India's services exports have expanded at a compound annual growth rate of 9.3% over the past 12 years, significantly outpacing the growth of goods exports, which have increased at barely a third of that rate. This trend highlights the country's growing reliance on information technology and services for economic growth, even as policymakers continue to push for a stronger manufacturing sector.

According to a report from Nikkei Asia dated July 16, 2026, India's services exports are on the verge of surpassing merchandise exports for the first time. This shift underscores the limits of the manufacturing push in transforming India into a manufacturing powerhouse.

The data and analysis were reported from Bengaluru and sourced from Reuters.

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