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India’s Exports Growth February 2026 – Trade Deficit and Key Sector Performance

India’s total exports (goods + services) reached about $76.13 billion in February 2026, showing over 11% growth compared to last year. However, imports grew faster, increasing the trade deficit. Key sectors like engineering goods, electronics, chemicals, and dairy products supported export growth. During April–February 2025-26, total exports crossed $790 billion with steady growth. The data highlights India’s improving export performance but also rising import dependence, making trade balance an important concern.

India released its latest trade data on 16 March 2026. It shows performance of exports and imports for February 2026 and April–February 2025-26.

In February 2026:

  • Total exports were $76.13 billion
  • Total imports were $80.09 billion
  • Trade deficit was $3.96 billion

Exports increased by 11.05%, but imports grew faster at 21.64%. This widened the trade deficit.

Key sectors driving exports:

  • Engineering goods (12.90% growth)
  • Electronic goods (10.37%)
  • Chemicals (6.85%)
  • Gems & jewellery (4.08%)
  • Meat and dairy (22.66%)

For April–February 2025-26:

  • Total exports: $790.86 billion
  • Total imports: $900.51 billion
  • Trade deficit: $109.64 billion

Services sector performed strongly with a surplus of about $200.96 billion.

Top export destinations showing growth include China, USA, UAE, Spain, and Hong Kong.

This data is important for understanding:

  • Balance of Payments
  • Foreign trade trends
  • Economic growth

Rising imports and trade deficit remain key concerns for India’s economy.

🔑 Key Points

  • Exports grew but imports increased faster
  • Trade deficit widened in 2026
  • Services sector shows strong surplus
  • Engineering and electronics lead exports
  • Non-petroleum exports increasing steadily
  • China, USA major trade partners
  • RBI provides services trade estimates
  • Trade data released by Commerce Ministry

🧠 Concept Link (Very Important)

  • Trade Balance = Exports – Imports
  • Trade Deficit occurs when imports exceed exports
  • Balance of Payments includes trade + capital flows
  • Current Account includes goods, services, remittances
  • Services surplus helps reduce overall deficit
  • Export diversification reduces risk

❓ Practice Questions (MCQ)

1.What was India’s total exports in February 2026?
A) $68 billion
B) $70 billion
C) $76.13 billion
D) $80 billion

Answer: C

2.Which sector showed highest growth in February 2026 exports?
A) Gems & Jewellery
B) Engineering Goods
C) Rice
D) Textiles

Answer: B

3.Trade deficit means:
A) Exports > Imports
B) Imports > Exports
C) No trade
D) Equal trade

Answer: B

4.Which organisation releases services trade estimates?
A) NITI Aayog
B) RBI
C) SEBI
D) NABARD

Answer: B

5.Which country is a major export destination for India?
A) Brazil
B) China
C) Nepal
D) Egypt

Answer: B

📜 Previous Year Question (Similar Type)

1. What is meant by Current Account Deficit (UPSC)?
Answer: When total imports of goods, services exceed exports

2. Which sector contributes most to India’s services exports?
Answer: IT and software services

⚠️ Examiner Trap

Students often confuse trade deficit with fiscal deficit.
Trade deficit is external sector; fiscal deficit is government budget gap.

🧭 Exam Tip

Focus on trade deficit numbers, sectors, and concepts like BoP. Questions often combine data + concept.

🏷️ Topics Covered

  • Trade Deficit
  • Exports
  • Imports
  • Balance of Payments
  • Services Sector
  • Commerce Ministry
  • RBI
  • Engineering Goods
  • International Trade
  • Economic Indicators