Goods exports up 0.7%, trade gap widens

India’s merchandise exports edged up 0.08% to $437.42 billion in FY25, despite global headwinds, marking a new high, according to recent data. However, a surge in imports widened the trade deficit to $282.82 billion. The US remained India’s top export destination.

ITC Chairman Sanjiv Puri has urged expedited bilateral economic pacts and free trade agreements to expand India’s competitive edge amid global trade uncertainties. He has cautioned against potential dumping from countries facing tariffs and emphasised the need for agile monitoring.

The Indian government has established an inter-ministerial group to monitor potential import surges due to global trade tensions and high tariffs on countries like China and Vietnam. This move aims to prevent the diversion of goods to India and address concerns about increased inflow of US agricultural products.

India has identified ten sectors, including apparel, chemicals, and pharmaceuticals, where high US tariffs on China provide a competitive edge. The goal is to capitalize on this advantage to offset losses in other sectors.

India’s gem and jewellery exports faced a significant downturn in FY25, dropping 11.72% to $28.5 billion, primarily due to geopolitical tensions, a slowing US economy, and China’s withdrawal from diamond purchases. Cut and polished diamond exports saw a sharp 16.75% decline. The industry is now seeking tariff relief from the US to mitigate potential trade […]

The United States has ended duty-free treatment for low-value imports from China and Hong Kong, creating a significant advantage for Indian e-commerce exporters. This policy shift allows Indian businesses, particularly MSMEs, to compete more effectively in the U.S. market.

India and the United States are finalizing terms for a bilateral trade agreement, aiming for $500 billion in trade by 2030. Negotiations will address India’s restrictions on farm goods, including tariffs on staples like rice and wheat. The U.S. seeks access for corn, soybeans, and animal feed, while India has concerns about genetically modified crops […]

India’s cut and polished diamond exports hit a near two-decade low in fiscal year 2024/25 due to weak demand from the U.S. and China. This decline significantly impacted overall gem and jewelry exports, dropping them to a four-year low. Despite a March surge in exports ahead of potential U.S.

India’s crude soyabean oil imports surged to 19.11 lakh tonnes during November 2024-March 2025, more than doubling from the previous year, driven by increased shipments from Argentina, Brazil, and Russia, according to SEA. While soyabean oil imports rose sharply, overall edible oil imports saw a marginal decrease due to reduced palm and sunflower oil purchases […]

Bangladesh’s recent actions, including the closure of land ports and suspension of yarn imports from India, have negatively impacted bilateral trade. These decisions, made despite opposition from business chambers, threaten Bangladeshi SMEs and favor Pakistani imports. Consequently, India has revoked a transshipment facility for Bangladesh, excluding trade with Bhutan and Nepal, signaling a setback in […]