Mumbai: Session delves how India Post can empower small businesses to export amid US tariff challenges

Mumbai (Maharashtra) [India], September 3 : World Trade Centre Mumbai and All India Association of Industries (AIAI) jointly hosted an interactive session on Wednesday here, highlighting how businesses, especially MSMEs and startups, can leverage India Post's global logistics network for international exports.

During the session, India Post highlighted various initiatives and services it offers, which, if utilised by small businesses, can help them access and diversify their businesses overseas.

To make exports more accessible and cost-effective, India Post has something called 'Dakghar Niryat Kendra', a facilitation centre that assists with documentation and compliance, in collaboration with the Customs Department and the Ministry of Commerce.

Talking toafter the session, Amitabh Singh, Chief Postmaster General of the Maharashtra Circle, said these centres provide free services, including assistance with obtaining import-export codes and completing documentation, eliminating the need for costly agents.

According to Singh, "Our objective is to ensure exporting is easy for smaller towns at the lowest level. Exporters don't have to depend on intermediaries, and all (our) services are free."

To further streamline operations, India Post, he said, has established in-house customs and drug control offices in Mumbai, enabling faster processing.

The initiative also includes free pickup services, dedicated software, and enhanced manpower to support exporters.

Additionally, India Post is expanding its global partnerships with postal services in over 130 countries, to improve visibility and efficiency in logistics.

The session 'Commercial Exports through India Post' comes at a critical time as Indian exporters face tariff uncertainties, particularly with the United States, which has imposed 50 per cent tariffs on imports from India.

Vijay Kalantri, Chairman of the World Trade Center, Mumbai (WTC), emphasised the need to diversify export markets.

"When one door closes, three doors open. We should explore new markets like Africa, Latin America, GCC countries, and CIS nations," Kalantri told ANI.

He highlighted India's modest share in the global garment export market (USD 18-20 billion out of USD 800 billion) and urged exporters to seize opportunities in textiles, leather, gems, jewellery, and agro-based products.

Kalantri also noted government efforts to enhance competitiveness, including GST reductions and the signing of Free Trade Agreements (FTAs) with the UK, Australia, and ongoing negotiations with the European Union.

These measures, coupled with India Post's initiative, according to Kalantri, aim to reduce logistics costs, which are relatively higher in India compared to the global average.

"India Post's is a great initiative and this will not only help in exports but it will also help in import also in our inward goods," Kalantri added.

Mukund Puranik, a corporate commercial lawyer who advises startups and MSMEs, praised the India Post initiative, calling it a "game-changer" for small exporters.

"India Post's logistics services, delivering to 130 countries at a lower cost, will have both short-term and long-term impacts," he said.

Puranik also expressed optimism about resolving tariff disputes with the US, citing India's measured response and support from the EU and other nations.

"This is a temporary phase. Indian exporters must diversify beyond one or two countries," he added.

Shekhar Vichare, an organic agro-exporter, highlighted the initiative's potential to meet the demands of the Indian diaspora abroad.

"There's a huge demand for Indian processed and fresh foods globally, but small quantities have been a challenge. India Post's support for small consignments, even as little as 35 kg, is a great opportunity to cater to our diaspora and other customers," he said.

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