Lowering trade barriers in sectors with relatively high female employment can significantly boost economic growth and welfare, according to a recent study by the Export-Import Bank of India (Exim Bank). The Study finds that a 1% reduction in tariffs faced by India’s exports in sectors that are relatively more important for the female workforce could lead to a 0.36% increase in labour supply in the country and a 0.14% increase in GDP. The overall welfare gains from such a tariff reduction are estimated to be nearly 3.6%.
Exim Bank’s study examines the female labour force participation in export-intensive sectors in the Indian context. According to the study, a higher proportion of female employees in India are engaged in low-technology and resource-intensive sectors such as food and beverages, leather products, and textiles and apparel etc., that leave them disproportionately exposed to fluctuations in global demand and commodity price shocks. The Study also highlights that sectors which employ women more, typically face higher tariffs on inputs, indicating the need to seek tariff relaxation in such sectors.
The Study suggests actionable strategies to enhance women’s participation in trade and promote women’s economic empowerment. These strategies include mainstreaming gender consideration in trade agreements; enhancing implementation of women-centric trade facilitation measures; leveraging e-commerce for enhancing market access for women; promoting women as suppliers through public procurement; enhancing women’s access to export finance; addressing gaps in gender-disaggregated data, etc.
The Study titled ‘Trade as a Tool for Economic Empowerment of Women: An Indian Perspective’ was released by Shri M. Nagaraju, Secretary, Department of Financial Services, during an event jointly organised by Exim Bank and the World Bank, on “Women and Trade: Advancing Inclusion, Expanding Opportunities & Boosting Economic Growth”, on March 7, 2025, in Mumbai.
The event had speakers from the Government, public sector enterprises, banks, financial institutions, women businesses, academia, think-tanks and NGOs. The event was attended by more than 100 participants, including more than 60 women entrepreneurs.
Speaking on the occasion, Shri M. Nagaraju emphasised the Government of India’s commitment to women’s economic empowerment, highlighting the increasing share of Gender Budget in the Union Budget, policy focus on gender inclusivity in trade facilitation, and proactive efforts for enhancing financial inclusion. He noted that women are key beneficiaries under the Pradhan Mantri Mudra Yojana, and also benefit from additional coverage available under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE).
Ms. Anna Wielogorska, Regional Procurement Manager (South Asia), World Bank, in her address highlighted some of the barriers for women entrepreneurs in public procurement. She highlighted World Bank’s efforts to enhance participation of women and also commended the efforts taken by the Government of India in making public procurement more accessible to women.
In her address, Ms. Harsha Bangari, Managing Director, Exim Bank, further underscored the role of trade in advancing gender equality. Ms. Bangari highlighted the efforts and initiatives undertaken by Exim Bank at the grassroots level for unlocking economic and social prosperity for women artisans. Ms. Bangari also informed that the Bank is actively working on developing a dedicated financing programme for strengthening export capabilities of women entrepreneurs.
The event had dedicated panel discussions on topics such as unlocking opportunities for women in international trade, enhancing participation of women in public procurement, and addressing financing challenges for women-owned/led/employing businesses.
For further information, please contact
Mr. T D Sivakumar, Chief General Manager, Export-Import Bank of India
Center One Building, Floor 21, World Trade Center Complex, Cuffe Parade, Mumbai 400 005
Telephone: +91 22-22172829, E-mail: sivakumar[at]eximbankindia[dot]in