Commerce and Industry Minister Piyush Goyal has announced an ambitious goal for India's trade sector, targeting $1 trillion in total exports by the fiscal year 2026-27. This objective was outlined during a recent meeting of the Board of Trade, where the minister urged both states and industry leaders to prioritize exports and fully leverage existing free trade agreements (FTAs).
For FY27, merchandise exports are projected to grow by a significant 16-17% to reach $530 billion. Concurrently, services exports are expected to see an 11-12% increase, hitting $470 billion. This combined growth aims to push India's total exports past the $1 trillion mark, building on the $860 billion achieved in FY26, which comprised $441.78 billion in merchandise and $421 billion in services.
Utilizing Free Trade Agreements and Boosting Domestic Production
Minister Goyal emphasized the critical role of FTAs that India has signed, including those with EFTA countries, Oman, and the upcoming pact with the UK. He highlighted the UK as a particularly significant market, noting its import volume is double India's current export capacity to the region. The minister called upon industry to focus on enhancing scale, quality, and outreach to capitalize on these agreements.
During the Board of Trade meeting, the first since November 2025, Goyal outlined seven key agenda points for states and industry to bolster exports:
- Making exports a top priority.
- Utilizing the BHAVYA Scheme, which supports plug-and-play industrial parks to boost domestic manufacturing.
- Identifying import substitutes for local production to build supply chain resilience.
- Ensuring high-quality products.
- Lowering testing costs, with Export Promotion Missions financing testing and international approvals for small and micro businesses.
- Aligning state industrial policies with central objectives to achieve economies of scale.
- Encouraging industry to approach the Directorate General of Trade Remedies for complaints regarding goods dumping.
Goyal acknowledged the global challenge of rising freight costs but stressed that it impacts all exporters, not just those in India. He reiterated the government's commitment to supporting businesses in expanding into overseas markets through Export Promotion Missions and other initiatives.