By any measure, India’s economy is the envy of the world. Consider forecasts for India’s GDP growth in 2024: International Monetary Fund projects 6.3%, Morgan Stanley calls for 6.5%, and OECD pegs GDP growth at 7%. To put this remarkable economic growth into perspective, remember that:

• India is likely to be the world’s fastest-growing big economy in 2024.
• India will grow from a US$4 trillion economy in 2025 to a US$6.7 trillion economy by 2030.
• India will surpass Japan to become the second-largest economy in Asia by 2030.

With an expanding middle class and increasing consumer spending power, India has emerged as a thriving market for U.S. exporters.  Among the many business opportunities for U.S. exporters in India, the following sectors should not be ignored: 

WATER AND WASTEWATER MANAGEMENT:  Importing US$147 million annually from U.S. suppliers, this is the most promising subsector in India’s environmental sector.  India’s water treatment capacity is 27.3%, its sewage treatment capacity is 18.6%, and its demand for water is projected to double the available supply by 2030.

AIR POLLUTION CONTROL:  Air pollution control equipment is in high demand as India is the largest emitter of sulfur oxides in the world.  The National Clean Air Program’s goal is to reduce air pollution levels by 20% in over 100 of the most polluted cities in India.

ENERGY: India is the third largest energy-consuming country in the world. Fossil fuels dominate India’s power sector, with coal comprising over 70%, but the country aims to significantly increase the share of renewable and nuclear energy.  Solar power is slated to grow from 52 GW in 2022 to 100 GW in 2025.

HEALTHCARE: The Indian healthcare industry reached US$190 billion in 2020 and is expected to reach US$370 billion by 2025.  This increase is due to growing demand for specialized and higher quality healthcare facilities, medical devices, telemedicine, and medical equipment. 

FOOD: India’s online retail market is forecast to grow 19.8% annually to US$85.5 billion by 2025.  This is due to expanding internet connectivity and rising consumer demand for convenience, value, safety, hygiene, ease of payment, and product variety.  Opportunities for U.S. exporters exist in consumer-oriented products, especially tree nuts, fruits, and packaged/processed foods.

SAFETY AND SECURITY: Population growth, urbanization, and expansion of infrastructure and mass transportation systems are driving expectations for greater safety measures. Imports have grown from US$3 billion in 2019 to US$4.9 billion in 2022. India has increased its budget for this sector to 12% annually in the last five years, outpacing India’s defense budget of 5% annual growth.

We invite you to contact us for assistance entering the rapidly growing and highly lucrative markets of India!

Selling into international markets requires careful planning, market research, understanding of trade regulations, and adaptation to cultural differences. SRK and Associates offers comprehensive market entry assistance to companies wishing to enter the world’s most populous market, India.  To date, we have assisted over 2500 U.S. companies with market entry services. For further information, please contact Supriya Kanetkar at srk@srkibconsultants.in.