Page 29 - Policy Economic Report- June'26

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

to US$ 8.42 billion in May 2026, supported by higher international crude oil prices and increased export
realizations. Engineering goods exports increased by 24.48 % to US$ 12.31 billion, reaffirming the
competitiveness of India's manufacturing sector. Electronic goods exports grew by 11.62 % to US$ 5.10
billion, reflecting continued expansion in domestic electronics manufacturing, while exports of organic
and inorganic chemicals increased by 12.71 % and gems & jewelry by 6.66 %.

The services sector continued to provide significant support to India's external trade performance.
Estimated services exports increased to US$ 36.76 billion during May 2026 from US$ 32.46 billion a year
earlier, while cumulative services exports during April–May 2026–27 rose by 12.99 % to US$ 73.79 billion.
The sustained strength in services exports helped partially offset the widening merchandise trade deficit
and reinforced India's position as one of the world's leading exporters of IT, business and professional
services.

Overall, India's export performance reflects the growing diversification and resilience of its external
sector. Strong growth in engineering goods, electronics, chemicals and services, together with sustained
expansion in non-petroleum exports, underscores India's improving competitiveness in higher value-
added sectors. Going forward, export performance will continue to depend on the pace of global
economic recovery, international commodity prices, geopolitical developments, and the resilience of key
manufacturing and services industries.

Table 2: Trade during May 2026

Source - Ministry of Commerce & Industry

Figure 16: Total Trade during May 2026

Source - Ministry of Commerce & Industry Page | 28

June 2026