Growing manufacturing capabilities and export diversification helped, says Ralhan
The growth in merchandise exports in April 2026 demonstrates the underlying strength and adaptability of Indian exporters amid an increasingly uncertain global trade environment, said S C Ralhan, President of the Federation of Indian Export Organisations (FIEO) on 15 May.
He shared the market views as India’s merchandise exports registered an impressive increase in April 2026, reflecting the resilience and competitiveness of the country’s export sector despite challenging global economic conditions and geopolitical uncertainties. India’s merchandise exports rose to US$43.56 billion in April 2026 from US$38.28 billion in April 2025, while imports increased sharply to US$71.94 billion from US$65.38 billion during the same period last year.
India’s overall exports of goods and services are estimated at US$80.80 billion during April 2026.
“Despite geopolitical tensions, supply chain disruptions and rising logistics costs, Indian exporters have continued to perform strongly across key sectors,” said Ralhan.
However, India’s merchandise trade deficit widened to US$28.38 billion in April 2026. FIEO Chief said that the widening deficit has largely been attributed to the ongoing conflict in the Middle East, which disrupted global shipping routes, elevated freight and energy costs, and significantly impacted India’s import bill.
Ralhan further added that the sharp rise in imports, particularly petroleum and electronic goods, coupled with elevated energy prices due to the Middle East conflict, has also added to the woes of the widened the trade deficit. However, robust overall exports of goods and services at US$80.80 billion indicate that India’s external sector continues to remain on a stable footing.
Ralhan emphasized that engineering goods, electronics, pharmaceuticals and textiles continue to drive export growth and reflect India’s growing manufacturing capabilities and diversification in global markets.
India’s top export items during April 2026 included Engineering Goods, Petroleum Products, Electronic Goods, Drugs & Pharmaceuticals, Organic & Inorganic Chemicals, Gems & Jewellery, RMG of All Textiles, Rice, Cotton Yarn/Fabs/Made-ups/Handloom Products and Plastic & Linoleum products. Which India’s major import items included Petroleum Crude & Products, Electronic Goods, Gold, Machinery (Electrical & Non-Electrical), Transport Equipment, Non-Ferrous Metals, Coal/Coke/Briquettes, Organic & Inorganic Chemicals, Artificial Resins/Plastic Materials and Vegetable Oil.
The top export destinations for India during April 2026 were USA, Singapore, UAE, China, Bangladesh, Netherlands, Tanzania, UK, Australia and Sri Lanka, while the leading import sources included China, Russia, USA, UAE, Saudi Arabia, South Korea, Japan, Singapore, Germany and Indonesia.
Ralhan also stressed the need for continued policy support to exporters, stable logistics supply chains and enhanced market access initiatives to sustain export momentum in the coming months.
“Going forward, India must continue focusing on export diversification, value addition, trade facilitation and strengthening of strategic trade partnerships to achieve sustained export growth and improve global competitiveness,” he reiterated. Fiinews.com
