India Italy Trade
India's exports to Italy reached US$ 7.79 billion in FY26 across 5,097 commodities, with engineering goods, electronics, chemicals and textiles among the major export categories.
Introduction
India-Italy bilateral relations are advancing strongly in 2026, supported by shared democratic values and expanding economic cooperation. The two countries have operationalised their 2025-2029 Joint Strategic Action Plan to deepen ties in trade, defence, technology, and innovation. Italy continues to view India as a priority partner, with strategic discussions bolstered by the India-EU Free Trade Agreement expected to further enhance economic linkages between the partners. India Italy trade has emerged as a key pillar of the bilateral relationship, with growing India Italy trade relations supporting higher bilateral trade between India and Italy, increasing India exports to Italy, Italy imports from India and expanding the India Italy economic partnership across strategic sectors.
India-Italy Trade
- Italy occupies the 19th position in foreign direct investment (FDI) equity inflows into India with a cumulative FDI amount of US$ 3.67 billion from April 2000 to March 2026.
- Italy ranks 11th in global exports and 28th in imports, highlighting its stronger position as an exporting economy than as an importing market.
- The bilateral trade between the two countries was valued at US$ 13.74 billion in FY25 and US$ 14.46 billion in FY26.
- Italy is India's 3rd largest trading partner in export in EU, after Germany and Netherland and 4th largest trading partner in import after Germany, Belgium and France. The bilateral trade between India and Italy has been growing strongly in the last three years following the economic recovery post Covid-19 pandemic.
- The Indian community in Italy (estimated at 2.5 lakh including PIOs) is the third largest community of Indians in Europe after the UK and the Netherlands.
- India ranks 14th as the country of origin of Italian imports.
- Main items of Indian exports to Israel include engineering goods, electronic goods, organic and inorganic chemicals, ready-made garments of all textiles, coffee, leather and leather manufactures, drugs and pharmaceuticals, gems and jewellery, and petroleum products.
Major exports from India to Italy
- India’s exports to Italy stood at US$ 7.79 billion in FY26.
- India exported 5,097 commodities to Italy during FY26.
- Major exported items from India include engineering goods (US$ 3.47 billion), followed by electronic goods (US$ 634.43 million), organic and inorganic chemicals (US$ 545.39 million), ready-made garments (RMG) of all textiles (US$ 398.49 million), coffee (US$ 341.27 million), leather and leather manufactures (US$ 285.82 million), drugs and pharmaceuticals (US$ 243.66 million), etc. in FY26.
Major imports by India from Italy
- Imports from Italy to India stood at US$ 6.67 billion in FY26.
- India imported 4,910 commodities from Italy in FY26.
- India’s imports from Italy include machinery, electrical and non-electrical (US$ 2.36 billion), followed by transport equipment (US$ 476.02 million), medicinal and pharmaceutical products (US$ 408.70 million), machine tools (US$ 350.66 million), iron and steel (US$ 338.08 million), chemical materials and products (US$ 323.19 million), electronic goods (US$ 277.01 million) etc. in FY26.
Recent Trends & developments
- On June 15, 2026, India and Italy reaffirmed their expanding strategic partnership by advancing trilateral cooperation in Africa through an AI Hub for Sustainable Development. The initiative, involving India, Italy and Kenya, will leverage AI in agriculture, water management, healthcare and education, while strengthening collaboration in technology, critical minerals, defence and resilient supply chains, reinforcing their shared commitment to sustainable development.
- On May 20, 2026, Prime Minister Mr. Narendra Modi met Italian Prime Minister Ms. Giorgia Meloni in Rome to review the India-Italy Joint Strategic Action Plan and strengthen cooperation in trade, investment, defence, clean energy and the India-Middle East-Europe Economic Corridor (IMEC). The visit reflected the growing strategic partnership, with both nations reaffirming their commitment to expanding economic ties and connectivity initiatives.
- On December 11, 2025, the Italy–India Business Forum 2025 was held in Mumbai during the official visit of Italy’s Deputy Prime Minister Mr. Antonio Tajani, bringing together government leaders and over 150 Indian and Italian firms to boost trade, supply chain resilience, innovation, clean mobility, advanced manufacturing, and green energy, with outcomes aimed at deeper economic linkages and expanded collaboration in high-technology sectors.
