Chennai: India’s FY 2025 merchandise exports are likely to be around $435 billion, almost similar to last year, finds GTRI.
India’s merchandise exports rose by 3.2 per cent to $252.28 billion between April and October 2024. “Going by the current trend, India’s FY25 merchandise exports may be around $435 billion,” said Ajay Srivastava, founder, GTRI.
During FY24, India's merchandise exports stood at $437.06 billion, which was down from $451.07 billion during the previous fiscal.
The growth is weighed down by petroleum and diamond and jewellery sectors. Excluding petroleum and diamond and jewellery exports, growth stood at a robust 8.9 per cent, underscoring resilience in other categories.
Petroleum exports dropped by 14%, with European demand tapering due to disruptions in the Red Sea supply routes and elevated production costs. The diamond and jewellery sector declined by 7.7 per cent in rupee terms and 9.1 per cent in dollar terms, pressured by increased competition from lab-grown diamonds, supply chain constraints due to the Russia-Ukraine war, and diminished demand in the US market.
Readymade garments saw a notable 11.6 per cent increase, bolstered by a sharp 35 per cent spike in October exports. However, this surge may be temporary, driven in part by supply issues in Bangladesh’s textile sector.
India’s export growth remained positive across eight of its top ten trading partners, with the exceptions of China and Australia. Exports to China fell by 9.37 per cent, led by a 27.82 per cent decrease in iron ore shipments. END
