India's exports remain resilient despite geopolitical tensions: FIEO
New Delhi, March 16
India's export sector remained resilient despite rising global uncertainties, supply chain disruptions and escalating geopolitical tensions, Federation of Indian Export Organisations said on Monday.
Citing government data, the industry association said that India's overall exports grew about 11 per cent year‑on‑year to $76.13 billion.
However, merchandise exports cooled off by 0.81 per cent YoY to $36.61 billion in February 2026.
FIEO said merchandise imports rose 24.11 per cent to $63.71 billion in February, creating a trade deficit of $27.1 billion that moderated from January 2026.
During April-February FY26, merchandise exports reached $402.93 billion, up 1.84 per cent, while imports rose 8.53 per cent to $713.53 billion, the statement further said.
Cumulative merchandise and services exports during the period are estimated at $790.86 billion, up 5.8 per cent from $747.58 billion last year.
"The export sector continues to show resilience, supported by diversified markets and strong performance in key sectors such as engineering goods, petroleum products, electronic goods, pharmaceuticals, gems & jewellery, chemicals, ready‑made garments, cotton yarn and fabrics, rice and marine products," said S C Ralhan, President of FIEO.
The United States, UAE, China, Netherlands, UK, Germany, Saudi Arabia, Bangladesh, Singapore and Hong Kong remained major export destinations.
Ralhan emphasised that close monitoring of geopolitical developments, maintaining smooth logistics connectivity and providing timely policy support will be essential to sustain export momentum. He added that continued diversification of markets, strengthening regional trade partnerships and improving logistics efficiency will help India mitigate global disruptions and maintain export growth.
The escalating conflict in the Middle East involving the United States, Israel and Iran has heightened global trade uncertainty.
Disruptions in key maritime routes, including the Strait of Hormuz and the Red Sea have forced vessels to reroute, increasing freight costs, insurance premiums, and transit times, thereby adding pressure on exporters.
— IANS
Reader Comments
The trade deficit of $27.1 billion is still a big concern, even if it moderated. We are importing much more than we export in goods. Need to focus on 'Make in India' for more items we currently import.
The resilience is commendable given the Red Sea crisis. Freight costs have gone through the roof for my small business. Hope the government's policy support comes quickly to help with these logistics nightmares.
Interesting to see China still as a major export destination despite tensions. It shows business pragmatism. The growth in electronics and pharmaceuticals is particularly promising for the future.
While the headline is positive, the 0.81% drop in merchandise exports for February is a red flag. We can't just rely on services. Manufacturing needs a bigger boost to create more jobs.
Good to see traditional sectors like gems & jewellery and garments holding strong alongside new champions like electronics. Our diversity is our strength! 🙌 The focus on regional partnerships with Bangladesh and UAE is key.
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