India's Exports Climb Over 5% Despite Global Trade Headwinds: PHDCCI
The growth was led by a spike in shipments of electronic goods, which surged 54.1 per cent, followed by marine products (26.8 per cent), organic and inorganic chemicals (16 per cent), drugs and pharmaceuticals (7.4 per cent), and readymade garments (11.3 per cent)
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India's combined merchandise and services exports rose 5.75 per cent year-on-year in the months of April-May in FY 2025, signaling sustained resilience in external trade despite a turbulent global economic environment. The total value of exports reached USD 142.4 billion during April-May 2025, up from USD 134.6 billion in the same period last year, according to a press release issued by the PHD Chamber of Commerce and Industry (PHDCCI).
The growth is underpinned by a 3 per cent uptick in merchandise exports and a strong 9.1 per cent surge in services exports, reflecting India's steady grip on both traditional and emerging trade sectors. "This resilient exports growth is driven by positive momentum of 3 per cent in merchandise and 9.1 per cent in services exports during the same period," said Hemant Jain, president of PHDCCI.
In May 2025 alone, India's overall exports stood at USD 71.12 billion, a 2.7 per cent increase compared to May 2024. The growth was led by a spike in shipments of electronic goods, which surged 54.1 per cent, followed by marine products (26.8 per cent), organic and inorganic chemicals (16 per cent), drugs and pharmaceuticals (7.4 per cent), and readymade garments (11.3 per cent).
Meanwhile, imports in several key categories saw a contraction, offering some relief to the trade deficit. Notable declines were reported in the import of pulses, transport equipment, fertilizers, crude oil, coal, gold, and vegetable oils.
Jain noted that India's trade performance remains firm even amid global trade uncertainties, particularly with respect to the United States. "Amid USA trade policy uncertainty, India's trade relations remained resilient as exports to the USA grew by over 20 per cent during April-May 2025 vis-a-vis April-May 2024," he said. Other key export destinations also recorded sharp increases, with shipments to Australia jumping over 50 per cent, Oman 40.9 per cent, China 18.7 per cent, and the UAE 12.3 per cent.
Looking ahead, PHDCCI projects a strong outlook for India's export performance, citing supportive government policies and a push for market diversification. "We anticipate exports to grow robustly and resiliently supported by government continuous efforts to diversify the export market and boost India's exports competitiveness with initiatives like the recent restoration of RoDTEP benefits," Jain added.
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