India's Foreign Trade Expected To Exceed $1.6 Trillion This Fiscal: Report

India's foreign trade is projected to exceed $1.6 trillion in the current fiscal year, despite uncertain global economic conditions, according to a report by an economic think tank.

The Global Trade Research Initiative (GTRI) report says the projected amount would account for roughly 48 per cent of India's nominal gross domestic product (GDP) of $3.4 trillion for the fiscal year ending March 2023.

Ajay Srivastava, GTRI co-founder, said the higher trade-to-GDP ratio speaks to India's high trade openness.

The think tank's data analysis predicts a higher growth rate for services exports than goods exports.

India's services exports' growth rate has enhanced its overall export performance, according to Srivastava.

The country's exports of goods and services are predicted to clock $755 billion in the April-March 2023 period, showing a 11.6 per cent increase from the previous year's period (April-March 2022).

India is expected to witness a 5 per cent rise in merchandise exports to reach $442 billion, as well as a surge of 22.6 per cent in services exports to reach $311.9 billion in 2022-23, according to the GTRI report.

India's foreign trade stood at $1.43 trillion in 2021-22.