- India’s exports (services + merchandise) grew by ~8.5%.
- Export growth outpaced imports, sustaining trade expansion.
- Global trade growth moderated but remained positive.
- Services continued to outperform goods globally.
The report also highlights that trade among developing economies has expanded nearly fourfold since 2005, aligning with India’s growing integration with the Global South.
Thematic Focus: Electronics Trade
Electronics has emerged as the second-largest item in India’s export basket.
Key Highlights:
- India’s share in global electronics demand grew at a CAGR of 17.2% (2015–2024), compared to global growth of 4.4%.
- Electronics exports increased nearly fivefold between 2016 and 2024, reaching USD 42.1 billion.
- Global electronics trade stands at USD 4.6 trillion.
Major export destinations:
- United States
- United Kingdom
- UAE
India has established strength in:
- Mobile phones
- Consumer electronics
- Communication equipment
Policy Support
The Union Budget has allocated ₹40,000 crore under the Electronics Components Manufacturing Scheme to boost domestic production and value addition.
Future growth areas include:
- Printed circuit board design
- Semiconductor assembly and testing
- Power electronics
- Embedded systems
Role of E-Commerce
India is among the top six global e-commerce markets, with electronics accounting for nearly half of online retail.
E-commerce exports, though currently modest, are projected to contribute 20–30% of India’s merchandise exports by 2030, supported by:
- Logistics improvements
- Regulatory facilitation
- MSME participation
Significance
The report underscores that sustained competitiveness will depend on:
- Deeper integration into global value chains
- Tariff rationalisation
- Logistics efficiency
- Industry-aligned skill development
Electronics is positioned as a major driver of India’s manufacturing transformation, export growth, and technological advancement.
Exam-Oriented MCQs
Q1. NITI Aayog released the sixth edition of “Trade Watch Quarterly” for which quarter?
(a) Q1 FY 2025–26
(b) Q2 FY 2025–26
(c) Q3 FY 2024–25
(d) Q4 FY 2025–26
(e) Q1 FY 2024–25
Q2. India’s exports (services and merchandise) recorded approximately what growth in Q2 FY26?
(a) 5%
(b) 6.5%
(c) 7%
(d) 8.5%
(e) 10%
Q3. Electronics has emerged as which position in India’s export basket?
(a) Largest
(b) Second-largest
(c) Third-largest
(d) Fourth-largest
(e) Fifth-largest
Q4. India’s electronics exports reached approximately what value between 2016 and 2024?
(a) USD 25 billion
(b) USD 30 billion
(c) USD 35 billion
(d) USD 42.1 billion
(e) USD 50 billion
Q5. The Union Budget allocated ₹40,000 crore under which scheme to boost electronics manufacturing?
(a) Production Linked Incentive Scheme
(b) Digital India Scheme
(c) Electronics Components Manufacturing Scheme
(d) Make in India Electronics Mission
(e) Startup India Scheme
Q6. E-commerce exports are projected to contribute what percentage of India’s merchandise exports by 2030?
(a) 10–15%
(b) 15–20%
(c) 20–30%
(d) 30–40%
(e) 40–50%