India's Exports Up 4.22% To USD 860 Bn In FY26, Trade Deficit Widens To USD 119.3 Bn

(MENAFN- KNN India) New Delhi, Apr 15 (KNN) India's total exports grew 4.22 per cent year-on-year (YoY) to USD 860.09 billion in FY2025-26, while imports rose faster at 6.47 per cent to about USD 970 billion, leading to a widening of the overall trade deficit, according to data shared by Commerce Secretary Rajesh Agrawal.

The combined trade deficit (merchandise and services) increased to USD 119.30 billion in FY26 from USD 94.66 billion in the previous fiscal.

Merchandise Trade Remains Under Pressure

Merchandise exports saw a marginal rise to USD 441.78 billion in FY26 from USD 437.70 billion in FY25. In contrast, merchandise imports climbed sharply to USD 774.98 billion from USD 721.20 billion, reflecting higher inbound shipments and contributing significantly to the widening deficit, reported ANI.

Services Sector Continues Strong Performance

Services exports remained a key growth driver, rising to USD 418.31 billion in FY26 from USD 387.55 billion a year earlier. Services imports also edged up to USD 204.42 billion from USD 198.72 billion.

Deficit Remains Elevated Over the Years

Over the past few years, India's trade deficit has remained elevated. It stood at USD 121.62 billion in FY23, moderated to USD 78.39 billion in FY24, before rising again to USD 94.66 billion in FY25 and further to USD 119.30 billion in FY26.

The data underscores persistent pressure from higher imports, even as export growth remains steady, with services continuing to provide a cushion to the overall trade balance.

(KNN Bureau)

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