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India Emerges as Key Player in Global Supply Chain Shift: Biswal

India is emerging as a key player in a global shift in supply chains, driven by efforts to reduce dependence on China, former US official Nisha Biswal said. US-India trade has grown to about $212 billion even without a formal trade agreement, highlighting the expanding commercial focus between the two countries. Experts at the New India Conference in Washington emphasized the need for domestic reforms, including addressing skills gaps and state-level regulatory issues. Energy, advanced technology and critical minerals were identified as key areas for deeper cooperation between India and the United States.

Key Points: India's Moment in Global Supply Chain Shift: Biswal

  • India emerges as key player in global supply chain shift
  • US-India trade grows to $212 billion without formal agreement
  • Experts highlight need for domestic reforms and skills development
  • Energy, advanced tech, critical minerals identified as cooperation areas
3 min read

India's moment as supply chains shift: Biswal

Former US official Nisha Biswal says India is emerging as a key player in global supply chain shifts, with US-India trade growing to $212 billion.

"It is India's moment in the economic space - Nisha Biswal"

Washington, April 23

India is emerging as a key player in a global shift in supply chains, driven by efforts to reduce dependence on China, former US official Nisha Biswal said.

Biswal, Partner at The Asia Group and former US Assistant Secretary of State for South and Central Asian Affairs, said businesses are rethinking their strategies amid geopolitical and economic uncertainty.

"There has been enormous progress," she said, noting that US-India trade has grown "from 50 billion... to... about 212 billion" even without a formal trade agreement.

Companies are now asking "what does a de-risking from China look like," she said, adding that India's market and talent pool are drawing interest.

"It is India's moment in the economic space," Biswal said, pointing to the country's scale and resilience.

She said the US-India relationship is expanding beyond strategic ties to include a stronger commercial focus. There is growing attention in Washington on economic engagement and supply chain partnerships, she added.

Biswal said a trade agreement between the two countries is likely but may not be immediate. She said it could emerge as a phased arrangement rather than a comprehensive deal in the near term.

She identified energy, advanced technology and critical minerals as areas for deeper cooperation.

Biswal said global shocks, including geopolitical tensions and supply disruptions, are shaping economic decisions. India is navigating these challenges while maintaining growth momentum, she added.

Other speakers at the panel said domestic reforms will be key to sustaining growth.

Hemang Jani, Public Policy & Governance expert at the World Bank, said India needs to address skills gaps and low workforce participation. He described these as "binding constraints" on growth.

Ashok Malik, Partner at The Asia Group, said India has adjusted its trade policy after earlier agreements exposed vulnerabilities. "That did cause a recalibration of approach to trade," he said.

Richard Rossow, Senior Adviser at CSIS, said state-level reforms are critical. "States run the country," he said, pointing to infrastructure and regulatory issues that affect investment decisions.

The panel was part of the New India Conference in Washington, which brought together policymakers and analysts to discuss India's economic outlook and US-India ties.

India's growth comes as global supply chains shift and countries seek more resilient partnerships. The country's large market and workforce have made it a key destination for investment.

Experts said the pace of economic reforms and deeper trade engagement with the United States will shape the next phase of India's growth.

- IANS

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Reader Comments

F
Frank Y
As someone who's watched US-India ties for years, this is promising. The trade numbers are impressive. But let's see if India can truly compete with China on scale and efficiency. China's infrastructure is still far ahead.
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Nisha Z
Finally! We've been saying this for years—India's moment is here. The talent pool is unmatched. But Biswal is right about skills gaps—we need to upskill our youth fast. Also, state-level reforms are crucial—some states are still bureaucratic nightmares. 🙏
M
Michael C
I'm cautiously optimistic. India has a massive market, but infrastructure and ease of doing business still need massive improvement. The "phased" trade agreement sounds like a cop-out—let's see real action, not just talks.
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Rohit L
Very encouraging! The fact that trade grew from $50bn to $212bn without a formal deal shows inherent confidence in India. But we can't be complacent—need to lower tariffs, simplify regulations, and invest in logistics. China isn't sleeping.
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Divya L
Love this! But "de-risking from China" is easier said than done. India needs to build its own supply chains, not just become a backup. Skilling women and increasing workforce participation is critical—we can't leave half our talent behind. 😊

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