According to a report released on Monday by S&P Global, India has made significant strides in increasing its competitiveness and attracting foreign investment to its manufacturing sector.

Even while manufacturing value added only makes up 17.2% of the nation’s GDP, the government has put specific policy changes into place to increase local manufacturing capacity and fortify India’s position in international supply chains.

According to the paper, India can gain from rising trade protectionism beyond its immediate effects, since it could spur supply-chain diversity.

As the climate for international trade and collaboration changes, India is well-positioned to take advantage of opportunities. Over the last three decades, the nation’s size, scope, and global influence have all increased significantly, and by fiscal year 2030–31, it is expected to rank third in the world in terms of GDP.

According to the paper “India Forward: Transformative Perspectives,” India can leverage this momentum for increased global supply-chain integration and faster manufacturing growth as economies adjust to changing trade dynamics and tariff difficulties.

In order to build a cleaner, independent transportation system in the future, the nation is also concentrating on alternative energy sources.

This drive includes the adoption of biofuels. By addressing energy security, lowering greenhouse gas (GHG) emissions, and increasing revenue opportunities for the agricultural sector, biofuels provide a triple-win answer to the nation’s growing need for sustainable energy sources despite escalating environmental concerns, according to the paper.

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India is likewise planning to follow a route that combines revenue security with energy security. As India seeks to improve crude oil exploration and development in order to become self-sufficient, recent regulatory reforms offer a chance.

Although it is not immune to the growing trade protectionism, the report noted that its limited reliance on external trade for growth provides some protection against continuous changes in global trade and tariff policy.