New Delhi, Nov 2 (IANS) India’s total merchandise exports are projected to reach $141.8 billion in Q3 FY27 (October-December 2026), marking a 28.7 per cent year-on-year growth, driven by continued market and product diversification, greater utilisation of trade agreements, and sustained demand across key export destinations, according to a statement released on Monday.
Export-Import Bank of India (Exim Bank) said that India’s positive export outlook is also likely to be supported by an improving global and domestic growth outlook, strong investment activity, and exchange rate movements.
However, downside risks remain from tighter global monetary policy, and evolving trade regulations, it added.
The bank forecasted non-oil exports at $120.3 billion, up 21.9 per cent year-on-year during the quarter. Non-oil and non-gems and jewellery exports are projected to reach $106.4 billion, marking a 16.2 per cent annual increase.
Amidst global uncertainties and supply chain realignments, growth in India’s exports is expected to be supported by opportunities arising from effective utilisation of recent trade agreements with key trading partners, and continued demand in major export destinations.
India’s engineering goods exports rose 20.91 per cent year-on-year to $12.17 billion in September 2026, marking the sixth consecutive month of growth, driven by strong demand from the United States, the United Kingdom, China and South Korea.
Strong demand from these markets helped sustain double-digit export growth in September even as regional tensions and logistical challenges dragged down shipments to the UAE and Saudi Arabia.
Engineering imports of India increased 12.3 per cent to $15.6 billion, leaving a $3.43 billion engineering trade deficit.
A recent report said that India should focus on reducing import intensity in precision machinery and components, diversifying away from concentrated suppliers, and addressing market-specific frictions—such as CBAM in Europe, rising protectionism and West Asia’s logistics disruption.
—IANS
aar/pk
