The year 2009 needs no introduction of its own as we know that the world was going through the period of global recession due to the sub-prime crisis and the back to back downgrading of the US credit rating by the largest credit rating firm S&P. In such a challenging situation the UPA Government, in its second innings assumed office. Countries across the world had been affected in varying degrees and all major economic indicators of industrial production – trade, capital flows, unemployment, per capita investment and consumption have taken a hit.

India was not affected to the same extent as compared to the other economies of the world, yet the exports suffered a decline, due to a contraction in demand in the traditional markets of India’s exports. In the grim economic climate it was indeed a daunting task to formulate the foreign trade policy due to declining demand in the developed world .In order to maintain fruitful trade practices in the coming five years it is needed that motion strategies and policy measures are set in such a manner that it will catalyze the growth of exports.

Following are the objectives of foreign trade policy 2009-2014

1. To double India’s export

To arrest and reverse declining trend of exports is the main aim of the policy. This aim will be reviewed after two years. To double India’s exports by March 2014. There was increase in growth by 15 % in March 2013 and annual growth of around 25% by 2014.

2. To double India's share in global merchandise

To double India's share in global merchandise trade by 2020 as long as term aim of this policy. India’s share in global merchandise exports was 1.45% in 2008.

3. To encourage exports

The main objective of the Government’s EXIM Policy is to promote exports to the maximum extent. To set in motion the strategies and policy measures which catalyze the growth of exports. To encourage through a "mix of measures including fiscal incentives, institutional changes, procedural rationalization and efforts for enhance market access across the world and diversification of export markets. The Indian Foreign Trade Policy of 2009-2014 has added 26 new markets to its aim of achieving the export target of US$ 200 billion and export growth target of 15 percent for the first two years.