India a bright spot in a volatile global economy, says CII president R Mukundan at Vizag Partnership Summit
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Confederation of Indian Industry (CII) President R Mukundan today said the global economy is at a critical juncture, shaped by geopolitical tensions, elevated energy prices and trade uncertainty and India is a bright spot.
Addressing the Inaugural Session of the 31st CII Partnership Summit 2026 in Visakhapatnam, Mukundan said the IMF has projected global growth to moderate from 3.5% in 2025 to 3.1% in 2026.
He, however, said India has grown at over 7% for the last three financial years. “In Q1FY27, manufacturing grew by 9.2%, led by capital-intensive sectors such as machinery equipment, computers and electronics, while services expanded by nearly 10%. India recorded merchandise and services exports of $863 billion in FY26, a growth of nearly 4.5%,” Mukundan said.
“India's expanding network of Free Trade Agreements (FTAs), including those with New Zealand, the UK and EFTA, along with the anticipated India-EU FTA, is expected to reinforce this momentum,” he added.
Mukundan pointed out that the government's strategic policy initiatives have created a seamless and investment-friendly ecosystem. “The Production Linked Incentives (PLI) schemes have generated cumulative exports of $160 billion as of March 2026, while the IndiaAI Mission, with an outlay of $1.09 billion, seeks to strengthen the indigenous AI ecosystem. Installed renewable energy capacity has also reached nearly 300 GW as of July 2026,” he said.
“Together, these reflect India's strategic shift towards strengthening domestic manufacturing, building technological capabilities and accelerating the green transition,” he added.
What did Mukundan say on trade?
Highlighting that India's merchandise exports grew by 33% between FY19 and FY26, Mukundan said this reflects the growing competitiveness of the country's export base. During the summit, he urged businesses across participating countries to use India's FTAs to build joint ventures, explore investment opportunities, strengthen cross-border value chains and develop long-term commercial partnerships.
He also called for deeper international collaboration in emerging technologies, including AI, nanotechnology and biotechnology, alongside cooperation in cybersecurity, data protection and responsible AI governance. “Interoperable digital payment systems can facilitate seamless, cost-effective cross-border transactions and promote financial inclusion,” he said.
He said India offers significant opportunities for global businesses across electronics, semiconductors, electric mobility, advanced materials and industrial machinery, as well as in specialty chemicals, green chemistry and low-carbon manufacturing.