weighted score 5.6 · nine dimensions
Country Risk Profile
India
Sourcing risk, regulatory exposure and audit intelligence for India-origin supply chains.
Forced & child labour
6
Cottonseed, garments, rice, and stones listed on ILAB 2024 TVPRA. Child labour in agriculture documented. Improving in formal export manufacturing.
Worker rights & FOA
6
Freedom of association challenges flagged in ILAB 2024. Collective bargaining rights inconsistently protected across states.
OHS & audit transparency
6
Significant variation in OHS standards by state and sector. Audit coverage improving in export-facing factories. Informal economy large.
Food & product safety
5
FSSAI competent authority functional but with capacity gaps. Recurring RASFF alerts for spices, herbs, and rice. Pesticide residue issues documented.
Environmental & regulatory
4
EUDR low-risk classification (May 2025). No active IUU card. Some CITES compliance issues in timber and wildlife trade.
Governance & anti-corruption
7
TI CPI 2024: 38/100. Significant corruption risk in customs, state-level enforcement, and regulatory approvals.
Tariff & preferential access
4
Standard EU GSP beneficiary. Reduced rates on most categories. EU-India FTA negotiations ongoing, not yet in force.
Non-tariff barriers
6
Multiple food categories under enhanced controls per Regulation 2019/1793. Complex import licensing environment. No sanctions.
Supply chain traceability
6
Large informal economy in agriculture and textiles. Multi-tier visibility limited. Growing EcoVadis coverage in export-facing sectors.
Labour & Social Risk
Labour & Social Risk
- Bonded labour
- Bonded labour (debt bondage) persists in brick kilns, agriculture, stone quarries, and domestic work. The Bonded Labour System (Abolition) Act 1976 is in force but enforcement is uneven.
- Informal economy
- Over 80% of India's workforce is in informal employment. Informal workers — particularly in agriculture, construction, and home-based manufacturing — are largely outside social compliance audit scope.
- Sectors at risk
- Garments, textiles, seafood processing, leather, brassware, brick kilns, cotton farming.
- ILO conventions
- India has ratified ILO C029 and C105 (forced labour conventions) and C138 and C182 (child labour conventions). C087 (Freedom of Association) has not been ratified.
- ILAB status
- Bricks, cotton, garments, rice, sugarcane, tobacco, and several other goods listed on US Department of Labor List of Goods Produced by Child or Forced Labor.
EU Regulatory Exposure
EU Regulatory Exposure
- GSP status
- India benefits from EU standard GSP. India-EU Free Trade Agreement negotiations restarted in 2022; no agreement in force.
- Food safety controls
- Indian food and feed exports subject to EU official controls under Regulation (EU) 2019/1793. Specific products — including certain spices, basmati rice, and seafood — have been subject to elevated control frequencies.
- EUDR exposure
- Limited direct EUDR exposure. India produces some natural rubber and soya, but is not a major EUDR commodity exporter. Indirect exposure via cotton (not EUDR-regulated).
- Pesticide residues
- India accounts for a significant share of EU RASFF notifications for pesticide residues in spices, herbs, and sesame. Enhanced controls have been applied periodically.
- CSDDD implication
- Companies sourcing garments, textiles, or food ingredients from India will need to conduct value chain due diligence under CSDDD from 2027, with particular attention to informal sub-tier suppliers.
Logistics & Supply Chain
Logistics & Supply Chain
- Primary export corridor
- Arabian Sea → Gulf of Aden → Red Sea → Suez Canal → EU ports
- Key transit chokepoints
- Bab-el-Mandeb / Red Sea, Suez Canal
- Main EU destination ports
- Rotterdam, Hamburg, Antwerp, Felixstowe
- Typical transit time
- 20–26 days to Northwest Europe
- Scope 3 relevance
- Maritime freight from India to Northwest Europe generates approximately 0.6–0.9 kg CO₂e per kg of cargo (sea freight estimate, shorter routing than Southeast Asia)