Reliance Industries Chairman Mukesh Ambani has called for a united front among Indian businesses to navigate the increasing global economic uncertainties. Addressing shareholders at Reliance's Annual General Meeting (AGM), Ambani highlighted the need for collaboration to shield the nation from external shocks and geopolitical risks.
Ambani's call to action comes at a crucial time, with the global economy facing a complex web of challenges. Geopolitical tensions are escalating, volatility is persistent, and predictability is scarce. Adding to the complexity, the United States has recently increased tariffs on Indian goods in response to India's continued oil trade with Russia. The US initially imposed a 25% tariff on all Indian exports, followed by an additional 25%, bringing the total to 50%. These tariffs, enacted by the Trump administration, could significantly impact Indian exports, particularly in sectors like textiles and chemicals, potentially making Indian products more expensive in the US market.
Despite these challenges, Ambani remains optimistic about India's potential. He emphasized that India is on the rise and that its growth is unstoppable. He noted that with the right reforms, advanced manufacturing capabilities, and a national priority on deep tech, the Indian economy has the potential to grow at 10% annually. This growth could lead to a four- to five-fold increase in the per capita income of Indians within the next two decades, making India a more prosperous and equitable nation. RBI Governor Sanjay Malhotra has also highlighted India's economic resilience, noting the country's robust macroeconomic fundamentals and strong post-pandemic recovery. He projected India to become the third-largest economy in the coming years.
Ambani advocated for an "India-first" model of development, leveraging deep tech to bring prosperity and security to the nation, improve the quality of life for all citizens, and protect the environment. He stressed the importance of harmonizing technology with democracy, economy with culture, spirituality with science, and national aspirations with friendship across all nations. He believes that this collective dream of 1.5 billion Indians can build a nation that leads with both prosperity and compassion.
The Indian government is also taking steps to address the challenges posed by the US tariffs and global trade uncertainty. It is launching a ₹20,000-crore (US$2.5 billion) Export Promotion Mission to support exporters, improve competitiveness, and strengthen "Brand India". The mission aims to improve trade finance and brand visibility while developing export hubs and supporting MSMEs.
Ambani's Reliance Industries has been proactively adapting to the changing global landscape. The company is shifting away from its core oil and gas business toward a greener, consumer-facing future. It has made significant investments in its Reliance Jio Infocomm Ltd. telecom business, revolutionizing India's smartphone ownership. The company has also become the country's largest retailer, with over 19,000 stores, and is building an ambitious manufacturing complex for energy transition hardware. Ambani has described the launch of Reliance Jio as the "biggest risk" taken by Reliance, emphasizing that even if it had not been financially successful, its impact on India's digital landscape would have been worthwhile.
Ambani's message is clear: Indian businesses must unite to face global risks head-on. By working together, focusing on innovation, and embracing an "India-first" development model, Indian companies can navigate the current challenges and contribute to the nation's continued rise on the global stage.
