UP charts export expansion with key policy initiatives

The Uttar Pradesh government has unveiled two new policies- the Export Promotion Policy (2025–2030) and the Electronics Component Manufacturing Policy 2025- to enhance exports and attract investment. The export policy aims to increase exports from US$ 21 billion to US$ 50 billion by 2030 by improving infrastructure, providing incentives, and promoting ODOP products. It offers subsidies, marketing support, and targeted schemes to boost the number of registered exporters by 50%. The electronics policy emphasizes high-value component manufacturing and complements central initiatives. Together, these policies aim to drive export growth, generate employment, reduce regional disparities, and position Uttar Pradesh as a global trade and manufacturing hub.

The Uttar Pradesh Cabinet on Tuesday (Sept 02), approved two landmark policies—the Uttar Pradesh Export Promotion Policy (2025–2030) and the Uttar Pradesh Electronics Component Manufacturing Policy 2025—to attract investment and strengthen the state’s export ecosystem. The meeting, chaired by Chief Minister Yogi Adityanath, underscored the state government’s vision of positioning Uttar Pradesh as a global hub for exports and electronics manufacturing.

Finance and Parliamentary Affairs Minister Suresh Khanna said Uttar Pradesh has emerged as a frontrunner state in the country, and these policies will give further impetus to growth.

According to Additional Chief Secretary (Industry) Alok Kumar, the new export policy significantly scales up incentives, raising them nearly six times—from about ₹25–30 crore annually to ₹180 crore per year. This will entail an additional expenditure of around ₹882 crore over the next five years. The policy provides financial assistance to exporters for participating in international exhibitions, trade fairs, and buyer-seller meets. Its broader aim is to increase the number of exporters in the state by 50% by 2030 while ensuring participation from every district to reduce regional disparities.

The policy, set to be implemented shortly, focuses on expanding the service sector and e-commerce, while introducing onboarding assistance, export performance incentives, postal export centre support, and export credit insurance schemes. It also provides grants to cover ECGC costs and performance-linked incentives, particularly aiding startups and new exporters. In addition, the policy will give priority to One District One Product (ODOP) items in exports.

Principal Secretary (IT and Electronics) Anurag Yadav highlighted that the new electronics components manufacturing policy shifts focus from assembly-based operations to the actual manufacturing of high-value components. Designed to complement the Centre’s initiatives, the policy will remain in force for five years. He noted that Uttar Pradesh’s electronics sector has expanded rapidly, with about 300 manufacturing units already established. Noida has emerged as a hub for mobile phone manufacturing, and the new policy seeks to boost production of key components such as display modules, camera modules, mobile batteries, and manufacturing machinery.

Uttar Pradesh is India’s third-largest economy, contributing around 8% to the national GDP. The state ranked fifth among landlocked states in the Export Preparedness Index 2020 and recorded an impressive 23% growth in per capita income between FY16 and FY20.

In 2023–24, the state accounted for 4.71% of India’s total exports, with shipments valued at ₹1.70 lakh crore. During the first half of the fiscal year alone, the state recorded exports worth ₹87,151 crore. Key exports from Uttar Pradesh include electrical machinery, meat, apparel, footwear, pearls and precious stones, carpets, furniture, aluminium goods, leather items, organic chemicals, plastics, and cereals, among others.

Carpets from Bhadohi and Mirzapur are renowned across the globe. Other regional specialties include the silks and brocades of Varanasi, ornamental brassware of Moradabad, chikan embroidery of Lucknow, ebony craftsmanship of Nagina, glassware from Firozabad, and carved woodwork of Saharanpur.

UP charts export growth path

With sectors like textiles, leather, and jewellery expected to face challenges due to global tariff barriers, the Uttar Pradesh government is working to diversify trade avenues by identifying new markets abroad while also boosting consumption in domestic markets.

The Uttar Pradesh Export Promotion Policy (2025–2030) has set an ambitious target of increasing the state’s exports from nearly US$ 21 billion to US$ 50 billion by 2030. The state’s exports have shown consistent progress, recording a Compound Annual Growth Rate (CAGR) of 7% between 2014 and 2024. Officials noted that exports have already risen from ₹80,000 crore in 2017 to about ₹1.86 lakh crore as of March 31, 2025.

Products such as carpets, rugs, glassware, leather goods, and processed food items have gained international recognition, contributing significantly to the state economy. The government now aims to build on this momentum by reinforcing initiatives such as the One District One Product (ODOP) scheme and introducing wider measures to position Uttar Pradesh as a leading global export hub.

The policy envisions equitable growth across all regions by

  • improving export-oriented infrastructure,
  • expanding the export network, and
  • raising the number of registered exporters by 50% by 2030.

Among the proposed incentives, exporters would receive a 40% capital subsidy (up to ₹10 crore) for Export Oriented Specific Projects (EOSP). The thrust sectors identified for merchandise exports include- electronics, handicraft, engineering goods, textiles and textile products, carpets, agricultural and agro-based materials, chemicals and pharmaceuticals, leather, sports goods, glass and ceramics, wood products, services, education, medical, travel, transportation, logistics, tourism and hospitality, IT & ITES.

To enhance global market access, the policy provides robust marketing support. Exporting units could avail financial assistance up to ₹25 lakh for promotional activities, such as participation in international fairs and exhibitions. Assistance would cover 75% of stall charges (up to ₹3.25 lakh) and 75% of airfare (up to ₹1.25 lakh), limited to three fairs per year for registered exporters. Additional support is envisioned for organising buyer-seller meets, trade fairs, and exhibitions in foreign countries. Other schemes include an Air Freight Rationalisation Scheme, offering 30% reimbursement of total freight charges, and a Gateway Port Scheme, providing support for freight costs to gateway ports.

The Uttar Pradesh Export Promotion and Electronics Component Manufacturing policies aim to boost exports, generate employment, and strengthen competitiveness. By supporting ODOP products, startups, and key sectors such as electronics, textiles, and agro-based industries, and providing incentives and marketing support, these initiatives promote regional growth and global market integration. With a focus on diverse sectors, global market access, and equitable growth, Uttar Pradesh is set to strengthen its competitiveness, expand its industrial base, and solidify its role as a key contributor to India’s economy and global value chains.Bottom of Form

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