Led by sustained momentum in economic activity and improving demand prospects in trading partners supported by expected global monetary easing, India’s merchandise exports are likely to grow 1.85% year-on-year to $107.5 billion in the third quarter of FY25 , India Exim Bank said Tuesday.
Non-oil exports are forecast to grow 7.39% on-year to $91.7 billion, while non-oil and non-gems and jewellery exports are forecast to amount $82.7 billion, with 7.8% growth.
“Positive growth in India’s exports could be as a result of India’s continued strong economic activity backed by sustained momentum in manufacturing and services sector, improving demand prospects in trading partners, supported by expected global monetary easing,” the bank said.
Moreover, the growth rate in total merchandise exports, non-oil exports, and non-oil & non-gems and jewellery exports, are likely to continue in last quarter of the financial year, according to the Exim bank.
However, it cautioned that the outlook is subject to risks of the middle east and west Asia crisis, intensification of protectionist policies and global supply chain disruptions.
“The outlook is, however, subject to risks of global uncertain prospects in select advanced and emerging economies, geoeconomic fragmentation…among other factors,” it said.
For the first six months of 2024-25, India’s goods exports were up 1.02% on-year at $213.22 billion.