Is India Emerging as a Major Player in Global Trade?
Synopsis
India is making significant strides in global trade, showcasing its rising share in merchandise and services exports. The Economic Survey 2025-26 reveals remarkable growth, resilience against global shocks, and a promising future for various sectors, positioning India as a vital player in the international trade landscape.
Key Takeaways
India's global merchandise exports share grew from 1% to 1.8%.
Total exports reached $825.3 billion in FY25.
Key export growth drivers include electronics and pharmaceuticals.
Agricultural exports increased significantly, with a CAGR of 8.2%.
India is positioned for substantial future growth in key sectors.
New Delhi, Jan 29 (NationPress) India's consistent ascent as a pivotal player in global trade is apparent through its growing share of both global merchandise exports and commercial services exports, according to the Economic Survey 2025-26 published on Thursday.
The WTO's World Trade Statistics indicate that from 2005 to 2024, India's share of global merchandise exports has nearly doubled, increasing from 1% to 1.8%.
Moreover, its share in global commercial services exports has more than doubled, moving from 2% to 4.3%.
The Survey reveals that India's external performance exhibits resilience to global shocks and underscores the structural characteristics of a rapidly growing economy that is integrating more thoroughly into global markets.
Notably, India's total exports hit a record $825.3 billion in FY25, reflecting a 6.1% year-on-year growth, primarily fueled by a robust growth in services exports, which surged by 13.6% (YoY).
This export momentum persisted into FY26, with Q1, Q2, and Q3 achieving the highest-ever exports for their respective quarters despite global uncertainties.
The nation's merchandise exports summed up to $437.7 billion in FY25, with non-petroleum exports reaching a remarkable $374.3 billion.
Key growth drivers included electronics, pharmaceuticals, electrical machinery, and automobiles, reflecting increasing competitiveness in higher-value manufacturing sectors, stated the Survey.
Agricultural exports rose from $34.5 billion in FY20 to $51.1 billion in FY25, achieving a CAGR of 8.2%.
The country is poised to reach $100 billion in combined exports of agriculture, marine products, and food and beverages within the next four years, according to the Survey.
The recently finalized India-UK CETA and India-Oman CEPA, along with ongoing negotiations with the US, Chile, and Peru, underline India’s diversified trade strategy and bolster deeper integration into global value chains.
Meanwhile, services exports reached a historic high of $387.6 billion in FY25, growing by 13.6%.
The Survey highlighted that this growth is partly attributed to India's success as a global hub for Global Capability Centres (GCCs), which expanded at a 7% CAGR from FY20 to FY25.
Point of View
It is crucial to recognize India's evolving role in global trade. The Economic Survey highlights a resilient economy that is adapting and integrating into global markets. This growth should be celebrated while also considering the challenges that lie ahead in sustaining this momentum. It’s a pivotal time for India, and we must continue to support policies that foster this progress.
NationPress
6 May 2026
Frequently Asked Questions
What is the current share of India in global merchandise exports?
India's share in global merchandise exports has nearly doubled from 1% in 2005 to 1.8% in 2024.
How much did India's total exports reach in FY25?
India's total exports reached a record $825.3 billion in FY25.
What sectors are driving India's export growth?
Key sectors driving export growth include electronics, pharmaceuticals, electrical machinery, and automobiles.
What was the growth rate of services exports in FY25?
Services exports grew by 13.6% in FY25, reaching an all-time high of $387.6 billion.
What is the potential for agricultural exports in the next four years?
India has the potential to reach $100 billion in combined exports of agriculture, marine products, and food and beverages within the next four years.
