India's imports of goods from countries with which it has a free trade agreement like the UAE, South Korea, and Australia grew about 38 per cent during the 2019-24 fiscal year to USD 187.92 billion, according to think tank GTRI.
On the other hand, the country's exports to the FTA (free trade agreement) partners rose 14.48 per cent to USD 122.72 billion in 2023-24 from USD 107.20 billion in 2018-19.
"From FY'2019 to FY'2024, India's imports increased by 37.97 per cent, from USD 136.20 billion to USD 187.92 billion. This growth highlights the significant and varied impact of free trade agreements on India's global trade dynamics," the Global Trade Research Initiative data showed.
According to the data, India's exports to the UAE increased by 18.25 per cent to USD 35.63 billion in 2023-24 as against USD 30.13 billion in 2018-19, while imports surged 61.21 per cent, from USD 29.79 billion in FY2019 to USD 48.02 billion in the last fiscal.
The FTA between India and the UAE came into effect in May 2022.
Similarly, the country's exports to Australia, with which the interim trade pact came into force in December 2022, more than doubled to USD 7.94 billion in 2023-24 from USD 3.52 billion in 2018-19.
Imports from Australia grew 23.06 per cent from USD 13.13 billion to USD 16.16 billion in the last fiscal.
Exports to the 10-nation Southeast Asian bloc ASEAN increased by about 10 per cent to USD 41.21 billion in the last fiscal from USD 37.47 billion in FY-2019. Imports jumped by 34.3 per cent from USD 59.32 billion to USD 79.67 billion.
The data showed that India's outbound shipments to South Korea rose by 36.38 per cent during the last five fiscal years from USD 4.71 billion to USD 6.42 billion, and imports increased by 26.12 per cent from USD 16.76 billion to USD 21.14 billion.
India and South Korea's comprehensive economic partnership agreement came into force in 2011.
Exports to Japan showed a modest increase of 6.06 per cent, from USD 4.86 billion in 2018-19 to USD 5.16 billion in 2023-24, while imports rose by 38.56 per cent from USD 12.77 billion to USD 17.70 billion. India-Japan FTA was implemented in 2011.
Overall, India ranked 17th globally in exports, with a 1.8 per cent share in world trade. On the import front, the country is ranked 8th, holding a 2.8 per cent share in global trade.
India's merchandise exports in 2023-24 fell 3.11 per cent to USD 437.1 billion, while imports declined by 5.4 per cent to USD 677.2 billion in the last fiscal.
Ajay Srivastava is the co-founder of GTRI. He took VRS from the Government of India in March 2022. He was an Indian Trade Service officer with experience in trade policy-making, WTO, and FTA negotiations.
