(Daily News Scan - DNS English) NITI Aayog Export Preparedness Index 2020


(Daily News Scan - DNS English) NITI Aayog Export Preparedness Index 2020


ON August 26, NITI Aayog released the Export Preparedness Index. To come up with this report, Niti Aayog partnered with Institute of Competitiveness. The Export Preparedness Index intends to identify challenges and opportunities along with encouraging a facilitative regulatory framework.

IN this DNS we talk about the EPI in detail.

  • Export Preparedness Index is a data-driven effort to identify the core areas which are crucial for export promotion at the sub-national level.
  • Exports are an important part of the Atma Nirbhar Bharat. The country needs to work more in order to increase the share of export in GDP and the global trade.
  • The Export Preparedness Index launched by the Niti Aayog comprises of four pillars which are policy, Business ecosystem, export ecosystem and Export performance.
  • It also includes 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.
  • To realize the vision of becoming a strong exporter on the world stage, the Export Preparedness Index helps to evaluate states’ potentials and capacities.

Let us have a look at the rankings of the state in this Index.

  • Gujarat topped the index followed by Maharashtra and Tamil NADU in second and third place respectively.
  • Six coastal states - Gujarat, Maharashtra, Tamil Nadu, Odisha, Karnataka and Kerala make their place in the top ten rankings.
  • Among the landlocked states, Rajasthan’s performance was best, followed by Telangana and Haryana. As per the report, Chhattisgarh and Jharkhand are two landlocked states that had initiated several measures to promote exports. The report mentioned that other states facing similar socio-economic challenges can look at the measures adopted by Chhattisgarh and Jharkhand and try to implement them to grow their exports.
  • Among the Himalayan states, Uttrakhand topped the chart, followed by Tripura and Himachal Pradesh. Across Union Territories, Delhi has performed the best, followed by Goa and Chandigarh.
  • On policy parameters, Maharashtra has topped the index followed by Gujarat and Jharkhand.
  • While on business ecosystem parameter, Gujarat was ranked number one followed by Delhi and Tamil Nadu.
  • In the export ecosystem parameter, Maharashtra topped the Index followed by Odisha and Rajasthan and on the export performance parameter, Mizoram led the index, followed by Gujarat and Maharashtra.
  • The report pointed out that at present, 70 per cent of India’s export has been dominated by five states – Maharashtra, Gujarat, Karnataka, Tamil Nadu and Telangana.
  • This EPI shows that most of the states performed well on average across the sub-pillars of Exports Diversification, Transport Connectivity and Infrastructure.
  • This index gives valuable insights on how states can attain this goal.

Now we will know few points about Niti Aayog-

  • It is a policy think tank of the Government of INDIA.
  • It was established with the aim of achieving the sustainable development goals with cooperative federalism and involvement of state governments of INDIA.
  • It was formed on January 1, 2015. Its headquarter is in DELHI.
  • The Government of India, in keeping with its reform agenda, constituted the NITI Aayog to replace the Planning Commission instituted in 1950.