Exports rise 9.5% to $73.5 billion in June, but import spike pushes trade deficit to $15.3 billion

India's exports maintained strong momentum in June, supported by robust shipments of engineering goods, electronics and gems & jewellery, although a sharp jump in imports widened the country's trade deficit during the month and the first quarter of FY27.

According to data released by the Commerce and Industry Ministry on Monday, India's total exports, including merchandise and services, rose 9.48% year-on-year to an estimated $73.45 billion in June 2026, compared with $67.09 billion a year ago. Total imports, however, climbed at a much faster pace of 26.85% to $88.76 billion, resulting in an overall trade deficit of $15.32 billion, sharply higher than $2.89 billion in June last year.

Merchandise exports increased 15.5% to $40.41 billion during the month from $34.98 billion a year earlier, while merchandise imports surged 31% to $70.84 billion, widening the merchandise trade deficit to $30.43 billion.

For the April-June quarter, cumulative exports of goods and services grew 11.37% to $232.73 billion, compared with $208.98 billion in the corresponding period last year. Total imports during the quarter rose 17.55% to $270.15 billion, taking the overall trade deficit to $37.42 billion, up from $20.85 billion a year ago.

Merchandise exports during the first quarter rose 15.92% to $129.32 billion, while imports increased to $216.18 billion from $180.31 billion a year earlier. Consequently, the merchandise trade deficit widened to $86.86 billion, compared with $68.75 billion in the same period last year.

The growth in outbound shipments was led by gems & jewellery, engineering goods, organic and inorganic chemicals, electronic goods and rice. Gems and jewellery exports jumped 34.64% year-on-year to $2.41 billion in June, while engineering goods exports rose 20.74% to $11.48 billion. Electronic goods shipments increased 18.93% to $4.93 billion, organic and inorganic chemicals grew 19.42% to $2.77 billion, and rice exports climbed 16.48% to $1 billion.

Non-petroleum exports remained resilient, rising 16.5% to $35.54 billion in June. During April-June, non-petroleum exports increased 12.44% to $106.30 billion, highlighting the broad-based strength in India's export basket beyond petroleum products.

Services exports also remained positive. Estimated services exports stood at $33.03 billion in June, up from $32.11 billion a year earlier. During the first quarter, services exports were estimated at $103.41 billion, registering a 6.16% increase over the corresponding period last year, while the services trade surplus improved to $49.43 billion.

Among export destinations, shipments to South Africa, Singapore, China, Oman and Malaysia recorded the strongest growth in June, while imports were driven primarily by higher purchases from Russia, China, the US, the UAE and Taiwan.