Structural Transformation of India’s Foreign Trade

Author(s): Dr. PS Gadkar

Abstract:

India’s foreign trade structure has undergone a profound transformation since 2015, driven by domestic economic reforms, global value chain reconfiguration, technological advancement, and external shocks such as the COVID-19 pandemic and geopolitical conflicts. This study examines changes in India’s trade formation from 2015 to 2025, focusing on trade volume, sectoral composition, direction of trade, and policy framework. Using secondary data from the world trade organization, international monetary fund, World Bank, and reserve bank of India, the paper applies descriptive trend analysis and econometric modelling to evaluate the relationship between trade openness, gap growth, exchange rates, and export performance. The findings indicate a structural shift toward services-led exports, increased diversification of trading partners, and improved resilience, although persistent trade deficits and import dependence remain significant challenges. The study contributes empirical evidence relevant to policymakers and scholars concerned with India’s long-term trade sustainability.

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Pages: 85-86     |    2 View     |    2 Download