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India’s FTA Exports Surge as Trade Data Shows Broader Growth
India’s exports grew during the four-month period described in the report.
Exports to countries with free trade agreements grew faster than exports to other countries.
The trade deficit with those FTA partners also became smaller.
India sold more goods to African countries such as Tanzania, South Africa and Kenya.
Farm exports increased, especially products that are processed or packaged before sale.
India also earned more from services provided by professionals such as engineers and medical workers.
Imports of electronics and computer equipment rose sharply as factories and businesses bought more technology.
Commerce Minister Piyush Goyal said these imports could help India build more products domestically.
He also warned that four months is too short to show whether every export increase will continue.
Exports to India’s FTA partner countries rose 23.9% to $57.2 billion, outpacing non-FTA markets.
India’s merchandise exports increased 17% to $173.8 billion, while services exports reached $145 billion.
The trade deficit with FTA partners narrowed from $34.2 billion to $32.6 billion.
African markets, including Tanzania, South Africa and Kenya, recorded strong export growth across several sectors.
Agricultural exports rose 4.5% as higher-value products such as basmati rice, shrimp and instant coffee gained ground.
- Who
- India, its exporters and Commerce Minister Piyush Goyal.
- What
- India reported faster export growth to FTA partners, rising services and agricultural exports, and increased industrial imports.
- Where
- India’s exports grew in FTA markets and non-FTA markets, including Singapore, Oman, Tanzania, South Africa and Kenya.
- When
- During the four-month period covered by the report; the India-Oman CEPA was stated to have entered force on June 1, 2026.
- Why
- Growth was linked to greater use of preferential trade access, expanding African demand, higher-value agricultural products, services exports and industrial investment.
Key facts
- Merchandise exports
- $173.8 billion, up 17% from $148.5 billion during the same period last year.
- Services exports
- $145 billion, up from $131.1 billion, representing 10.6% growth.
- FTA-partner exports
- $57.2 billion, up 23.9%; their share of total exports increased from 31.1% to 32.9%.
- FTA trade deficit
- Narrowed from $34.2 billion to $32.6 billion.
- Agricultural exports
- $18.18 billion, up 4.5% year on year.
- Merchandise imports
- $292.3 billion, including $21.6 billion in electronics components and $12 billion in computer hardware and peripherals.
- Strongest named FTA-market growth
- Singapore’s outbound shipments nearly doubled, adding approximately $4 billion.
Quotes
Piyush Goyal
India’s commerce minister and author of the trade review
“As India strengthens its semiconductor, electronics and advanced manufacturing capabilities, more of these value chains should move further upstream. The objective is not simply to import a component and assemble it here. It is to design it here, make it here, add value here and eventually export it from here. That is the journey we are on.”
businesstoday.in
“However, it is important to recognise that four months is a relatively short period, and export performance during this window may reflect some large, one-time shipments that may not be repeated in every quarter. But what these four months show is a country gradually building a wider and more diverse base of customers.”
businesstoday.in
Sources
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