India’s Exports Surge 25% In August, Trade Deficit Shrinks To $9.41 Billion

India’s trade deficit narrowed to $9.41 billion in August 2026, from $11.62 billion a year earlier, as exports grew faster than imports, according to official trade data.

India’s overall exports, including merchandise and services, rose 25.41 per cent year-on-year to an estimated $82.68 billion in August, compared with $65.93 billion in August 2025. Imports also increased to $92.09 billion from $77.55 billion a year earlier.

The stronger export growth helped contain India’s trade gap despite a rise in the overall import bill.

Merchandise exports were a key driver of the increase. They rose 26.12 per cent in dollar terms to $43.81 billion in August, compared with $34.74 billion in the same month last year.

In rupee terms, merchandise exports jumped 37.59 per cent to Rs 4.18 lakh crore, from Rs 3.04 lakh crore a year earlier.

Merchandise imports, meanwhile, increased at a slower pace, rising to $70.67 billion in August 2026 from $61.96 billion in August 2025.

Services exports also continued to support India’s overall export performance. Services exports were estimated at $38.87 billion in August, up 24.61 per cent from $31.19 billion a year earlier.

In rupee terms, services exports rose to Rs 3.71 lakh crore, compared with Rs 2.73 lakh crore in August 2025. Services imports also increased to $21.42 billion from $15.59 billion during the same period.

Taken together, India’s overall exports in rupee terms are estimated to have grown 36.81 per cent year-on-year to Rs 7.89 lakh crore in August 2026, compared with Rs 5.77 lakh crore a year earlier.

The latest figures point to a broad based increase in exports, with both merchandise shipments and services contributing to the improvement in India’s external trade position.