Abstract

As production in various industries has become more and more vertically integrated across geographies, several regions of the world have gained importance for specific industries in terms of their participation in regional and global value chains. Value chains of various industries involve India and the European Union (EU) at various stages. This chapter concentrates on two industries whose value chains run through the EU, namely: software and textiles, attempting to unravel the nature of integration for both the industries. Innovation achieved in either industry as a result of the value chain integration and its influence on the industry are analysed. Highlighting the lessons learnt through the evolution of these value chains, the chapter concludes by specifying some challenges for the industries and the importance of skill development to ensure that India can grow its comparative advantage and penetration in the value chains of these industries.

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