- On December 10, 2025, Italy’s Deputy Prime Minister Mr. Antonio Tajani announced a dedicated €500 million financing line to support Italian companies entering the Indian market, focusing on joint ventures, industrial collaboration and market access, and reaffirmed India as a priority partner in Italy’s global economic strategy.
- On November 28, 2025, Italy’s Ambassador to India highlighted expanded cooperation under the India–Italy Joint Strategic Action Plan 2025–2029, noting increases in trade and investments, growing Italian FDI in India with additional investments announced in the first half of 2025, and deepening collaboration across space, defence, mobility and connectivity, reflecting a broader strategic partnership.
- On November 23, 2025, Prime Minister Mr. Narendra Modi met Prime Minister Ms. Giorgia Meloni of Italy on the sidelines of the G20 Summit 2025 in Johannesburg, South Africa, where both leaders discussed enhancing bilateral cooperation in trade, investment, technology, and broader strategic partnerships.
- On November 4, 2025, at the Italy-India Business, Science and Technology Forum, Italy’s Deputy Prime Minister Antonio Tajani emphasised Italy’s intent to expand investments and trade with India, particularly in innovation, AI, space technology, defence and advanced industries, and highlighted robust bilateral trade and joint venture potential across multiple sectors.
- In October–November 2025, Italy’s Deputy Minister Mr. Edoardo Rixi participated in India Maritime Week 2025, outlining plans for enhanced maritime cooperation through digitalisation, green port reforms and Italy’s role in strengthening the Indo-Italian maritime synergy and the broader India-Middle East-Europe Economic Corridor (IMEC).
- On June 6, 2025, during the 22nd session of the India-Italy Joint Commission for Economic Cooperation (JCEC) co-chaired by Commerce Minister Mr. Piyush Goyal and Italian Deputy Prime Minister Mr. Antonio Tajani, the two nations agreed to strengthen cooperation in manufacturing, aerospace, energy transition, sustainable mobility, agriculture and food processing, and to establish joint working groups in automobile and space sectors.
- On April 12, 2025, Italy’s Deputy Prime Minister and Foreign Minister Mr. Antonio Tajani called on India’s President Ms. Droupadi Murmu in New Delhi, where both sides affirmed that the India-Italy Strategic Partnership would reach new heights, and discussed Italian universities and research centres exploring potential collaborations with Indian partners.
- On April 11, 2025, India and Italy signed an MoU under the Indo-Italian Executive Programme of Cooperation (EPOC) 2025–2027 to advance joint initiatives in quantum technologies, artificial intelligence, biotechnology and other emerging technological sectors, including collaborative research mobility and funding projects.
- In June 2025, several Italian companies expressed plans to relocate production to India, especially in West Bengal, targeting machinery, automotive parts, steel, leather, textile, and agrotech sectors.
- India and Italy’s 2025-2029 Strategic Action Plan aims to boost ties in trade, technology, green energy, defence, space, and cultural exchange. Key initiatives focus on food process, cybersecurity, education, mobility, and joint efforts in combating terrorism and advancing renewable energy solutions.
Trade and Investment
- On May 21, 2026, India and Italy elevated their ties to a Special Strategic Partnership, signing key MoUs across sectors including critical minerals, defence, technology and trade. Both countries set a target to raise bilateral trade to Rs. 2.19 lakh crore (US$ 22.78 billion) by 2029, encourage greater private investment, strengthen resilient supply chains and accelerate implementation of the India-Middle East-Europe Economic Corridor (IMEC).
- In January 2026, Italian Ambassador Mr. Antonio Bartoli stated that the India–Italy partnership is expected to be further strengthened with the conclusion of the India–EU Free Trade Agreement, positioning Italy as a key and reliable partner for India amid evolving global economic conditions.
- On December 12, 2025, SIMEST (Italy) signed an MoU with the Indian Chamber of Commerce to promote bilateral investment and facilitate closer business collaboration between Indian and Italian enterprises.
- During the Italy–India Business Forum held in Mumbai on December 11, 2025, Italy has indicated a stronger commercial push to deepen trade and investment engagement with India, aligned with ongoing negotiations on the India–EU Free Trade Agreement. As part of this strategy, Italy aims to expand its global exports to approximately US$ 820 billion (€700 billion) by 2027, with India identified as a key market for enhancing bilateral trade, investment flows and industrial collaboration. The initiative underscores growing European interest in leveraging India’s large and rapidly expanding economy.
