New Delhi – India’s total exports of goods and services surged to a record $820.93 billion in the financial year ending March 31, 2025—marking a 5.5% increase over the previous year’s $773 billion—despite facing considerable global economic challenges, according to Commerce Secretary Sunil Barthwal.
Merchandise exports rose to $437.4 billion, while non-petroleum exports climbed 6% year-on-year to reach $374.08 billion in FY25.
However, India’s trade deficit widened to $21.54 billion in March, up from $14.05 billion in February, as imports surged. Merchandise exports for the month increased marginally by 0.7% to $41.97 billion, but imports jumped 11.3% to $63.51 billion, driving the monthly trade gap higher.
Compared to February, exports in March saw a 13.75% rise, while imports grew 24.6%.
These developments come amid ongoing volatility in global markets, partly driven by recent US tariff hikes. India is currently engaged in discussions with the US for a bilateral trade agreement, with Washington having agreed to pause the tariff increase for 90 days.
Sources indicate that the first phase of the trade pact is likely to be finalized within this 90-day window. The terms of reference have been agreed upon, and most negotiations will take place via video conferencing, though in-person meetings may be arranged if necessary.
Officials are also monitoring to ensure that no country attempts to reroute exports through India to bypass US tariffs. Similarly, the Central Board of Indirect Taxes and Customs (CBIC) has been alerted to prevent Indian exporters from misusing third countries as transit points for re-exports.
“India has been a reliable partner to the US, and any misuse could harm that trust,” a senior official said.
Commerce Minister Piyush Goyal, speaking to the media last week, confirmed that talks with the US are progressing well.
“India presents a strong case for a bilateral trade deal with the US,” Goyal said, highlighting the country’s robust growth potential and demographic dividend.
“With a large, young, and aspirational population expected to drive demand over the next 25-30 years, India is well-positioned to be a valuable economic partner,” he added. (Source: IANS)
