Industry Predicts India's Total Exports Will Exceed $800 Billion in the Coming Months

The industry analysts, who were driven by the resilient and strong momentum of exports in the current financial year FY25, said on Friday that they are highly optimistic about India's total exports topping $800 billion in the months to come.

India's exports accelerated into over $73 billion in October from more than 61 billion in the same month last year, thereby registering above 19 per cent growth.

Cumulative total exports for April-October 2024 increased by above 7 per cent, from $436.4 billion in April-October 2023 to $468.2 billion.

The total exports of India have seen double digit growth even in the presence of headwinds by geopolitical factors.

"This strong growth is driven by a more than 20 per cent increase in exports of non-petroleum and non-gems and jewelry exports," said Hemant Jain, President, PHD Chamber of Commerce and Industry (PHDCCI).

India's merchandise exports alone saw a whopping 17.25 percent increase to $39.20 billion during October, as compared with $33.43 billion for the same period last year, according to data released by the Commerce and Industry Ministry.
Total value of merchandise export during April-October stands at $252.28 billion as compared to $244.51 billion in the same period last year.

Given the resilient and strong momentum of exports in the current financial year, we are highly optimistic that India's total exports will surpass $800 billion in the coming months," said Jain.

Non-petroleum exports in October 2024 stood at $34.61 billion with an increase of 25.63% from the corresponding figure of $27.55 billion for October 2023.

According to Aditi Nayar, Chief Economist and Head-Research and Outreach, ICRA, non-oil merchandise exports registered a jump in both sequential and year-on-year growth. It is encouraging to see sectors like electronic goods, engineering goods, chemicals, and garments leading the race.

Going ahead, we expect the current account deficit to ease to 1.2 percent of GDP in the ongoing quarter from an estimated 1.8 percent of GDP in Q2 FY25 and settle around 1.0 percent of GDP for the year as a whole, said Nayar.