, engineering colleges and other higher education and research institutions, Goyal called for stronger links between research and industry to convert discoveries into commercially viable products and technologies.

Referring to the Startup Fund of Funds, he said the first fund had been fully utilised and a second fund was now in place. He also highlighted the Research, Development and Innovation Fund (RDIF), saying such initiatives had contributed to the growth of India’s startup ecosystem, which is the world’s third-largest.

The minister also underlined the opportunities created by opening the space sector to private participation. Valued at USD 8.4 billion at the time of his address, India’s space economy had the potential to expand to USD 44 billion by 2033, he said.

International partners were increasingly looking to collaborate with India in space, artificial intelligence, computing and startups, reflecting growing confidence in the country’s technological capabilities.

Recalling his recent visit to Germany, Goyal said research institutions employing between 12,000 and 30,000 people were working closely with the private sector and had expressed interest in collaborating with Indian institutions and companies.

He attributed the growing interest to the trust underpinning India-Germany cooperation and international confidence in India’s talent, skills, commitment to fair play and equal opportunities.

The minister said new trade agreements and international partnerships under Prime Minister Modi’s leadership were creating avenues for joint research, technology development and industrial collaboration. Such partnerships could accelerate India’s economic transformation by combining domestic capabilities with international expertise, investment and innovation, he added.

Concluding his address, Goyal commended ISID for organising three days of deliberations on India’s industrial future and reiterated that sustained attention to quality, global market access, economies of scale and inclusivity would determine the success of the country’s manufacturing ambitions.

He expressed confidence that coordinated efforts across industry, innovation and research would strengthen India’s position in the global economy and contribute significantly to the realisation of Viksit Bharat 2047.