India’s April-January trade deficit down 8.7% at $207.2 billion

India’s overall merchandise trade deficit stood at $207.2 billion in the April-January 2023-24 period against $229.37 billion in April-January 2022-23, showing an 8.7 per cent year-on-year decline, on the back of a steady increase in the country’s exports.

Trade deficit during January 2024 also stood lower at $17.49 billion against $17.03 billion in January 2023.

Merchandise exports from the country increased by 3.13 per cent to $36.92 billion in January 2024 against $35.80 in January 2023, even as is imports during January 2024 increased by 3.00 per cent to $54.41 billion from $52.83 billion in January 2023, data released by the commerce ministry on Thursday showed.

Merchandise exports for the period April-January 2023-24, however showed a decline of 4.90 per cent at $353.92 billion against exports valued at $372.10 billion during April-January 2022-23.

Merchandise imports for the April-January 2023-24 period also showed a 6.70 per cent decline at $561.12 billion against imports worth $601.47 billion during April-January 2022-23.

Export of petroleum products ($8.21 billion), engineering goods ($8.77 billion), electronic goods ($2.30 billion), drugs and pharmaceuticals ($2.13 billion) and iron ore ( ---) increased in January 2024.

Other products that showed an increase in exports in January 2024 included agricultural products, including tobacco (47.32 per cent), meat, dairy and poultry products (26.12 per cent), spices (20.50 per cent), cereal preparations and miscellaneous processed items (18.69 per cent), oil meals (14.66 per cent), oil seeds (11.34 per cent) and fruits and vegetables (10.61 per cent).

Export of products excluding petroleum and gems and jewellery products in January 2024 stood at $26.12 billion, up from $25.48 billion in January 2023 while imports of non-petroleum and non-gems and jewellery (gold, silver and precious metals) in January 2024 were lower at $33.72 billion compared to $34.51 billion in January 2023.

Export of products excluding petroleum and gems and jewellery products during April-January 2023-24 was lower at $256.83 billion, against $259.21 billion in April-January 2022-23. Imports of non-petroleum, non-gems and jewellery products also were lower at $354.46 billion in April-January 2023-24 compared to $367.51 billion in April-January 2022-23.

Under merchandise exports, 18 of the 30 key sectors exhibited positive trend in January 2024 while under merchandise imports, 17 out of 30 key sectors exhibited negative growth in January 2024.