Trade Watch Quarterly

NITI Aayog’s Trade Watch Q3 FY25 highlights resilient exports, widening trade deficit, and India's rise as a top global exporter of digitally delivered services.

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Context

  • Recently, NITI Aayog released the third edition of its flagship publication, Trade Watch Quarterly, for the third quarter of FY 2024-25 (October-December, 2024)

Key Highlights

  • Despite geopolitical headwinds, India's trade performance in Q3 FY25 showed cautious resilience:
  • Merchandise exports grew by 3%, reaching $108 billion. 
  • Imports increased by 6.5% to $187 billion, widening the trade deficit. 
  • A robust services surplus of $52 billion, driven by 17% growth in services exports, helped offset the merchandise gap.

Export Composition Trends:

  • India emerged as the 5th largest exporter of Digitally Delivered Services (DDS), clocking $269 billion in 2024.
  • Aircraft, spacecraft, and related parts entered the top export list with over 200% YoY growth.
  • High-tech exports especially in electrical machinery and arms/ammunition, have grown at a CAGR of 10.6% since 2014. 

About NITI Ayog

  • Established on January 1, 2015, NITI Aayog (National Institution for Transforming India) replaced the Planning Commission as the premier policy think tank of the Government of India. 
  •  It aims to drive economic development, promote cooperative federalism, and enable state participation in national policymaking. 

Composition

  • Chairperson: PM of India →Vice Chairperson: Appointed by the PM
  • CEO: Appointed by PM; holds Secretary rank.
  • Full-Time Members: Subject matter experts in key fields 
  • Ex-Officio Members: Up to four Union Ministers 
  • Governing Council: Includes CMs of States, LGs of UTs, and PM (as Chair) 
  • Special Invitees: UT administrators and domain experts 
  • Regional Councils: Formed for addressing specific regional challenges 


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