Indian Exports Defy Global Trade Turbulence with 4% Rise

As reported by the Ministry of Commerce on Wednesday (15 October), India’s exports grew over 4% year-on-year in the first half of FY 2025-2026, reaching $413.3 billion despite global trade challenges such as supply chain disruptions & market volatility.

Describing financial year 2025-2026 as a "turbulent year" for international trade, the ministry noted that India maintained its growth momentum even as global supply chains and markets remained unsettled. India recorded its highest export ever for a single quarter, with exports totalling $204.4 billion from July to September.

Merchandise exports rose from $213 billion to $220 billion in the first half of the year. Services exports increased even more, going from $182 billion to $193.7 billion. This growth in exports helped decrease the trade shortage by 2.28% compared to the same time last year, even though imports increased mainly due to merchandise.

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September saw imports rise faster than exports. Electronic goods, silver, fertilisers and gold imports increased, with electronics and silver surging due to heightened smartphone manufacturing. However, growing gold imports declined by 8.7% in value and 25% in volume year-on-year.

Export growth spanned 24 countries, led by the United States, United Arab Emirates, China, Germany, Bangladesh and Brazil. Notably, exports to the US jumped from $40.42 billion to $45.82 billion in H1 FY26. Meanwhile, exports to the Netherlands and Singapore declined, primarily due to a reduction in petroleum product shipments.

Officials also noted a month-on-month drop in US exports in August and September, linked to tariffs of up to 50%. The full impact of these duties is expected to be clearer with October’s trade data.

India's strong export performance showcases the country’s ability, resilience, and growing global trade presence amid worldwide economic turbulence. The strong performance reflects strategic export diversification and robust demand across the key markets.

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