India exported US$394.8 billion worth of goods around the globe in 2023, up by 33.4% increase since 2019 and accelerating by 43.3% from 2022 to 2023.
India is a relatively small player in international trade. The value of India’s exports represent 1.8% of total world exports of $21.513 trillion for 2023.
Applying a continental lens, 45.6% of India’s exports by value were delivered to fellow Asian countries while 20.1% were sold to North American importers. India shipped another 19.2% worth of goods to Europe.
Smaller percentages went to Africa (9.6%), Latin America excluding Mexico but including the Caribbean (3.6%) then Oceania led by Australia (1.9%).
India’s Top 25 Trading Partners
Below is a list highlighting 25 of India’s top trading partners in terms of countries that imported the most Indian shipments by dollar value during 2023. Also shown is each import country’s percentage of total Indian exports.
- United States: US$75.8 billion (17.6% of India’s total exports)
- United Arab Emirates: $33 billion (7.6%)
- Netherlands: $23.1 billion (5.4%)
- mainland China: $16.3 billion (3.8%)
- United Kingdom: $13.4 billion (3.1%)
- Singapore: $12.1 billion (2.8%)
- Bangladesh: $11.3 billion (2.6%)
- Saudi Arabia: $10.8 billion (2.5%)
- Germany: $9.7 billion (2.2%)
- Hong Kong: $8.7 billion (2%)
- Italy: $8.4 billion (2%)
- South Africa: $8.03 billion (1.9%)
- Belgium: $7.97 billion (1.8%)
- Australia: $7.7 billion (1.8%)
- Türkiye: $7.6 billion (1.8%)
- Indonesia: $7.4 billion (1.7%)
- France: $7.22 billion (1.7%)
- Nepal: $7.2 billion (1.7%)
- Malaysia: $6.7 billion (1.6%)
- Brazil: $6.7 billion (1.5%)
- South Korea: $6.3 billion (1.5%)
- Israel: $6.1 billion (1.4%)
- Vietnam: $5.7 billion (1.3%)
- Mexico: $5.3 billion (1.2%)
- Japan: $5.1 billion (1.2%)
Almost three-quarters (73.5%) of Indian exports in 2023 was delivered to the above 25 trade partners.
India grew its export sales at the fastest pace to international customers in the Netherlands (up 25.1% from 2022 to 2023), United Kingdom (up 19%), mainland China (up 7.8%), Mexico (up 7%) then Saudi Arabia (up 6.8%).
Severest decliners were Brazil (down -31.3% from 2022), Indonesia (down -25%), Türkiye (down -24.3%) and Israel (down -31.3%).
Countries Causing India’s Worst Trade Deficits
India incurred an overall -US$240.6 billion trade deficit for all products during 2023, falling -14% from -$279.9 billion in red ink one year earlier.
As defined by Investopedia, a country whose total value of all imported goods is higher than its value of all exports is said to have a negative trade balance or deficit.
It would be unrealistic for any exporting nation to expect across-the-board positive trade balances with all its importing partners. That export country doesn’t necessarily post a negative trade balance with each individual partner with which it exchanges exports and imports.
India incurred the highest trade deficits with the following countries.
- mainland China: -US$105.7 billion (country-specific trade deficit in 2023)
- Russia: -$63 billion
- Iraq: -$26.4 billion
- Saudi Arabia: -$23.8 billion
- Switzerland: -$17.2 billion
- Indonesia: -$16.6 billion
- Japan: -$13.7 billion
- South Korea: -$13.3 billion
- Qatar: -$11.3 billion
- Australia: -$10.8 billion
Among India’s trading partners that cause the greatest negative trade balances, Indian deficits with Russia (up 67.1%), Japan (up 36%) and mainland China (up 21.3%) grew at the fastest pace from 2022 to 2023.
These cashflow deficiencies clearly indicate India’s competitive disadvantages with the above countries, but also represent key opportunities for India to develop country-specific strategies to strengthen its overall position in international trade.
Countries Generating India’s Biggest Trade Surpluses
Based on Investopedia’s definition of net importer, a country whose total value of all imported goods is lower than its value of all exports is said to have a positive trade balance or surplus.
India incurred the highest trade surpluses with the following countries:
- United States: US$33.7 billion (country-specific trade deficit in 2023)
- Netherlands: $20.7 billion
- Bangladesh: $9.4 billion
- United Kingdom: $6.7 billion
- Nepal: $6.4 billion
- Singapore: $5.1 billion
- Hong Kong: $5.08 billion
- Türkiye: $4.44 billion
- Israel: $4.33 billion
- Belgium: $4.3 billion
Among India’s trading partners that generate the greatest positive trade balances, Indian surpluses with the United Kingdom (up 312.8% from 2022), Netherlands (up 64.5%) and the United States of America (up 18.3%) grew from 2022 to 2023.
In addition, India reversed multi-billion-dollar deficits with Singapore and Hong Kong in 2022 to record the surpluses listed above.
These positive cashflow streams clearly indicate India’s competitive advantages with the above countries, but also represent key opportunities for India to develop country-specific strategies to optimize its overall position in international trade.
India’s Major Export Companies
India placed over 50 corporations on the Forbes Global 2000 rankings. Many of these are major Indian export companies. Below is a selection of some of the biggest Indian corporations.
- Bajaj Auto (recreational products)
- Bharat Heavy Electricals (electrical equipment)
- Bharat Petroleum (oil, gas)
- Coal India (diversified metals, mining)
- Grasim Industries (construction materials)
- Hero Motocorp (recreational products)
- Hindalco Industries (aluminum)
- Hindustan Petroleum (oil, gas)
- Indian Oil (oil, gas)
- ITC (tobacco)
- JSW Steel (iron, steel)
- Reliance Industries (oil, gas)
- Steel Authority of India (iron, steel)
- Sun Pharma Industries (pharmaceuticals)
- Tata Motors (cars, trucks)
- Tata Steel (iron, steel)
See also India’s Top 10 Major Export Companies, India’s Top 10 Imports, India’s Top 10 Exports and Top Indian Trade Balances
Research Sources:
Central Intelligence Agency, The World Factbook Country Profiles. Accessed on August 1, 2024
Forbes Global 2000 rankings, The World’s Biggest Public Companies. Accessed on August 1, 2024
International Trade Centre, Trade Map. Accessed on August 1, 2024
Investopedia, Net Importer Definition. Accessed on August 1, 2024
TradeIndia.com, Sellers by category. Accessed on August 1, 2024