May 14, 2025
India’s trade with Turkey is modest, with exports totalling US$5.2 billion and imports US$2.84 billion during Apr–Feb 2024–25, resulting in a trade surplus
Trade with Azerbaijan remains minimal, with Indian exports standing at just US$86.07 million and imports at US$1.93 million in the same period
Key exports to Turkey include mineral fuels, auto components, chemicals, and textiles, while major imports comprise marble, gold, apples, and mineral oil
India’s ties with both nations extend beyond trade, with over 4,500 Indian nationals residing in Turkey and Azerbaijan, contributing to cultural and academic exchanges
India’s trade and diplomatic relations with Turkey and Azerbaijan are poised for a period of uncertainty, following recent developments in the region. The two nations expressed support for Pakistan after India’s counter-terrorism strikes across the Line of Control, prompting a wave of concern in New Delhi.
In the aftermath of Ankara and Baku’s statements backing Islamabad, Indian sentiment has shifted sharply. Online travel companies have advised Indian citizens against visiting Turkey and Azerbaijan. Indian traders, too, have initiated informal boycotts, including a noticeable drop in the purchase of Turkish apples and marble.
India’s economic exposure to these countries remains relatively limited. Exports to Turkey totalled US$5.2 billion during April–February of FY2024–25, compared to US$6.65 billion the previous year. This represents approximately 1.5% of India’s total exports of US$437 billion. Imports from Turkey amounted to US$2.84 billion, down from US$3.78 billion, and make up around 0.5% of India’s total imports of US$720 billion.
Trade with Azerbaijan is far smaller. Exports reached US$86.07 million during the same period, slightly down from US$89.67 million in 2023–24, accounting for a mere 0.02% of India’s exports. Imports from Azerbaijan, at US$1.93 million, are negligible, though India is a significant destination for Azerbaijan’s crude oil.
India maintains a trade surplus with both Turkey and Azerbaijan. Its exports to Turkey include mineral fuels and oil (US$960 million in 2023–24), electrical machinery, automotive parts, pharmaceuticals, chemicals, textiles, and steel. Imports from Turkey feature marble (blocks and slabs), apples (valued at US$10 million), gold, vegetables, cement, mineral oil (US$1.81 billion), chemicals, and metals.
The bilateral trade relationship with Turkey dates back to a 1973 agreement, further institutionalised by the 1983 establishment of the India–Turkiye Joint Commission on Economic and Technical Cooperation.
Trade with Azerbaijan involves tobacco and its products (US$28.67 million in 2023–24), tea, coffee, cereals, chemicals, rubber, paper, and ceramics. Imports include animal fodder, organic chemicals, perfumery, raw hides, and leather (US$1.52 million during Apr–Feb 2024–25).
Beyond economics, people-to-people connections also exist. Turkey is home to around 3,000 Indian nationals, including 200 students, while Azerbaijan hosts over 1,500 members of the Indian community.
While trade ties remain stable for now, ongoing geopolitical developments could shape the trajectory of India’s economic engagements with these nations in the coming months.
Source: Business Standard