Indian merchandise exports to the West Asian region reached $5.7 billion in July 2026, marking an 8.7% increase from the $5.24 billion recorded in July 2025. This significant rebound represents the strongest performance since the conflict in the region began in March, when exports had fallen to a low of $2.62 billion.
Export Growth and Contributing Factors
According to provisional estimates from the Department of Commerce, India's exports to West Asia stood at $5.02 billion in June 2026 and $5.27 billion in May 2026, demonstrating a consistent upward trend. Commerce Secretary Rajesh Agarwal stated that exports to West Asia are now "on an even keel."
Agarwal attributed this positive shift primarily to the operationalization of new ports, which are now handling increased cargo volumes. Notably, these include ports in Oman and two additional facilities in the United Arab Emirates, enhancing logistical capabilities and trade routes.
Subdued Imports and Diversification Efforts
Despite the strong export performance, India's merchandise imports from West Asia remain subdued. Imports in July 2026 were valued at $9.81 billion, a decrease compared to $12.4 billion in July of the previous year. While showing a slight recovery from June's $9.37 billion, they were still lower than May's $10.74 billion.
Concurrently, India is actively pursuing efforts to diversify its export markets beyond traditional partners. This fiscal year has seen new markets open for Indian goods, including Singapore, which imported $6.52 billion from India between April and June 2026. Other emerging markets include Tanzania ($2.91 billion), South Africa ($3.15 billion), and Sri Lanka ($2.35 billion).
Furthermore, India's exports to China have risen by $1.2 billion to $5.59 billion in the first quarter of this fiscal year. The commerce ministry also highlighted increased exports to countries such as Malaysia, Hong Kong, Vietnam, Italy, Kenya, Jordan, Turkey, Australia, Spain, and Bangladesh. The United States continues to be India's largest export market, with exports rising to $34.49 billion in July 2026 from $33.48 billion a year ago.