NEW DELHI, Jan. 27 -- The Niti Aayog has called for a new mechanism to decarbonise India's vast micro, small and medium enterprises (MSME) sector to help exporters meet green product requirements as Western economies roll out carbon-linked trade barriers.

In a report dated 22 January, the government think tank proposed setting up a National Project Management Agency (NPMA), offering viability gap funding (VGF), rolling out a rooftop solar scheme for MSMEs, and identifying clusters to adopt cleaner manufacturing practices. The effort is critical for a sector that contributes 45% of India's exports, 30% of economic output, and employs around 330 million people. Mint explains the plan being firmed up with the MSME ministry and what it means...