India's exports fall 2.83% in November; trade deficit also decreases

According to official figures, India’s merchandise exports decreased 2.83 percent to USD 33.90 billion in November, while the trade deficit shrank to USD 20.58 billion. According to figures issued by the trade ministry on December 15, imports decreased by 4.33 percent to USD 54.48 billion in November.

From April to November of FY2023–24, the nation’s total merchandise exports decreased by 6.51% to USD 278.8 billion. Due to a decline in oil imports, imports decreased by 8.67% to USD 445.15 billion during the course of the eight-month period. Oil imports decreased to USD 113.65 billion from April to November 2022–2023 from USD 139.29 billion.

During the eight-month period, the trade deficit (the difference between imports and exports) was USD 166.35 billion, compared to USD 189.21 billion during the same period the previous year. Speaking to reporters here, Commerce Secretary Sunil Barthwal stated that India’s export figures are strong considering the worldwide environment.

From April to November of this fiscal year, every major export sector—including petroleum products, jewellery and gems, chemicals, apparel, and engineering goods—saw negative growth. The industries that had favourable growth were pharmaceutical, iron ore, and electronics.

The other import categories that are contracted for inbound shipments are fertiliser, pearls, precious and semi-precious stones, coal, and coke. Nonetheless, imports of gold rose 21% to USD 32.93 billion. Imports of electronic goods increased to USD 57.83 billion between April and November of 2023–24 from USD 51.89 billion during the same period the previous year.

November saw a 6.24% increase in gold imports, totaling USD 3.44 billion. However, during the month, oil imports fell by 8.47% to USD 14.93 billion. Global trade is suffering, but “we are holding the fort,” according to Barthwal.

He continued, saying that “we are doing well” in spite of the fact that many countries’ GDP growth is “not so high,” the interest rate regime is not loosening, and international tensions are getting worse. October’s exports increased by 6.21%.

Based on the available data, the expected value of services exported in November 2022 is USD 26.93 billion, whereas in November 2021 it is USD 28.69 billion. These exports came to USD 220.66 billion over the course of the eight months, down from USD 208.30 billion from April to November.

According to projections made by the World Trade Organisation (WTO), global trade will expand by just 0.8% in 2023. Global commerce is predicted by UNCTAD to decline by over 5% in 2023 as a result of changing trade patterns and geopolitical tensions.

(With agency inputs)