NEW DELHI, Oct. 16 -- Notwithstanding headwinds, India's overall exports surpassed $400 billion in first half of 2025-26, posting 4.45% annualised increase registering positive growth on both goods and services, commerce secretary Rajesh Agrawal said, adding that New Delhi is actively engaged to finalise a free trade agreement with the European Union soon, while its team is already in the US to discuss "pathways" for a mutually beneficial trade deal. Releasing trade data for the month of September and cumulative numbers for the first six months (April-September) of FY26, he said, "First six months last year (H1, FY25) we had done about $395 billion, this year (H1, FY26) it is over $413 billion. So, around $18 billion more than last year despite all headwinds. The growth story is not just services story. The growth in services has been from $182 billion (in H1, FY25) to $193 billion (H1, FY26). Whereas, in goods from $213 billion (in H1, FY25) to $220 billion (H1, FY26)." Agrawal said trade data show there has been import growth also, "largely in merchandise, however, this surge in exports enabled us to keep the overall trade deficit slightly below" than the same period of previous year. According to the data released on Wednesday, the country's trade deficit in the first half of FY26 was $59.48 billion as compared to $60.87 billion, a year before. He said imports surged particularly in the month of September 2025 because of four commodities - gold, fertiliser, silver and electronics, "however, cumulative import of gold [in H1, FY26) was below the last year", he said. India's merchandise exports grew 6.75% to $36.38 billion in September 2025, while its imports surged 16.6%, widening the trade deficit to $32.15 billion, highest in 13 months. According to the latest data, India's overall exports (goods and services combined) in September 2025 was estimated at $67.20 billion, registering about 1% growth as compared to September 2024. Overall imports in September 2025 is estimated at $83.82 billion, registering a 11.34% growth compared to the same period previous year. While granular trade data for September 2025 is awaited, Agrawal said he presumed that imports of precious metals surged because of high festive demands and fertiliser, due to robustness of agricultural activities....