India's exports surge 45% to five-year high in October, but trade deficit widens to $39.88 billion

India recorded a 45.1 per cent surge in export to $49.47 billion in October,

the fastest monthly growth in five years, even as the trade deficit widened to a one-year high of $39.88 billion, as festive-season gold purchases and higher energy costs drove up imports.

According to an analysis conducted by trade intelligence firm GTRI, engineering goods, petroleum products, electronic goods, gems and jewellery, and organic and inorganic chemicals accounted for about 83 per cent of October's growth.

Given that most of the five sectors heavily depend on imported inputs, GTRI concluded that higher global commodity and input prices likely helped lift dollar export values, particularly for petroleum products.

Geographically, sharp bilateral spikes were seen to the US (+48 per cent) and Singapore (+169 per cent) underscoring strong external pull.

October import values rose 57 per cent for petroleum products, 50 per cent for electronic components, 63.6 per cent for rough diamonds and 36.2 per cent for organic and inorganic chemicals.

The trade deficit last hit a record $42.58 billion in October 2025. Last month, gold imports more than tripled to $5.51 billion from $1.8 billion in September, as jewellers

and consumers stepped up purchases ahead of Diwali.

India's services exports were estimated at $40.51 billion in October and imports at $20.72 billion, resulting in a services trade surplus of $19.79 billion, commerce ministry data showed.

Commenting on the trade numbers, commerce secretary Rajesh Agrawal said the growth in merchandise export was broad based.

"Forty-three of our top 50 export destinations posted positive growth in October," he said.

India's overall shipment, trade and services together, jumped 29.9 per cent to record India's highest ever monthly export value at $89.99 billion, Agrawal observed. On a combined basis, trade deficit narrowed to $20.09 billion in October.