India’s Trade Performance: May 2025
Overview of May 2025 Trade
India’s total exports hit $71.12 billion in May 2025. This includes both goods and services. It shows a 2.77% increase from May 2024.
Key Highlights
- Total exports in May 2024 were $69.20 billion.
- Merchandise exports saw a slight dip to $38.73 billion from $39.59 billion.
- Services exports rose to $32.39 billion, up from $29.61 billion a year earlier.
Import Details
India imported goods and services worth $77.75 billion in May 2025. This is slightly down from $78.55 billion in May 2024.
Trade Deficit Improvement
The trade deficit improved. It narrowed to $6.62 billion from $9.35 billion in May 2024.
First Two Months of FY26
During April–May 2025, overall exports reached $142.43 billion. This is a 5.75% increase from the same period last year.
Import Growth
Imports during the same period rose by 6.52%. They increased from $149.81 billion to $157.57 billion. This growth widened the trade deficit slightly to $17.14 billion, compared to $15.12 billion in the year-ago period.
Record-Breaking Exports in 2024–25
India’s overall exports achieved a record-breaking performance in 2024–25. The country’s total exports hit an all-time high of $824.9 billion. This exceeded the initial target of $800 billion. It also registered a 6.01% growth against the previous year’s $778.1 billion.
Services Sector Surge
The services sector was a major contributor to this surge. It registered a historic high of $387.5 billion in exports. This is an impressive 13.6% rise from the previous fiscal’s $341.1 billion. Meanwhile, merchandise exports recorded a marginal increase to $437.42 billion.
Trade Deficit in 2024–25
Despite this export growth, the country’s overall trade deficit widened in 2024–25. It went up to $94.26 billion, compared to $78.1 billion the previous year.
Government Initiatives
The government’s production linked incentive (PLI) scheme has been crucial. It boosted India’s manufacturing competitiveness. It has drawn foreign investments and reduced reliance on imports. These efforts are showing results. We can see this in the recent uptick in exports.
