Latest trade figures reveal a major expansion in India’s export portfolio

India’s merchandise exports in the fiscal year 2024-25 were significantly bolstered by agriculture, pharmaceuticals, electronics, and engineering goods, which collectively contributed over 50 percent of the total, govt data released on May 16 showed. 

The new data is being seen as a clear pointer to the success of the government’s ongoing efforts to widen the country’s exports basket and boost manufacturing and increase value-added exports. 

The engineering goods sector emerged as the most significant contributor, accounting for 26.67 percent of India’s total exports, which amounted to USD 437.42 billion in 2024-25. Meanwhile, agriculture, pharmaceuticals, and electronics made up 11.85 percent, 6.96 percent, and 8.82 percent, respectively. 

Notably, the electronic goods sector achieved the highest growth rate in exports, soaring by 32.46 percent from USD 29.12 billion in 2023-24 to USD 38.58 billion in 2024-25. In the previous fiscal year, exports stood at USD 23.6 billion in 2022-23 and USD 15.7 billion in 2021-22.

Within electronics, computer hardware and peripherals, which represent 3.8 percent of the sector, experienced a remarkable doubling in growth, increasing from USD 0.7 billion to USD 1.4 billion. The primary markets for electronic goods included the UAE, the US, the Netherlands, the UK, and Italy. 

Shipments of engineering goods grew by 6.74 percent year-on-year, reaching USD 116.67 billion. The export of drugs and pharmaceuticals saw an increase of 9.4 percent, amounting to USD 30.47 billion, while the agri and allied sectors recorded a rise of 7.36 percent, totaling USD 51.86 billion in 2024-25. 

The leading destinations for engineering exports were the US, UAE, Saudi Arabia, the UK, and Germany. Historical data indicates that from 2014-15 to 2020-21, exports in this category fluctuated between USD 73 billion and USD 83 billion. A significant rise occurred in 2021-22 when exports surged to USD 112.2 billion, consistently remaining above the USD 100 billion mark since then. 

The new data also showed that Indian pharmaceuticals are now reaching over 200 countries, continuing a trend of steady growth since 2014-15. 

In the agricultural sector, several key commodities showed promising growth rates, including spices, coffee, tea, tobacco, rice, fruits and vegetables, and marine products. Spice exports increased slightly, reaching USD 4.45 billion in 2024-25, up from USD 4.25 billion the previous year. 

The top destinations for these spices included China, the US, the UAE, Bangladesh, and Thailand, with leading products such as chili, cumin, turmeric, and ginger. 

In contrast, India’s coffee exports rose to USD 1.81 billion from USD 1.29 billion in 2023-24. As the seventh-largest coffee producer worldwide, India predominantly exported Robusta coffee to countries like Italy, Russia, Germany, the UAE, Belgium, and the USA. Karnataka is the top coffee-producing state, followed closely by Kerala, with various coffee types enjoying geographical indication (GI) status

Tea exports also saw growth, increasing to USD 0.92 billion in FY25 from USD 0.83 billion in FY24. The major tea-producing states in India include Assam, West Bengal, Tamil Nadu, and Kerala, with a significant 81 percent of production consumed domestically. Additionally, tobacco exports rose to USD 1.98 billion in 2024-25, compared to USD 1.45 billion in 2023-24.

India ranks as the second-largest tobacco producer globally, with major export markets in the UAE, Belgium, Indonesia, Egypt, the USA, and Turkey. The tobacco sector provides jobs for approximately 45.7 million people, with production primarily concentrated in Gujarat, Andhra Pradesh, Uttar Pradesh, and Karnataka. 

India’s rice exports achieved a record high of USD 12.5 billion in FY25, up from USD 10.4 billion in 2023-24, solidifying the nation’s position as the top global rice exporter with nearly a 40 percent market share. Key export destinations for rice included Saudi Arabia, Iran, Iraq, the UAE, the USA, and Yemen. 

Furthermore, exports of fruits and vegetables rose to USD 3.9 billion from USD 3.7 billion in the previous year. Grapes, pomegranates, mangoes, bananas, oranges, onions, potatoes, tomatoes, mixed vegetables, and green chilies were among the products exported, with Bangladesh, the UAE, the Netherlands, Nepal, and Malaysia being the largest importers. 

Lastly, exports of marine products were valued at USD 7.2 billion in FY25. The number of countries importing Indian marine products has increased from 105 in 2014-15 to 130 in 2024-25, indicating a significant expansion in this sector.