Introduction

Karnataka has a good reputation as one of India’s top export-driven states. The state plays a big role in India’s worldwide trade since it has a strong IT hub in Bengaluru, a strong agricultural foundation, and a rich cultural legacy. Karnataka has a strong position in international markets since Karnataka IT exports a wide range of goods, from software services to coffee plantations.

Products export from Karnataka are IT services, oil products, coffee, spices, textiles, and granite. Bengaluru, which is commonly termed the “Silicon Valley of India,” is a key base for exporters from Bangalore, especially in IT and engineering. Karnataka IT exports are the backbone of the digital economy today, while agricultural and handcraft goods boost traditional trade.

Geographic & Economic Overview of Karnataka

Karnataka is at a good spot in southern India, close to large ports like Mangalore and Karwar that make it easy to send goods throughout the world. The wide range of things that exports of Karnataka how diverse the state is, from sophisticated IT solutions to traditional handicrafts. It is a leader in coffee, spices, and horticulture products because of its agro-climatic zones. Bengaluru and Mangalore are industrial hubs that help the petroleum and manufacturing industries expand.

Government programs, SEZs, and world-class infrastructure have all helped the export business in Karnataka. Karnataka exports have grown in many areas, making it one of India’s leading sources of foreign exchange.

Principal Export Commodities of Karnataka

1. IT and Software Services

Karnataka, especially Bengaluru, is known around the world as India’s Silicon Valley. The state is the best in the country at making software and providing IT consulting, SaaS, and AI services. IT services make up the greatest part of products export from Karnataka, bringing in billions of dollars each year. Karnataka provides solutions to clients all around the world with the help of skilled individuals and leading IT parks. Karnataka IT exports are a standard of excellence because of their good name.

  • Export Value and Share: Contributes over USD 80 billion annually, accounting for 35–40% of India’s IT exports.
  • The US, the UK, Germany, and Australia are the top countries that buy things.
  • Usage / Industry: AI, fintech, SaaS, and IT services.
  • The global demand trend is growing together with digital transformation.
  • Karnataka’s competitive edge comes from its skilled workers, innovation hubs, and strong network of exporters in Bangalore.

2. Products made from oil

Refineries like MRPL in Mangalore help  major exports of Karnataka a lot of petroleum products. The state turns crude oil into fuel, lubricants, and fuel for airplanes. These goods are sent in large quantities to markets in Asia and the Middle East. Demand around the world stays high since energy needs are always there. Karnataka’s coastline ports make it easier for the state to trade in oil.

  • Export Value and Share: Export Value & Share: Around USD 5–7 billion per year, forming a key share of major exports of Karnataka.
  • Singapore, the UAE, and China are the top countries that import goods.
  • Use/Industry: Fuel, energy, and transportation.
  • The trend in global demand is stable, but it is connected to changes in oil prices.
  • Pro: Refineries on the coast that are connected to ports.

3. Coffee

Karnataka is the coffee capital of India since it grows more than 70% of the country’s coffee. Coorg, Chikmagalur, and Hassan are some of the areas that cultivate high-quality Arabica and Robusta coffee. Coffee is sent to Europe and the US because they want a lot of it. More and more consumers are choosing to buy organic and specialty coffee. This gives farmers in Karnataka a major edge in markets around the world.

  • Value and Share of Exports: Value and share of exports: almost $1 billion a year, which makes Karnataka the state that sends out 70% of India’s coffee.
  • The most people who buy products are from Italy, Germany, and Belgium.
  • Use/Industry: The drink business.
  • More and more people prefer specialty and organic coffee around the world.
  • Pros: Arabica and Robusta beans that are really good.

4. Spices

Karnataka is known for its cardamom, pepper, turmeric, and chilies, which are some of the most important things that the state exports. These spices are highly sought after because of their strong scent and health benefits. They are important to the food, drug, and cosmetics sectors all around the world. There is a growing demand around the world for organic and eco-friendly spices. The biodiversity in Karnataka makes sure that production is always of excellent quality, similar to insights shared in How to Export Namkeen from India.

  • Value and share of exports: Export Value & Share: Valued at USD 400–500 million annually, contributing a major portion of exports of Karnataka in agriculture.
  • The USA, the UAE, and the UK are the top importing countries.
  • Use/Industry: Food, drugs, and cosmetics.
  • The trend in global demand indicates that the demand for organic and herbal spices is going up.
  • Advantage: a lot of different plants and animals and traditional farming.

