Gujarat tops for second consecutive time, Maharashtra 2nd

ENP 2021: Gujarat topped NITI Aayog’s 2021 Export Readiness Index (EPI) for the second consecutive time, while Maharashtra was ranked second and Karnataka was ranked third. NITI Aayog released the 2021 PPE in partnership with the Competitiveness Institute on March 25, 2022.

The Export Readiness Index is a comprehensive analysis of India’s export achievements. It aims to identify critical core areas for promoting sub-national exports. Coastal states were deemed the top performers on the index. .

The index can be used by states and union territories to benchmark their performance against others and analyze potential challenges to develop better policy mechanisms.

Parameters of the 2021 Export Readiness Index

The IPS categorizes states and UTs according to four main pillars and 11 sub-pillars. The four pillars include-

1. Policy- A comprehensive trade policy provides strategic direction for exports and imports.

2. Business Ecosystem- It examines the business ecosystem, as an effective business ecosystem can help attract investment and create an infrastructure conducive to business growth.

3. Export ecosystem- It aims to assess the business environment, specific to export.

4. Export performance- It examines the scope of the export footprints of states and union territories.

The 11 sub-pillars include:

Export promotion policy

Institutional frame

Working environment

Infrastructure

Transport connectivity

Access to finance

Export infrastructure

Commercial support

R&D infrastructure

Export diversification

Orientation towards growth

Export Readiness Index 2021Complete list of rankings

Ranking

State

Export preparation
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1 Gujarat 78.86
2 Maharashtra 77.14
3 Karnataka 61.72
4 Tamil Nadu 56.84
5 Haryana 53.20
6 Uttar Pradesh 51.09
7 Madhya Pradesh 51.03
8 Punjab 50.99
9 Andhra Pradesh 50.39
ten Telangana 47.92
11 Rajasthan 47.13
12 delhi 43.66
13 Odisha 42.04
14 Goa 41.95
15 Uttarakhand 40.79
16 Himachal Pradesh 40.43
17 West Bengal 39.78
18 Jharkhand 38.16
19 Chhattisgarh 36.96
20 Bihar 32.06
21 Jammu and Kashmir 30.06
22

Chandīgarh

28.41
23

Tripura

27.46
24

Sikkim

27.41
25

Pondicherry

22.19
26

Dadra Nagar and Haveli & Daman and Diu

17.08
27 Manipur 15.78
28 Andaman and Nicobar
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15.26
29 Nagaland 13.99
30 Meghalaya 1:39 p.m.
31 Ladakh 13.09
32 Mizoram 12.58
33 Arunachal Pradesh 11.18
34 Lakshadweep 2.12

ENP 2021 – Main challenges

The 2021 Export Readiness Index has highlighted three major challenges for India’s export promotion-

1. Intra- and inter-regional differences in export infrastructure

2. Weak Trade Support and Growth Orientation in States

3. Lack of R&D infrastructure to promote complex and unique exports.

PPE 2021 – Main objectives

The main objective of the Export Readiness Index 2021 is to bring competition among all Indian states including Coastal, Himalayan, Landlocked and UT states to put in place export promotion policies favorable.

It also aims to relax the regulatory framework to incentivize the promotion of sub-national exports and create the necessary infrastructure for exports.

It also aims to help identify policy recommendations to improve export competitiveness.

Export Readiness Index 2021 – Importance

The 2021 Export Readiness Index can be a valuable tool for government and policy makers to encourage healthy competition between states and UTs.

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