India's merchandise exports jumped 23% year-on-year to $44.4 billion in September 2026, supported by strong demand for engineering goods, electronics and petroleum products.
The performance has raised expectations that annual goods exports could cross $550 billion despite global trade uncertainties.
Merchandise shipments increased 18.5% to $259.9 billion during April-September, maintaining double-digit monthly growth since April.
Commerce Secretary Rajesh Agrawal expressed optimism that export momentum could continue during the second half of FY27.
The government aims to achieve $1 trillion in combined goods and services exports this financial year, compared with $863.11 billion in FY26.
Total exports reached $476.20 billion during the first six months.
Engineering, Electronics Lead Growth
Engineering goods exports rose 21% to $12.2 billion in September, accounting for approximately 28% of merchandise shipments.
Electronics exports surged 70.4% to $5.3 billion, while petroleum product exports increased 31.9% to $6.2 billion.
Gems and jewellery shipments grew 18.9% to $3.4 billion, while chemicals exports climbed 24.2% to $2.9 billion.
Pharmaceutical exports increased 4.6% to $2.7 billion.
Engineering Export Promotion Council Chairman Pankaj Chadha said the sector's performance demonstrated resilience against external disruptions.
However, he cautioned that geopolitical tensions and shipping disruptions remained challenges, while new trade agreements could improve market access.
Trade Deficit Reaches $30.2 Billion
India's merchandise imports increased 8% to $74.6 billion in September, despite higher crude oil prices.
The oil import bill climbed 30.7% to $18.3 billion, while electronics imports jumped 51.5% to $14.9 billion.
Gold imports plunged 81.2% to $1.80 billion, and silver imports declined 49.1% to $665 million.
During April-September, merchandise imports rose 16.3% to $437.53 billion.
Services exports slipped 0.87% to $36.35 billion in September, while imports increased 8.96% to $19.44 billion.
Agrawal attributed weaker services exports partly to slower travel and tourism activity amid tensions in West Asia.
For the first half, services exports grew 8.69% to $216.31 billion, while services imports rose 13.32% to $113.60 billion.
The figures underline India's export expansion alongside continuing pressure from energy and electronics imports.
