India's Exports Surge 6.15%, FTAs with EU & US Set to Boost Growth

India's overall exports during the period rose to $720.76 billion, as compared to $679.02 billion in the corresponding period of the previous fiscal.

Merchandise exports stood at $366.63 billion, registering a growth of 2.20 per cent over $358.75 billion recorded in April-January 2024-25.

Notably, exports in January 2026 alone increased significantly to $80.45 billion, up from $71.09 billion in January last year, underlining a strong recovery in external demand and improving global trade sentiment.

S.C. Ralhan, President, FIEO highlighted that the successful conclusion of Free Trade Agreements with the European Union and the United States marks a transformative milestone in India's evolving trade architecture.

"As the United States continues to be India's top export destination and Europe remains a major high-value market, these agreements are expected to provide enhanced market access, improved tariff competitiveness and greater regulatory predictability for Indian exporters," he mentioned.

With timely implementation and proactive industry preparedness, the FTAs are poised to significantly accelerate India's export growth trajectory in the coming years.

Ralhan further noted that key sectors such as engineering goods, pharmaceuticals, textiles and garments, leather, gems and jewellery, agriculture and marine products are expected to benefit substantially from these trade agreements.

The steady performance of sectors including engineering goods, electronics, pharmaceuticals, textiles, gems and jewellery and agriculture during the current fiscal demonstrates the diversification of India's export basket and the country's deeper integration into global value chains.

On the import front, overall imports during April-January 2025-26 rose by 6.54 per cent to $823.41 billion, compared to $772.85 billion in the same period last year.

Merchandise imports grew by 7.21 per cent to $649.86 billion from $606.13 billion in April-January 2024-25.

While the trade deficit in January stood at $10.45 billion, the overall trend remains manageable in view of sustained export growth and strengthening economic fundamentals.

Major export contributors during April-January 2025-26 included engineering goods, petroleum products, electronic goods, drugs and pharmaceuticals, gems and jewellery, organic and inorganic chemicals, ready-made garments of all textiles, cotton yarn and fabrics, handloom products, rice and marine products.

India's leading export destinations continued to be the United States, United Arab Emirates, China, the Netherlands, United Kingdom, Germany, Singapore, Bangladesh, Saudi Arabia and Italy, while major import sources included China, United Arab Emirates, Russia, United States, Saudi Arabia, Iraq, Switzerland, Hong Kong, Singapore and Japan.

- IANS