5. Marine Goods

Exports of Karnataka include a lot of marine items, like shrimp, squid, and fish. The state’s vast coastline makes it possible for big fishing and processing businesses to thrive. These exports bring in a lot of money in foreign currency. Japan, the US, and Vietnam are among the countries that buy seafood products export from Karnataka. Its advanced fish processing plants make it more competitive.

  • Value and share of exports: Exceeding USD 1.2 billion annually, with shrimp and fish leading exports.
  • Japan, the US, and Vietnam are the top countries that import goods.
  • Use/Industry: The seafood business.
  • Trend in Global Demand: Strong in Asia-Pacific all the time.
  • Advantage: High-tech seafood processing plants.

6. Cashew nuts and cashew nuts

The coastal area of Karnataka is known for growing and processing cashews. There is a lot of demand for cashew kernels in the US, UAE, and Europe. Cashews are a profitable portion of Karnataka exports since they are used in the candy, baking, and snack sectors. The processing units in Udupi and Dakshina Kannada meet international standards. Because of this, cashews are one of the most stable agricultural exports.

  • Export Value and Share: Nearly USD 300–400 million annually, with a consistent global market share.
  • The USA, the UAE, and the Netherlands are the three countries that import the most.
  • Use / Industry: Candy and snacks.
  • Trend in Global Demand: Premium nuts are steadily growing.
  • Advantage: Processing hubs that are already in place.

7. Silk

Mysore silk is one of Karnataka’s most famous goods. The state is India’s biggest producer of silk, which it sells in both domestic and foreign markets. Silk is used in high-end clothes, wedding dresses, and traditional clothing. The world is buying more and more natural fabrics, which is good news for Karnataka. It has a high-end market identity because it is called “Mysore Silk.”

  • Export Value and Share: USD 150–200 million annually, making Karnataka India’s largest silk exporter.
  • The UAE, China, and the EU are the three countries that buy the most items.
  • Use/Industry: Textiles for high-end and fashion.
  • Trend in Global Demand: More and more people throughout the world seek silk that comes from nature.
  • Advantage: People all over the world know the Mysore Silk brand.

8. Things for Engineering

Bengaluru and Hubli are important places for the engineering industry because they make tools, machinery, and precise parts. One of Karnataka’s greatest exports is engineering, which brings in billions of dollars to the state. Aerospace, manufacturing, and automotive are some of the fields that use these goods. Markets in the US, Japan, and Germany depend on Karnataka engineering supplies. Exporters from Bangalore have a major edge since they have skilled personnel and spend money on research and development.

  • Export Value and Share: About $2 to $3 billion a year, thanks to exporters from Bangalore in the industrial and automotive industries.
  • The US, Germany, and Japan are the three countries that buy the most goods.
  • Used in: vehicles and machinery.
  • Demand around the world is going up in precise engineering.
  • Benefit: engineers with skills and places to do research and development

9. Parts and instruments for electronics

The electronics industry in Karnataka is directly linked to the state’s dominance in IT. The state makes electronic parts, semiconductors, and instruments. Countries like Germany, Singapore, and the US get these things sent to them. These major exports of Karnataka are important for industries including telecommunications, aerospace, and automation. The innovation-driven ecosystem in Karnataka makes sure that exports in this area keep going up.

  • Value and share of exports: Estimated USD 1–1.5 billion annually, growing rapidly due to rising global demand.
  • The US, Singapore, and Germany are the top importing countries.
  • Usage/Industry: Telecommunications, aerospace, and automation.
  • Global Demand Trend: Electronics are in higher demand.
  • Advantage: Bengaluru has a lot of strong innovation hubs.

10. RMG Cotton (Ready-Made Clothes)

Karnataka is the best place in India to make garments, and Bengaluru is known as the “Garment Capital of India.” Karnataka sends a lot of ready-made cotton clothing to other countries. The US, UK, and European countries buy the most. These exports include both everyday goods and high-end fashion. Karnataka is still a good place to export clothes because it has skilled workers, low costs, and high-tech manufacturing.

