New Delhi, Sep 11: India’s rapidly growing exports to BRICS countries are creating a larger opportunity for domestic businesses, particularly in electronics, engineering and other manufacturing sectors. The sharp rise in shipments indicates that Indian companies are increasingly finding space in emerging international markets while strengthening the country’s position as a manufacturing and export hub.
India’s exports to BRICS nations have increased by 48.8 per cent, rising from around $64.3 billion in FY21 to $95.7 billion. The expansion reflects the growing importance of BRICS economies for Indian exporters and comes at a time when businesses are looking to diversify markets and reduce dependence on a limited number of export destinations.
Electronics has emerged as one of the important drivers of this transformation. Supported by the Production Linked Incentive programme and rising investments in manufacturing, India’s electronics production has grown substantially. The country’s electronics production has reached around $136.3 billion, while electronics exports have also expanded strongly, led by smartphones and other manufactured electronic products.
For businesses, this growth represents more than an increase in export numbers. It points to the development of a wider industrial ecosystem in India. Higher electronics production creates demand for components, assembly, testing, packaging, warehousing, transportation, logistics and other support services.
This can create opportunities for thousands of smaller businesses that operate around large manufacturing companies. As production volumes increase, suppliers of components, machinery, packaging materials, software, maintenance services and logistics can also benefit.
The UAE has emerged as India's largest export destination within the BRICS grouping, with exports reaching around $37.4 billion, while China accounted for about $19.5 billion. The growing trade relationship demonstrates the potential available to Indian companies as they look for new customers and markets across the wider BRICS ecosystem.
For Indian manufacturers, stronger access to these markets could encourage companies to increase production capacity. Businesses that previously focused largely on domestic demand may find greater opportunities to develop export-oriented products and supply chains.
The potential benefits extend to small and medium enterprises as well. Easier trade procedures, better logistics and improved market access could allow MSMEs to participate more actively in international trade. Many smaller businesses are already part of manufacturing supply chains, and higher export demand can provide them with opportunities to expand their operations.
The electronics sector could be among the biggest beneficiaries. India has developed strong capabilities in smartphone assembly and is gradually expanding its manufacturing base across other electronic products. As international demand increases, companies could move towards more sophisticated manufacturing and increase domestic value addition.
This could also encourage greater investment in component manufacturing. A stronger domestic component ecosystem would help Indian manufacturers reduce dependence on imported inputs and make the overall supply chain more resilient.
The expansion of electronics manufacturing has another important business impact — employment. Large factories require workers for assembly, testing, quality control, engineering and operations, while supporting industries create additional opportunities in transportation, warehousing, maintenance and services.
As export-oriented manufacturing expands into more parts of the country, the economic benefits could extend beyond major industrial centres. New factories and supplier networks can generate demand for local services, infrastructure and skilled workers.
The BRICS platform could further support this expansion if member countries make progress on reducing trade barriers, simplifying customs procedures and improving cross-border business transactions. For companies, easier movement of goods and capital can reduce the time and cost involved in entering international markets.
However, maintaining the current export momentum will require India to continue strengthening its manufacturing ecosystem. Competitive logistics, reliable infrastructure, skilled manpower, technology and access to components will remain important for companies competing in global markets.
Indian businesses will also need to focus on quality and innovation. Global buyers increasingly expect products that meet international standards while remaining competitive on price. Companies that invest in technology, research, product design and efficient production could be better positioned to benefit from expanding BRICS demand.
The opportunity is therefore not limited to large corporations. A growing export ecosystem can create space for startups, MSMEs, suppliers, logistics companies, packaging businesses and technology providers.
For the Indian economy, the rise in BRICS exports also supports the broader shift towards manufacturing-led growth. Stronger exports can help companies achieve larger production volumes, attract investment and build capabilities that can eventually help them compete in markets beyond the BRICS grouping.
The upcoming 18th BRICS Summit in New Delhi on September 12–13 is expected to keep trade, investment and supply-chain cooperation among member economies in focus. For the business community, greater economic cooperation could translate into new opportunities for market expansion and cross-border partnerships.
India’s nearly 49 per cent increase in exports to BRICS countries therefore represents more than a trade statistic. It reflects the growing international reach of Indian businesses and the emergence of electronics and manufacturing as important engines of export growth.
If this momentum is supported by continued investment, stronger domestic supply chains and easier access to overseas markets, BRICS could become an increasingly important growth platform for Indian manufacturers. The next phase could see Indian companies moving from simply exporting more products to building deeper global supply chains, creating jobs and attracting greater investment into the country.
