India’s April-May merchandise trade deficit hits $36.97 bn
17 Jun 2024
India added $3.18 billion to its merchandise trade deficit in May 2024, taking the country’s trade deficit for the first two months of the 2024-25 financial year (April-May 2024) to $36.97 billion.
Merchandise exports from India increased by $3.18 billion year-on-year to $38.13 billion in May 2024, from $34.95 billion in May 2023. Merchandise imports into the country, on the other hand, increased by $4.43 billion to $61.91 billion in May 2024 from $57.48 billion in May 2023.
During the first two months of the financial year (April-May 2024-25) India exported goods valued at $73.12 billion compared to $69.57 billion during April-May 2023.
Import of goods during April-May 2024-25 stood at $116.01 billion against imports valued at $106.54 billion during April-May 2023.
Merchandise trade deficit during April-May 2024 rose to $42.89 billion from $36.97 billion during April-May 2023.
Products showing increase in exports included coffee (64.23 per cent), tobacco (58.38 per cent), electronic goods (22.97 per cent), meat, dairy and poultry products (22.95 per cent), fruits and vegetables (20.75 per cent), handicrafts (excluding handmade carpet) (20.63 per cent), tea (19.57 per cent), carpet (17.55 per cent), plastic and linoleum (16.6 per cent), petroleum products (15.75 per cent), cereal preparations and miscellaneous processed items (14.31 per cent), drugs and pharmaceuticals (10.45 per cent), RMG of all textiles (9.84 per cent), cotton yarn/fabrics./made-ups, handloom products etc (9.75 per cent), engineering goods (7.39 per cent), oilseeds (5.75 per cent), man-made yarn/fabrics/made-ups etc (4.65 per cent), organic and inorganic chemicals (3.21 per cent), rice (2.76 per cent) and mica, coal and other ores, minerals (including processed minerals) (1.08 per cent) compared to the corresponding month of the previous financial year.
Products showing negative growth in imports year-on-year in May 2024 included project goods (-44.31 per cent), coal, coke and briquettes (-26.55 per cent),raw cotton and waste (-24.46 per cent),sulphur and unroasted iron pyrts (-20.92 per cent), fertilisers - crude as well as manufactured (-20.42 per cent), leather and leather products (-20.05 per cent), chemical material and products (-9.81 per cent), gold (-9.76 per cent), wood and wood products (-7.2 per cent), iron and steel (-6.65 per cent), dyeing/tanning/colouring materials (-5.1 per cent), newsprint (-4.49 per cent), textile yarn, fabric, made-up articles (-1.15 per cent) and organic and inorganic chemicals (-0.49 per cent).
Top five export destinations, in terms of positive change in value realisation in May 2024 included USA (13.06 per cent), Netherlands (43.92 per cent), UAE (19.43 per cent), Malaysia (86.95 per cent) and UK (33.54 per cent).
USA (12.66 per cent), Netherlands (40.87 per cent), UAE (16.16 per cent), Singapore (36.65 per cent) and Malaysia (64.03 per cent) accounted for the maximum export value realisation in April-May 2024.
Imports from UAE (49.93 per cent), Iraq (58.68 per cent), Russia (18.02 per cent), Angola (1274.95 per cent) and Indonesia (23.36 per cent), showed significant increase in prices compared to the previous year.
For April-May 2024, Russia (19.89 per cent), UAE (28.83 per cent), Iraq (34.12 per cent), Switzerland (26.43 per cent) and Angola (256.01 per cent), recorded spike in import prices in April-May 2024-25 compared to April-May 2013-14.