- According to Italy’s Economic Diplomacy data, over 800 Italian companies operate in India, employing approximately 60,000 people and generating a combined turnover of about US$ 11.35 billion. These companies are present through wholly owned subsidiaries, joint ventures and commercial offices, with operations largely concentrated across major industrial hubs such as Delhi–Gurgaon–Noida, Mumbai–Pune, Chennai and Bengaluru.
- In late 2025, Italian Deputy Prime Minister Mr. Antonio Tajani signalled a deeper trade push into India, with Italy looking to expand exports and cooperation under the prospective India–EU FTA, targeting enhanced trade, innovation, research, and education linkages by 2027.
- On April 11, 2025, Union Commerce & Industry Minister Shri Piyush Goyal met Italy’s Deputy Prime Minister Antonio Tajani to strengthen bilateral trade and investment ties under the Joint Strategic Action Plan 2025–29. Both sides highlighted cooperation opportunities across pharma, textiles, Industry 4.0, gems and jewellery, shipbuilding, energy transition, and agri-tech/food processing, while noting that India–Italy bilateral trade stood at around US$ 15 billion in FY24 and cumulative Italian FDI in India has crossed US$ 4 billion since 2000.
Conclusion
India-Italy relations are on a trajectory of rapid expansion, underpinned by enhanced political dialogue, robust economic engagement, and mutual strategic interests. The launch and implementation of the Joint Strategic Action Plan 2025–2029 reflects a long-term commitment to collaborative growth across sectors including technology, defence, and innovation. Italy’s alignment with India within the broader EU-India Free Trade Agreement framework further strengthens economic and geopolitical cooperation, positioning the partnership for sustained growth and diversified cooperation. With India Italy trade continuing to expand, stronger India Italy trade relations, rising India exports to Italy and Italy imports from India are expected to further strengthen the bilateral trade between India and Italy, creating new trade opportunities between India and Italy through the growing India Italy economic partnership.
Contacts
- Embassy of India in Italy
Address: Via Sicilia 136, 00187 Rome;
Telephone: +39 064884642-3-4-5
Ms. Vani Rao (Ambassador);
Email: amb.rome@mea.gov.in
Mr. Gaurav Gandhi (Deputy Chief of Mission);
Email: dcm.rome@mea.gov.in - Embassy of Italy in India
Address: 50 E Chandragupta Marg, Chanakyapuri, New Delhi - 110 021;
Telephone: +91-11-26114355
Email: ambasciata.newdelhi@esteri.it
Mr. Antonio Bartoli (Ambassador);
Email: segramb.newdelhi@esteri.it
Ms. Aurora Russi (Deputy Head of Mission);
Email: ambasciata.newdelhi@esteri.it
FAQs
Engineering goods account for the largest share of India exports to Italy, followed by electronic goods, organic and inorganic chemicals, ready-made garments, coffee, leather products and pharmaceuticals.
India Italy trade has grown steadily following the post-pandemic recovery, supported by rising merchandise trade, stronger investments and deeper economic cooperation.
Engineering, electronics, pharmaceuticals, automotive, aerospace, energy transition, textiles and food processing are strengthening India Italy trade relations.
The Italian market offers trade opportunities between India and Italy in engineering goods, chemicals, textiles, coffee, leather products and pharmaceuticals.
Major India exports to Italy include engineering goods, electronic goods, chemicals, ready-made garments, coffee, leather products and pharmaceuticals.
The Joint Strategic Action Plan, business forums and investment partnerships strengthen the India Italy economic partnership by promoting investment, technology collaboration and market access.
Critical minerals, defence, clean energy, AI, quantum technologies, biotechnology, mobility and advanced manufacturing are expected to generate new opportunities.
The growth of India Italy trade is supported by increasing bilateral investments, strategic partnerships, business forums and ongoing India–EU FTA discussions.
Indian businesses can expand India exports to Italy by leveraging business forums, investment partnerships and opportunities arising from the India–EU FTA framework.
Emerging opportunities include products related to AI, quantum technologies, biotechnology, defence, clean energy, automotive and advanced manufacturing.
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