Exports to rebound in FY26, likely to reach $1 trn: FIEO

INDIA'S OVERALL EXPORTS are expected to reach $1 trillion this financial year, as global buyers look to diversify their sourcing amid rising tariffs.

- MUKESH JAGOTA

The shipments will be aided by more trade agreements with the most important economies coming into force, the apex body of exporters said on Tuesday.

This would mark a 21.2% increase over last year's $824.9 billion. In FY26, merchandise exports are expected to grow by 12% to reach $525-535 billion, while services exports are projected to rise 20% year-on-year to $465-475 billion, according to SC Ralhan, president of the Federation of Indian Export Organisations.

If the predictions hold true, it would mark a remarkable turnaround for goods exports, which declined by over 3% in FY24 and saw flat growth in FY25. Services exports, on the other hand, have remained relatively buoyant and are steadily increasing their share in the country's overall exports.