Piyush Goyal Calls for FTAs to Boost India’s Exports

22 May 2026: Commerce Minister Piyush Goyal recently called on Indian industries to utilise opportunities emerging from India’s free-trade agreements (FTAs) to support export growth rather than only increasing imports.

“Unless industries strengthen global engagements, invite investments and promote exports, we can jolly well end up in a situation where more imports come in,” Goyal said.

The remarks come ahead of the expected rollout of India’s FTA with Oman on June 1. Trade agreements with the United Kingdom, the European Union and New Zealand are also expected to become operational later this year.

“Every few months, an FTA will come into force,” Goyal said at Assocham’s India Business Reform Summit in Delhi. He advised exporters to undertake sampling and trial orders to build stronger engagement with partner countries even before agreements become active.

The minister noted that India has previously experienced imports growing faster than exports after implementation of several trade agreements, including the new-generation pact with the UAE and agreements signed over the past decade with the Association of Southeast Asian Nations (Asean) and South Korea.

According to trade data cited in the report, India’s trade deficit with the UAE increased from $17.65 billion in 2021 to $28.60 billion in 2025. Exports to the UAE rose from $25.38 billion in 2021 to $38.59 billion in 2025, while imports increased from $43.03 billion to $67.19 billion during the same period.

Trade figures with South Korea also showed a widening deficit, increasing from $4.46 billion in 2009 to $15.15 billion in 2025. Imports from South Korea rose from $8.23 billion in 2009 to $21.16 billion in 2025, while exports moved from $3.77 billion to $6.02 billion.

India’s trade deficit with Asean countries increased from $5.96 billion in 2009 to $53.39 billion in 2025. Imports from the bloc reached $87.16 billion in 2025, while exports stood at $33.77 billion.

While India’s exports to the UAE have increased by $13 billion over the past four years, imports have risen by $24 billion, the report noted. The government has already sought a review of trade agreements with Asean and South Korea due to widening imbalances.

“I am looking for greater exports in value-added products, automobiles, and auto components, for example,” Goyal said. “We are looking for greater exports in electronics finished goods, and consumer goods,” he added.

“If we need high-quality precision goods, they will need to be imported. They are enablers for the India growth story, and I don’t think we should be worried about such productive imports,” he said.