India’s exports surge 23% as September trade gap narrows

India’s merchandise exports reached $44.4 billion in September, outpacing imports and narrowing the monthly trade deficit to $30.21 billion.

India’s merchandise exports rose sharply in September 2026, climbing 23.04% from a year earlier to $44.4 billion, as the country’s trade deficit narrowed to $30.21 billion, government data released on Thursday showed. Imports also increased, though more modestly, rising 8% to $74.61 billion, leaving the monthly gap smaller than the $33 billion recorded in September 2025.

The latest figures suggest external demand remains relatively firm even as India continues to import heavily, particularly in categories such as energy and other high-value goods that can move the trade balance month to month. Economists had expected a deficit of about $30.4 billion, according to reports by The Economic Times and other local media, making the latest reading slightly better than forecasts.

Commerce Secretary Rajesh Agarwal said in a briefing that exports were “maintaining their growth trend”, underscoring what officials see as steady momentum in outbound shipments. For the first six months of the fiscal year, April to September, exports rose 18.51% to $259.89 billion, while imports climbed 16.31% to $437.53 billion, according to the commerce ministry data reported by Business Standard and The Hindu BusinessLine.

A wider picture is visible when services are included. The Tribune reported that India’s overall exports of goods and services rose 10.99% to an estimated $80.75 billion in September, while overall imports increased to $94.05 billion, narrowing the combined trade deficit to $13.30 billion. That points to the continued importance of India’s services surplus in offsetting pressure from the merchandise trade gap, even as monthly trade figures remain sensitive to swings in crude oil and gold purchases.