Synopsis: From technology and manufacturing to agriculture and seafood, India’s export economy is fueled by diverse regional strengths. Discover the six states contributing the most to the nation’s exports and the industries that have made them leaders in global trade.
Karnataka has again become the top software service exporter in India with software exports valued at $173 billion for FY25. States such as Maharashtra, Tamilnadu, Gujarat, Uttar Pradesh, and Andhra Pradesh, also contribute to the exports of the country.
Karnataka: India’s powerhouse of software exports
Karnataka became India’s largest software services exporter in FY25 with software exports valued at $173 billion. The state has contributed almost 38% of the total software exports of the country, making it the biggest contributor to India’s IT and IT enabled services sector. Bengaluru is the key to this success with the presence of more than 1,900 Global Capability Centres (GCCs) and more than 40% of tech startups in India.
In addition to software, Karnataka exported goods worth more than $30 billion annually with engineering goods as its primary products, followed by electronics, aerospace components, biotechnology products and coffee. The state is also emerging as a hub for electronics manufacturing accounting for almost 40% of India’s electronics exports.
Maharashtra: Diversified export economy
Maharashtra continues to be the top state for India in terms of merchandise exports, accounting for approximately 16-18% of the total goods exports from India. The state’s goods export is estimated at more than $85 billion with the extensive industrial infrastructure and the presence of the major ports like Jawaharlal Nehru Port Authority (JNPA) and Mumbai Port.
The state’s export basket is very diversified. Maharashtra is also India’s largest exporter of gems and jewellery, with Mumbai accounting for almost 70 -75% of India’s diamond export business. The state is one of the leading exporters of pharmaceuticals, chemicals, engineering goods, machine, automotive industry and automobile parts. The state is also a big industrial hub, producing almost 15% of India’s industrial output, and around 14% of the country’s GDP.
Tamil Nadu: Manufacturing and Automobile exports
Tamil Nadu has become one of India’s biggest engines of export, accounting for $43.6 billion in merchandise exports during FY24, securing the third position in the country. As compared to other export economies which are dominated by a few sectors, Tamil Nadu has created a diversified export base across the different sectors including automobiles, electronics, engineering goods, textiles, leather and IT services.
Tamil Nadu exports approximately 44% of the telecom instruments, 40% of cotton garments, 38% of textile garments, 37% of motor vehicles, 32% of auto components, 32% of electronic machinery, and 48% of leather footwear products to the country.
Electronics manufacturers are one of the largest contributors to the growth. In FY24, Tamil Nadu emerged as India’s top electronics exporter with electronics exports totaling $9.56 billion, a whopping 78% jump from $5.37 billion in FY23. The state exported 33% of India’s total electronics goods, with the likes of Apple supplier Foxconn, Pegatron, and Tata Electronics making big investments here.
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Gujarat: Industrial and Export powerhouse
Gujarat has contributed to almost 30% of the nation’s merchandise exports during FY24, which is the highest percentage of any state. The state’s industrial strength, its long coast and its world class port infrastructure have made it a strong exporter with nearly $134 billion in exports.
The state’s exports are based on an eclectic mix of goods. Petroleum products accounted for almost 46% of Gujarat’s exports and amounted to $61.5 billion, mainly because of the massive refinery plants in Jamnagar. Gujarat is the state with the highest number of major chemical industrial centres (Dahej, Ankleshwar, Vapi and Vadodara) and is also the largest exporter of chemicals accounting for over 46% of India’s total chemical exports.
Apart from chemicals and petroleum, Gujarat is also a leader in the gems and jewellery trade business internationally. The diamonds are processed in the state where more than 80% of the diamonds are processed in Surat which is the biggest diamond cutting and polishing centre in the world.
The state accounts for almost 40% of the cargo movement in India, and has some of the busiest ports in the country such as Mundra, Kandla, Hazira and Pipavav. Gujarat is also contributing around 17% of the manufacturing output of India with only around 5% of the population of India.
Uttar Pradesh: The fastest growing export state
The state shipped out merchandise worth $20.6 billion in FY24, becoming India’s fifth largest exporter. By FY26, exports had touched a milestone for the first time, increasing 8.2% YoY to make up 5.2% of India’s total exports.
Uttar Pradesh exported electronics goods of ₹45,000 crore in FY25 as compared to ₹3,862 crore in FY17, which is over 11 times the value. In addition, IT exports stood at ₹82,000 crore.
In addition to electronics, Uttar Pradesh is also a significant exporter of leather goods, textiles, handicrafts, processed food, brassware, carpets, and agricultural goods. Over ₹10,000 crore worth of the brass goods is produced annually in Moradabad alone and the silk textile products of Varanasi, carpets of Bhadohi and leather goods of Kanpur are still in great demand in the international market.
Andhra Pradesh: Leader of Marine export in India
In FY25, Andhra Pradesh became one of India’s fastest-growing export states with merchandise exports valued at ₹1.84 lakh crore, ranking India’s top exporters. The state has also improved its ranking from 8th to 5th in the NITI Aayog’s Export Preparedness Index based on the improvement of the export ecosystem and infrastructure in the state.
Marine exports are the largest benefit of the state. About 38% of marine exports in the country comes from Andhra Pradesh and it has been the largest seafood-exporting state in India for years. Marine product exports were worth ₹28,466 crores ($3.2 billion) in FY25, and the frozen shrimp and prawns continue to be the main marine export items.
The fastest-growing exports are engineering goods, which made up 20.8% of the total exports, and marine products at 15.5%. The state is also a significant exporter of pharmaceuticals, rice, tobacco, petroleum products, ferro-alloys, spices and sugar. The pharmaceutical exports were over ₹10,875 crore in case of the pharma cluster of Visakhapatnam and above ₹5,500 crore in the case of automobile exports.
Conclusion
Karnataka has the most thriving software-intensive exports, Maharashtra has a diversified industrial base, Tamil Nadu is the leading state in advanced manufacturing, Gujarat is the powerhouse of chemical and engineering exports, Uttar Pradesh is becoming an electronics hub and Andhra Pradesh is the front-runner for marine exports. These states are collectively India’s growth hubs that are contributing to the country’s emergence as a global manufacturing and services hub.
Written by Boyapati Sai Jasmitha
