Union Commerce Secretary Rajesh Agrawal said the government is actively working to minimise the impact of the West Asia conflict on India’s supply chains and trade. (A file picture) | Photo Credit: Ravi Choudhary

The Centre is trying to minimise the adverse impact of the West Asia war on the supply chains, as India’s exports to other parts of the world would also be impacted if the war continues, according to Union Commerce Secretary Rajesh Agrawal.

Speaking to newspersons on the sidelines of the Chintan Shivir 2026, organised by the Pharmaceutical Export Promotion Council here on Saturday, he said that around 12-13 per cent of India’s exports go to West Asia.

``And if war goes on for long, maybe our exports to other parts of the world will also get impacted as some of the value chains will rotate back,’’ he added.

Exports, imports face short-term disruption

Indian exports during the last financial year were expected to remain on a positive trajectory despite the crisis though there was a `definite’ impact of the crisis on both imports and exports during March as energy was a major part of the Indian import market, he said adding the exact impact of the West Asia crisis on Indian exports would be known in a couple of weeks.

``All arms of the government are engaged to see how they can prioritise the limited supply of LPG, and it is being resolved to the largest extent possible by even diversifying imports, buying from other sources also,’’ he said.

The Centre was trying to minimise the impact of the crisis on supply chains as far as possible, even as the government is ready with some numbers going down, as far as exports and imports are concerned. `` I assume, it will not only be a one-way traffic, in terms of export going down, but it will also be imports having some downfall,” he said.

Long-term uncertainty and self-reliance push

The exact impact of the war might persist for a few months after the war ends, depending on which supply chain or infrastructure has been affected.

“So, at this juncture, it will be very difficult to take a very long-term view on it,” the official said.

The idea was that the industry should become self-reliant to combat these external challenges, which may keep coming, he opined.

Pharma sector among priority areas

Agrawal said there has been some impact on the pharma sector, particularly on important intermediates and solvents, as the supply chain is being disrupted.

All arms of the government are engaged in prioritising the limited supply of LPG, and the issue is being resolved to the greatest extent possible by diversifying imports and buying from other sources as well, he said.

“So, as we are able to resolve that overall supply, we will try to alleviate some of the pain in every sector. The Pharma sector will be one of the priority sectors,” he said.

Published on April 4, 2026