India’s exports to free trade agreement countries surged by 25% in the April-June quarter, outpacing total export growth and highlighting the effectiveness of trade pacts in expanding Indian market access.
India’s exports to countries covered by free trade agreements rose sharply in the first quarter of the current fiscal year, reinforcing the government’s argument that trade pacts are helping Indian businesses gain faster access to overseas markets. Commerce ministry figures placed merchandise exports to FTA partners at $43.14 billion in April to June, up 25% from $34.65 billion a year earlier, according to data cited in Parliament and reported by the Economic Times.
That outpaced India’s overall export growth in the period, which rose 16% to $129.32 billion from $111.57 billion, and lifted the share of FTA destinations in total exports to 33.4% from 31.1%, the ministry said. The increase comes after a period in which India’s exports to some FTA partners had been under pressure, with the Indian Express reporting that shipments to such markets fell in three straight quarters earlier in the last financial year.
The government has also sought to show that the wider trade strategy is feeding through into the numbers over a longer horizon. In the fiscal year 2025-26, FTA partner countries and blocs accounted for 40.5% of India’s merchandise exports, worth $179.1 billion, according to Outlook Business. That expansion was linked in part to pacts with the United Arab Emirates and Australia, which boosted shipments after the Comprehensive Economic Partnership Agreement and the Economic Cooperation and Trade Agreement took effect.
Officials also pointed to a stronger export base more broadly, with India posting record overall exports of $863.1 billion in 2025-26, including $441.8 billion in merchandise and $421.3 billion in services, according to government data released through the Press Information Bureau. The same data showed production-linked incentive schemes had been extended to 14 sectors by March 31, 2026, with 892 applications approved and investment of about ₹2.4 lakh crore, while the Economic Times reported that ₹35,354 crore had been disbursed under the programme and more than 14.15 lakh jobs created.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