  • Value and percentage of exports: More than USD 2.5–3 billion a year, making clothing one of Karnataka’s biggest exports.
  • The United States, the United Kingdom, and the European Union are the three countries that buy the most.
  • Use: Clothing and fashion.
  • Trend in Global Demand: There is a growing need for quick fashion and high-end goods.
  • Pros: Skilled labor and low production costs..

11. Products made of granite and natural stone

Karnataka is a world leader in natural stone since it has granite quarries in Bellary, Mysuru, and Hassan. People all across the world use these for floors, kitchen counters, and statues. Things are sent to the US, China, and Italy. Real estate and development maintain demand steady all throughout the world. People like Karnataka granite because it is strong and looks great.

  • Export Value & Share: Around USD 1 billion annually, Karnataka being one of India’s top granite suppliers.
  • The top countries that import are China, the US, and Italy.
  • Usage / Industry: Building and designing interiors.
  • Global Demand Trend: Steady with expansion in real estate.
  • Advantage: Hassan and Mysuru have good granite reserves.

12. Jaggery and sugar

Belagavi and Mandya are two areas that grow sugarcane and make refined sugar and jaggery. These go to areas like the UAE, Sri Lanka, and several African countries. Sugar is used a lot in candies and drinks, whereas jaggery is popular in the organic and natural food sectors. Karnataka’s industrial capacity makes sure that goods that come from products export from Karnataka come in. It makes it more competitive to have agro-processing plants.

  • Value and Share of Exports: Value and share of exports: over $400–500 million a year, mostly going to Asia and Africa.
  • Sri Lanka and Middle Eastern countries are the main importers.
  • Use / Industry: Making food.
  • Global Demand Trend: Strong in Africa and Asia.
  • Advantage: Producing a lot of sugarcane.

13. Crafts

People know Karnataka for its Bidriware, wood carvings, and Mysore art. These crafts are popular in the US, France, and the UK. People all throughout the world respect real and long-lasting handicrafts. People use them to decorate their homes and give as gifts. Exporters have a cultural edge because of Karnataka’s rich history.

  • Export Value and Share: Approx. USD 100–150 million annually, contributing to niche global markets.
  • The US, the UK, and France are the top countries that import goods.
  • Use in industry: high-end home decor.
  • Trend in Global Demand: More people want real crafts.
  • Advantage: Craftsmanship that comes from cultural tradition.

14. Incense sticks, or agarbatti

Making incense is a traditional export business in Karnataka. The state sells goods to markets in the Middle East, Europe, and the United States. Agarbattis are employed in wellness, religious, and aromatherapy settings. Exporters from Bangalore are the most important players in this area. Karnataka’s knowledge makes sure that incense is always in demand around the world.

  • Value and share of exports: Valued at USD 80–100 million annually, with growing wellness exports.
  • The UAE, the US, and Europe are the top importing countries.
  • Usage / Industry: Religious practices and aromatherapy.
  • The trend in global demand is going up in wellness industries.
  • Advantage: Strong base of conventional manufacturing.

15. Byadagi Chilli and Oleoresin

The GI-tagged Byadagi chili comes from Karnataka and is known for its vivid red color and strong smell. People use oleoresins from it in food and medicine. Because it can color things naturally, demand is going up all over the world. The US, China, and certain European countries buy this chili from other countries.The particular type gives Karnataka farmers a competitive edge in Chilli Export from India.

  • Export Value & Share: Nearly USD 200–250 million annually, dominated by spice and oleoresin demand.
  • China, the US, and Europe are the top countries that import goods.
  • Usage / Industry: Food coloring and drugs.
  • Global Demand Trend: Growing for natural extracts.
  • Advantage: Natural traits that are one of a kind.

16. Kundana Jamun

The fruit Kundana Jamun is grown in Karnataka and has a GI tag. It has a peculiar taste that makes it a specialty product in foreign markets. Exports are limited but growing to the UK and Gulf countries. People like fruit since it is good for their health. Karnataka has an advantage because the world is buying more unusual and organic fruits.

  • Export Value and Share: Export Value & Share: Small-scale exports of around USD 10–20 million annually, but expanding in niche fruit markets.
  • The Gulf and the UK are the top countries that import goods.
  • Use / Industry: Food and drink.
  • Demand around the world is going up for exotic fruits.
  • Organic farming is a plus.

