Blitz Bureau
NEW DELHI: During the fourth quarter of FY25 (i.e. January – March 2025), India’s trade performance remained steady, with total trade at $441 billion, up 2.2 per cent compared to the same period last year.
Merchandise exports saw a modest contraction due to a decline in mineral fuels and organic chemicals, while sectors such as electrical machinery, pharmaceuticals, and cereals registered healthy growth.
These figures form part of the fourth edition of the Trade Watch Quarterly released by B B V R Subrahmanyam, CEO of NITI Aayog, in New Delhi on October 6.
In addition to providing a comprehensive analysis of India’s trade for the quarter, this edition examines the leather and footwear sector, highlighting its employment potential, export opportunities, and the need for greater competitiveness in global markets.
Imports rose marginally, supported by higher demand for nuclear reactors, electrical machinery, and inorganic chemicals. Regionally, North America emerged as the strongest export market, growing by 25 per cent and accounting for a quarter of India’s exports, while exports to the EU, GCC, and Asean moderated.
On the import side, the UAE overtook Russia as India’s second-largest supplier, driven by gold inflows under CEPA, while imports from China surged on strong demand for electronics.
This edition of Trade Watch Quarterly also assesses India’s leather and footwear exports, which employs 4.4 million people and contributes significantly to exports. India remains competitive in processed leathers and niche apparel, but its overall share in the $296 billion global market is modest at 1.8 per cent.
With global demand shifting rapidly towards non-leather and sustainable products, India faces both challenges and opportunities. Strengthening MSMEs, investing in R&D, and aligning with green and design-driven value chains will be key to expanding India’s global footprint.
Speaking on the occasion, Subrahmanyam congratulated the team for presenting a comprehensive assessment of India’s trade dynamics, noting that services exports, aerospace, and high-value manufacturing are driving resilience.
He stressed that India must adapt quickly to evolving demand patterns, diversify its export base, and enhance competitiveness in non-leather footwear and global value chains, while closely monitoring geopolitical shifts in trade.