Uttarakhand Tops NITI Aayog’s Export Preparedness Index 2024

NITI Aayog’s latest Export Preparedness Index (EPI) 2024 has put Uttarakhand at the top among India’s small states, highlighting how state-level policy and infrastructure can directly shape export performance. Released this week, the index evaluates how well states are positioned to support exports not just through volumes, but through the systems that enable exporters to compete globally.

The Export Preparedness Index measures states across multiple dimensions, including export policy framework, trade infrastructure, business environment, institutional support, and actual export outcomes. Rather than ranking states only by how much they export, the index focuses on how prepared they are to support exporters, especially micro, small, and medium enterprises that form the backbone of India’s trade ecosystem.

Uttarakhand’s top ranking reflects steady improvements in export-oriented infrastructure, policy coordination, and MSME-focused support mechanisms. The state has benefited from better logistics connectivity, improved access to industrial land, and focused efforts to integrate small manufacturers into national and global supply chains. Sectors such as pharmaceuticals, food processing, herbal products, and light engineering where MSMEs play a dominant role—have seen stronger institutional backing and market linkages.

The index also underlines an important shift in India’s export strategy. Export competitiveness is no longer viewed as the sole responsibility of the Centre. Instead, states are increasingly seen as critical drivers of export growth, especially when it comes to last-mile delivery land approvals, power availability, local logistics, skill development, and cluster-based support. States that align their industrial, MSME, and export policies tend to perform better in the preparedness rankings.

For MSMEs, the EPI serves as a signal rather than a scoreboard. Strong rankings indicate states where exporters are likely to face fewer procedural bottlenecks, faster approvals, and better access to support institutions such as export promotion councils, testing labs, and logistics hubs. Conversely, weaker rankings often reflect fragmented policies, infrastructure gaps, or limited coordination between state departments factors that disproportionately affect smaller exporters.

The 2024 index also reinforces the growing importance of export diversification at the state level. States that encourage value-added manufacturing, promote non-traditional exports, and invest in trade facilitation tend to score higher. This aligns with India’s broader push to move beyond commodity exports and build strength in sectors such as processed foods, technical textiles, pharmaceuticals, electronics, and engineering goods areas where MSMEs dominate production.

Another key takeaway from the index is the emphasis on institutional capacity. States with dedicated export cells, data-driven policymaking, and regular engagement with industry bodies show better preparedness. This approach reduces uncertainty for exporters and improves policy predictability an often-overlooked factor in export competitiveness.

NITI Aayog’s Export Preparedness Index 2024 makes one message clear: export growth is increasingly state-led. Uttarakhand’s performance demonstrates that focused policy execution, not just geography or size, determines success. As states compete to attract investment and expand exports, such rankings are likely to influence future reforms, funding priorities, and inter-state competition shaping the export landscape for MSMEs across India.