India's Services Sector: Charging Towards USD 450 Billion Exports

India's services exports aim for USD 450 billion by the next financial year, surpassing merchandise shipments. The sector grew by 14.1% to USD 354.9 billion in 2024-25. Led by IT and emerging areas like tourism and financial services, the industry's growth targets remain ambitious amidst global trade fluctuations.

India's services exports are on track to reach a remarkable USD 450 billion by the next financial year, overtaking merchandise shipments, according to Commerce and Industry Minister Piyush Goyal. As global trade faces challenges, the services sector, with its soaring growth, aims to eclipse goods exports.

For 2025-26, the target for services exports stands at USD 450 billion, while aiming for around USD 385-390 billion in the current fiscal year. In 2023-24, the services exports reached USD 341 billion, marking a 4.85% increase from the previous year. In the April-February period of 2024-25, the sector experienced a 14.1% rise to USD 354.9 billion.

While goods exports showed minimal growth, the minister emphasized ambitious targets for services. With new technologies and Global Capability Centres, especially in IT and ITeS sectors, India sees a feasible 15-18% growth rate in services exports. The preference remains for remote services delivery, benefiting India's economy through salary retention and tax collection.

(With inputs from agencies.)