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India’s FTAs: Rising Deficits, but a New Electronics Export Story

6 March 2026

India’s FTAs: Rising Deficits, but a New Electronics Export Story

The NITI Aayog’s Trade Watch Quarterly highlights a paradox in India’s current trade strategy. Even as India accelerates Free Trade Agreement (FTA) negotiations to diversify exports and cushion the impact of global tariff pressures, its trade deficit with existing FTA partners has widened sharply. Between April–June 2025, the deficit rose by over 59 per cent, driven by a surge in imports and a decline in exports, particularly to ASEAN countries. Petroleum exports weakened significantl

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