India’s total exports (merchandise and services) during the FY25 period (April-March) have shown a notable growth of 5.50%, reaching US$ 820.93 billion compared to US$ 778.13 billion in FY24. This performance underscores the resilience and strength of India's export sector despite global challenges.

Key Figures:

• Total exports: Rs. 70,27,160.8 crore (US$ 820.93 billion)

• Growth: 5.50% over FY24

• Merchandise exports: Rs. 37,44,315.5 crore (US$ 437.42 billion)

• Services exports: Rs. 32,82,845 crore (US$ 383.51 billion)

Merchandise Exports:

India’s merchandise exports saw a modest increase of 6.0% in FY25, reaching Rs. 37,44,315.5 crore (US$ 437.42 billion). This includes significant contributions from key sectors such as:

• Electronic goods: Rs. 3,30,188.5 crore (US$ 38.58 billion)

• Coffee: Rs. 10,100.8 crore (US$ 1.81 billion)

• Tobacco: Rs. 16,948 crore (US$ 1.98 billion)

• Rice: Rs. 1,06,743 crore (US$ 12.47 billion)

• Drugs & Pharmaceuticals: Rs. 2,60,823 crore (US$ 30.47 billion)

These sectors, particularly electronic goods and pharmaceuticals, have been major drivers of export growth, with rice and coffee also showing strong performance. Drugs and pharmaceuticals, in particular, continue to be a vital export category, reflecting India’s leadership in the global pharmaceutical market.

Services Exports:

In contrast to merchandise exports, India’s services exports performed exceptionally well, growing by 12.45% to reach Rs. 32,82,845 crore (US$ 383.51 billion). This was a key factor contributing to the overall export growth. The strong performance of the information technology (IT) and business process outsourcing (BPO) sectors has significantly boosted services exports, solidifying India's position as a global hub for outsourced services.

Imports and Trade Surplus:

While exports grew, India’s imports also saw an increase of 6.85%, rising to Rs. 78,34,026 crore (US$ 915.19 billion). This led to a trade surplus of Rs. 16,17,384.4 crore (US$ 188.57 billion), despite a widening merchandise trade deficit of Rs. 24,21,024 crore (US$ 282.83 billion).

India's imports largely consisted of petroleum products, machinery, and electronic goods, with significant imports from countries like UAE, China, Thailand, USA, and Russia. The UAE has continued to be a major source of imports, alongside China, which remains a key player in the supply of machinery and electronics.

Key Export Destinations:

The major export destinations for India in FY25 were:

• USA

• United Kingdom (UK)

• Japan

• United Arab Emirates (UAE)

• France

The USA remains India’s largest export destination, driven by the strong demand for IT services, pharmaceuticals, and electronic goods.

Non-Petroleum and Non-Gems & Jewellery Exports:

India’s non-petroleum and non-gems & jewellery exports reached Rs. 29,46,865 crore (US$ 344.26 billion) in FY25. This is a strong indicator of India’s growing manufacturing capabilities and diversified export portfolio. These exports continue to be crucial in reducing India’s reliance on petroleum and precious metals as primary export categories.

Trade Deficit:

Despite the growth in exports, India’s merchandise trade deficit increased to US$ 282.83 billion in FY25. This was driven by the increase in imported oil and electronic goods, reflecting the growing demand for technology and energy.

Conclusion:

India’s export performance in FY25 highlights the resilience and diversification of the Indian economy, particularly in services and electronics. The growth in merchandise exports and services exports has not only contributed to a trade surplus but also positioned India as a prominent player in global trade. The continued expansion of India’s export sector is expected to play a crucial role in the nation’s economic growth and global competitiveness in the coming years.

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