India has entered into a new export focused partnership with Alibaba.com to help startups and small businesses connect with global buyers. The collaboration, announced under the government’s Startup India initiative, aims to identify and support Indian startups that can onboard and scale exporters on Alibaba’s global B2B platform. Selected startups will receive commissions and technical support to assist small manufacturers and traders in expanding to overseas markets.
The move comes years after India banned several Chinese linked consumer apps in 2020 following a deadly border clash. Platforms such as TikTok, PUBG Mobile, and AliExpress remain restricted. The new engagement with Alibaba.com reflects a limited and carefully defined collaboration focused only on export promotion rather than a broader shift in policy. The Indian government continues to maintain restrictions in sensitive and strategic technology sectors.
Micro, small, and medium enterprises play a key role in India’s export growth. According to the latest Economic Survey, MSMEs account for nearly 50% of the country’s exports and about 31% of GDP. This has driven the government’s focus on expanding digital access to global markets through B2B platforms. Alibaba.com connects more than 50 million active buyers across over 200 countries and regions. Rocky Lu, head of India business at Alibaba.com, said, “Alibaba.com has been active in India for over 2 decades, and we remain dedicated to our core mission of empowering MSMEs to scale their businesses globally. Our focus continues to be on leveraging our digital infrastructure to help ‘Made in India’ products reach an international audience through digital transformation.” He added that the company has continued engagement with various government and semi government bodies through digital training programs and export promotion councils.
Policy experts say the partnership shows India’s differentiated approach toward China. Kazim Rizvi of The Dialogue said, “Going forward, regulatory clarity will be important. Predictable policy environments will help ensure that startups feel confident participating in such initiatives.” George Chen of The Asia Group noted that India sees value in Alibaba’s export network, especially in markets like Africa. He said, “China bans foreign apps like Facebook and Instagram for Chinese individual users but still allows Facebook and Google to do business with Chinese companies, especially exporters who rely on those platforms to sell products abroad.” The commerce ministry did not respond to requests for comment.
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