Indian trade sees merchandise exports dip, deficit narrows

Business Jun 16, 2025

India's total exports (goods plus services) grew by just 2.77% in May 2025, hitting $71.12 billion. Services exports rose to $32.39 billion, but merchandise (physical goods) exports slipped slightly compared to last year.

Total exports for FY25 hit record $824.9 billion

With imports dropping to $77.75 billion, India's trade deficit narrowed to $6.62 billion—an improvement from last year's $9.35 billion gap. For the full fiscal year, India actually hit a record: total exports reached $824.9 billion, beating government targets thanks largely to strong services growth—even though the overall trade deficit for the year widened due to higher imports.