New Delhi – According to recent government data released on Tuesday, India’s overall trade deficit—the gap between exports and imports of both goods and services—plummeted sharply to USD 3.51 billion in June 2025, a significant decrease from USD 7.30 billion in June 2024. This improvement is largely due to faster growth in exports compared to imports.
The surge in exports was driven by strong demand from major global markets and consistent growth in India’s services sector. In June 2025, India’s total exports (including goods and services) stood at USD 67.98 billion, up from USD 63.83 billion in June 2024—registering a growth of approximately 6.5%.
Imports also rose slightly during the same period, reaching USD 71.50 billion in June 2025 compared to USD 71.14 billion in the previous year. This marginal increase suggests stable domestic demand alongside the benefit of declining global commodity prices.
Quoting experts, ANI reported that the narrowing trade gap is a positive indicator for India’s current account balanceand reflects overall economic resilience.
This trend of improvement isn’t confined to June alone. In May 2025, the country’s trade deficit also dropped significantly to USD 6.62 billion, compared to USD 9.35 billion in May 2024. Exports in May 2025 rose to USD 71.12 billion, marking a 2.77% year-on-year increase from USD 69.20 billion the previous year.
Several government policy measures have contributed to this improved trade performance. One of the most impactful among them is the Production Linked Incentive (PLI) scheme, implemented across 14 critical sectors, including electronics, telecom, and electric vehicle batteries.
The government has set an ambitious target of achieving USD 1 trillion in exports in the ongoing financial year 2025–26. Moreover, upcoming Free Trade Agreements (FTAs) with various countries are expected to further fuel export growth and contribute positively to the nation’s economic outlook.