17. Food that has been processed and gardening

 Major exports of Karnataka plants and flowers, frozen veggies, and processed mango pulp. They are sent to the US, the UAE, and Bangladesh. People all throughout the world want ready-to-eat foods. Karnataka’s varied agro-climate makes it possible to give all year long. This area is soon becoming one of Karnataka’s exporters.

  • Export Value and Share: Around USD 800 million – 1 billion annually, with rising demand for mango pulp and frozen foods.
  • The US, the UAE, and Bangladesh are the top countries that import goods.
  • Use / Industry: The industry that makes food that is ready to consume.
  • Global Demand Trend: Convenience foods are becoming more popular.
  • Advantage: Different types of weather and climate in agriculture.

18. Rice and grains

Sona Masuri and other high-quality rice types are well-known throughout the state. These are sent to many countries in the Middle East and the United States. Rice is still a basic food around the world, which keeps demand steady. People like Karnataka’s rice because it tastes good and is of high quality. It is one of the exports of Karnataka.

  • Export Value and Share: Nearly USD 600–700 million annually, especially Sona Masuri rice.
  • The United States and the Middle East are the two countries that buy the most items.
  • Use / Industry: Food that is always there.
  • Global Demand Trend: Demand is stable all around the world.
  • Pro: Farming rice of high quality.

19. Coconut and Arecanut

Arecanut and coconut grow in significant amounts in coastal Karnataka. These are sent to Sri Lanka, the UAE, and the Maldives. People use them in cuisine, cosmetics, and traditional medicine. Asian markets have a lot of demand from throughout the world. Karnataka stays competitive because of its good agro-climatic conditions.

  • Export Value and Share: Estimated USD 300–400 million annually, with steady demand in Asian countries.
  • Sri Lanka, the UAE, and the Maldives are the top countries that import goods.
  • Food, pharmaceuticals, and cosmetics are some of the things that use it.
  • Global Demand Trend: Demand is going up in Asia.
  • Advantage: Good weather along the coast.

20. Toys made by hand

Channapatna toys, sometimes called GI-tagged wooden toys, are a part of Karnataka’s artisan history. These toys are safe for the environment and for people. Exports to the US, Japan, and Germany are going up. Karnataka’s market share is growing since more people choose eco-friendly toys. Skilled craftsmen make sure that the toys they make by hand are of great quality.

  • Export Value and Share: Around USD 50–70 million annually, serving sustainable toy markets.
  • The US, Japan, and Germany are the top countries that import goods.
  • Use / Industry: Toys and products that are good for the environment.
  • Trend in Global Demand: More people want eco-friendly toys.
  • Advantage: Craftsmanship with traditional wood.

21. Sculptures and Crafts in Stone

People all around the world know Mysuru and Hampi for their stone carvings and sculptures. These are sent to other countries for cultural events, fancy home decor, and gifts. There is more demand in Europe, the US, and the Gulf countries. Karnataka artists have a long history of making sculptures. This little market makes the cultural worth of export business in Karnataka company stronger.

  • Export Value and Share: USD 30–50 million annually, with exports to luxury art and décor markets.
  • The United States, France, and the United Arab Emirates are the top importing countries.
  • Use / Industry: Decor for homes and cultural events.
  • Trend in global demand: more people are interested in Indian art.
  • Advantage: A lot of great art history.

Opportunities & Challenges in Export Business in Karnataka

There are a lot of chances for the export business in Karnataka in IT, agriculture, and traditional goods. Karnataka IT exports are the most important in the world, but agricultural goods like coffee, spices, and cashews are also quite important. Technology and engineering services are what exporters from Bangalore are best at, whereas coastal areas are good for marine exports. Price changes around the world, competition, and logistics are all problems. But the state government’s measures are making Karnataka exports stronger, which bodes well for the future.

Conclusion

The fact that Products export from Karnataka so many different kinds of goods shows how the state combines old and new. Karnataka’s principal exports are still important to India’s economic ecosystem. These include high-value IT services, traditional silk, and handicrafts. Major exports of Karnataka in many areas support entrepreneurs who want to start an export business in Karnataka. There are many ways for them to flourish, and to explore more opportunities you can learn about us and how we support global exporters