MSMEs riding an e-commerce wave generate export optimism
India's e-commerce sector has been a key driver of the country's sustained high growth, with a predicted compounded growth of 13.9% between 2023 and 2027. The Foreign Trade Policy (FTP) 2023 offers a range of trade facilitation measures to e-commerce exporters, including extending all scheme benefits to e-commerce exports and increasing the value limit of exports through courier services. The government wants MSMEs to account for 60% of India's total exports, which can be achieved by onboarding them onto online platforms.
The global economy is going through an economic slowdown following a series of interconnected events like the covid pandemic, Russia’s invasion of Ukraine, high inflation, geopolitical tension and disruption of supply chains. Growth in global goods trade is seen slowing to 1.7% in 2023 from 2.7% in 2022, according to the World Trade Organization (WTO).