New Delhi: India strengthened export resilience in 2025-26 as cumulative exports reached USD 720.76 billion during April-January, marking a 6.15% year-on-year increase, according to official data.
Services exports remained a key driver of export resilience. During April-January 2025-26, they touched USD 354.13 billion, recording 10.57% growth over the previous year. In FY25, services exports had already reached a record USD 387.5 billion.
The government paired export growth with targeted import substitution across electronics, automobiles, pharmaceuticals and defence manufacturing. Consequently, domestic production expanded while reducing critical import dependence.
The Union Budget 2026-27 placed strong emphasis on scaling strategic and labour-intensive sectors. It announced measures covering manufacturing, Special Economic Zones, infrastructure and sector-specific reforms. Flagship initiatives included Biopharma SHAKTI, India Semiconductor Mission 2.0 and expansion of the Electronics Components Manufacturing Scheme.
Export resilience gains strength through manufacturing reforms
India’s electronics sector emerged as a standout performer. Electronics production rose from ₹1.9 lakh crore in 2014-15 to ₹11.3 lakh crore in 2024-25. Moreover, mobile manufacturing surged from ₹18,000 crore to ₹5.45 lakh crore during the same period.
Similarly, the automotive sector recorded sustained growth. Total vehicle production increased from 22,652 thousand units in FY21 to 31,028 thousand units in FY25. In parallel, domestic sales rose sharply, reflecting rising demand and localisation.
The pharmaceutical sector also reinforced export resilience. India remained the world’s third-largest pharmaceutical producer by volume. Annual turnover reached ₹4.72 lakh crore in FY25, supported by PLI schemes for bulk drugs and medical devices.
Defence manufacturing witnessed a structural shift toward self-reliance. Indigenous production rose to ₹1.54 lakh crore in FY25. At the same time, defence exports touched a record ₹23,622 crore, with products shipped to over 100 countries.
Institutional reforms further supported exporters. The Export Promotion Mission, with an outlay of ₹25,060 crore from FY26 to FY31, aims to enhance trade finance, logistics, compliance and market access. Additionally, nine free trade agreements concluded in recent years widened market access to nearly 70% of global GDP.
Officials said India’s strategy combined domestic capability building with global integration. Therefore, as manufacturing depth increases and services expand, export resilience is expected to remain central to India’s growth trajectory toward Viksit Bharat 2047.
