IMF's Upward Revision Of India's Growth Forecast Reflects Strong Fundamentals: Piyush Goyal

"The IMF's upward revision of India's GDP growth forecast for the current fiscal to 6.6% reflects the country's economic resilience and strong fundamentals, Commerce and Industry Minister Piyush Goyal said on Wednesday.

International Monetary Fund on Tuesday revised upwards India's GDP growth forecast for the current fiscal to 6.6% compared to its earlier estimate of 6.4%on the back of strong growth.

This is 'evidence of the country's economic resilience and strong fundamentals,' he said while addressing chemicals and petrochemical industry representatives here.

The Indian economy grew by 7.8% in April-June -- the highest in five quarters -- before the disruptive US tariffs were imposed.

"This reflects the way India has strengthened its economy, the atmosphere of confidence in the country today, the increase in consumer spending due to the reduction in GST, and the rapid investment in infrastructure," he said.

Earlier this month, the World Bank also raised India's growth forecast for the current fiscal to 6.5% from 6.3 per cent estimated earlier, saying the country is expected to remain the fastest-growing major economy.

The minister also highlighted the need for the chemicals and petrochemical sector to aim for leadership in international trade by increasing India's share in global exports and moving beyond the current modest contributions.

He expressed serious concerns over the sector's reservations about giving small concessions in the free trade agreements of India.

"Your industry sometimes demonstrates so much weakness that even given a minor quota of 1% or 3% of our consumption in India, you all make a big fuss and hue and cry and I feel very disappointed. It shows in very poor light, it shows weakness," he said.

He added that in a trade pact, India too has to open certain sectors to get concessions in other markets.

The minister stressed the critical importance of supply chain resilience and diversification, noting that reliance on a single supplier or a limited number of countries could create vulnerabilities.

He pointed out that while certain products may require domestic protection to ensure self-reliance and secure supply chains, the sector must otherwise remain integrated with global markets to achieve efficiency, competitiveness, and sustainable growth.

"We certainly do not want to be left on the mercy of one geography in our supply chains, which cripple our entire sector," he said, adding there may be some sectors which need solid protection.

Further, Goyal urged the industry to work collaboratively, support each other across value chains, and raise concerns regarding predatory pricing, dumping, or non-tariff barriers affecting exports.

He assured that the ministry would provide timely interventions and remedies to safeguard industry interests.