Emergence of international production networks or Global Value Chains (GVCs) is one of the most remarkable features of international trade during last few decades. The spectacular success of Asian tiger economies is built around the GVCs in many sectors such as apparel, electronics, footwear, consumer durables etc. It is estimated that GVCs account for almost 75% of global trade today.
With its deep manufacturing base, India can also lead in various value chains. However, partly due to focusing on large domestic market and partly having weak supply chains, India- led value chains have not yet taken root.
With technical support of the Commonwealth under aegis of project on ‘Integrating LDCs in India’s Global Value Chains’, a detailed study by Trade Competitiveness Section (Commonwealth Secretariat) has identified scores of lead products where India can form its own Global Value Chains.