India’s Exports Hit Record $863 Billion in FY26, Driven by Strong Goods and Services Trade

CHANDIGARH, Jun 10: India’s exports touched a record high of USD 863 billion in the financial year 2025-26, reflecting the country’s growing strength in global trade and the expanding contribution of both manufacturing and services sectors, a senior Commerce Ministry official said on Tuesday.

Addressing a convention attended by exporters, industry representatives and farmer producer organisations in Chandigarh, Additional Secretary in the Union Ministry of Commerce Nitin Kumar Yadav said the country’s overseas shipments have witnessed substantial growth over the past decade.

He noted that total exports rose from USD 468 billion in 2014-15 to an all-time high of USD 863 billion in 2025-26, registering a compound annual growth rate of 5.7 per cent during the period.

According to the official, merchandise exports increased from USD 310 billion to USD 442 billion, while services exports recorded remarkable expansion, climbing from USD 158 billion to USD 421 billion. The services segment grew at a compound annual rate of 9.3 per cent, highlighting its growing importance in India’s external trade performance.

Yadav also pointed out that non-petroleum exports reached a record USD 387.9 billion, indicating greater diversification in the country’s export portfolio and reducing dependence on a limited range of commodities.

The event also marked the inauguration of a regional office of the Agricultural and Processed Food Products Export Development Authority (APEDA) in Chandigarh, a move expected to facilitate exporters and boost agricultural trade from northern states.

Speaking on India’s trade strategy, Yadav said the country has entered into several major economic agreements aimed at expanding market access and integrating Indian businesses into global value chains.

He highlighted the Trade and Economic Partnership Agreement with the European Free Trade Association, signed in 2025, which is backed by an investment commitment of USD 100 billion and provides duty-free access for nearly 98 per cent of India’s exports to member nations.

The official further said the Free Trade Agreement with the European Union, concluded in 2026, is expected to create significant opportunities for Indian exporters. The pact covers 27 developed economies and is projected to support exports worth around Rs 3.2 lakh crore through extensive tariff concessions.

He also referred to existing trade arrangements with Mauritius and the United Arab Emirates, stating that these agreements provide duty-free access to almost the entire range of Indian exports entering those markets. Bilateral trade between India and the UAE has already crossed USD 80 billion, demonstrating the impact of closer economic cooperation.

Highlighting regional opportunities, Yadav said Punjab stands to benefit from growing demand in sectors such as textiles, apparel, engineering goods, agriculture and food processing. Haryana, meanwhile, has emerged as a major exporter of basmati rice, buffalo meat, honey, dairy products and processed food items, with additional potential in pharmaceuticals and chemicals.

Industry representatives at the convention stressed the need to further strengthen export infrastructure, improve logistics efficiency and support small and medium enterprises to sustain the growth momentum.

Officials expressed confidence that ongoing trade reforms, improved market access and expanding international partnerships will help India achieve higher export targets in the coming years while enhancing its role in global commerce.