India’s merchandise exports rise 23% to $44.4 billion in September; trade deficit narrows to $30.21 billion

India shipped goods worth $44.40 billion overseas in September 2026, a jump of roughly 23 per cent over the $36.08 billion recorded in the same month last year, according to figures released by the Ministry of Commerce and Industry on Thursday, 15 October.

Inbound shipments grew at a slower pace of about 8 per cent to $74.61 billion, against $69.08 billion a year earlier. Because outward shipments outpaced purchases from abroad, the monthly merchandise trade gap shrank to $30.21 billion from $33 billion in September 2025.

What drove the September numbers

Officials and reports pointed to a broad base of growth. Electronic goods, engineering products, petroleum products, chemicals and farm goods were among the categories that contributed, according to the ministry data reported by ANI.

• Electronics exports climbed about 70 per cent to $5.31 billion, as per The Policy Edge.
• Engineering goods rose nearly 21 per cent to $12.17 billion.
• Non-petroleum exports increased to $38.18 billion from $31.37 billion.

Commerce Secretary Rajesh Agrawal, speaking at a press briefing, said September merchandise exports were “23.04 per cent higher than last September,” according to ANI. He also noted that the second quarter of the year had done better than the first.

Goods and services combined

When estimated services trade is added, India’s total exports for September came to $80.75 billion, up nearly 11 per cent, while total imports stood at $94.05 billion. The combined trade deficit eased to $13.30 billion from $14.17 billion. The services figures for September are provisional estimates, since the latest Reserve Bank of India data on services covers only August.

According to ANI, overall exports for the July–September quarter were estimated at $242.6 billion, which the ministry described as the highest ever for a second quarter.

First-half picture is less favourable

Over April–September 2026, the first half of 2026-27, merchandise exports added up to $259.89 billion, an increase of 18.51 per cent. Merchandise imports, however, reached $437.53 billion, up 16.31 per cent, leaving a goods deficit of about $177.64 billion for the six months.

• Combined (goods and services) exports in the first half: $476.20 billion, up 13.84 per cent.
• Combined imports: $551.13 billion, up 15.68 per cent.
• Overall first-half trade deficit: $74.93 billion, wider than $58.10 billion a year ago.

The Policy Edge noted that while the September gap narrowed, faster growth in combined imports over the half-year has widened the cumulative deficit. Services provided a cushion, with a surplus of about $102.71 billion in the period.

Sources: Business Today, Devdiscourse (ANI), The Policy Edge