In a bid to increase its footprint in world exports and execute the “local-vocal-global” call given by Prime Minister Narendra Modi, the Uttar Pradesh government has roped in international consultancy firm PriceWaterhouseCoopers (PwC) to form a proper strategy to wrest the space that would be gradually vacated by China due to geo-political disturbances.
The products through which the government is seeking to make an imprint in the global market include ceramics, woven fabrics, footwear and electronics.
Speaking to FE, Uttar Pradesh’s minister for MSME, Investment and Export Promotion Siddharth Nath Singh said that the government has engaged PwC as consultant and strategic partner and it would prepare a strategy for the short as well as long run. “Uttar Pradesh has the potential to occupy China’s global share in many products. In order to be well prepared to occupy the space that would be vacated by China due to geo-political disturbances, the state government has engaged PwC to prepare a paper for both the short run and the long term,” he said.
Explaining this, the minister said that the short-run strategy is for the low hanging fruits, in this case, products in which Uttar Pradesh already has a global presence. “For example, let’s take ceramics. China presently has 80% share presence in the world ceramics market. Now UP already has a Maati Kala Board and ceramic products from Kurja are already being exported to many countries where China is also selling, especially countries on Mediterranean side, such as Spain, Italy, Cyprus,” he states.
“In the case in textiles, especially woven textiles and footwear, China has a 77% market share in woven fabrics and 57.4% global share in footwear exports. Uttar Pradesh also has a global market and exports textiles and footwear, especially from Kanpur and Agra but our market was taken away by China in all these products as they became more competitive by using innovative methods. But with geopolitical disturbances happening, we can actually turn the tables. During my interactions with Indian High Commissions and embassies of various countries, it was quite well reflected that this is a space that UP must occupy and that is what we are targeting,” Singh said.
Similarly, in long term, the government is looking at occupying the space in the food industry. “Presently, China exports a lot of agri items, including vegetables and processed foods. PwC will work on what could be our long-term strategy in it since we will have to import technology for aqua-farming and producing different varieties and qualities of vegetables that can be exported. Same goes for the electronics sector. UP already has a hub in Noida and Greater Noida but we can bring many more units that can become export units or we can create new units without getting anything from China,” he said, adding that working out the backward and forward linkages is a part of the mandate for PwC.
Reiterating that Uttar Pradesh is serious about increasing exports, he said that one has to go about it in a methodical manner. “While the Prime Minister has said that we must take the local, vocal, global route, no other state is thinking on these lines yet. One has to plan for that and by engaging a PwC, we have started a process,” he says.