India's exports fall 6.9% in August; trade deficit narrows by 2.8%

India's exports declined by 6.86 per cent to $34.48 billion in August this year, against $37.02 billion in the same month last year, government data showed on Friday. Imports, too, declined by 5.23 per cent to $58.64 billion, against $61.88 billion recorded in August 2022.

The country's trade deficit in the month stood at $24.16 billion, against $24.86 billion in the same month last year, marking a 2.8 per cent decline.

During the April-August period this fiscal, exports contracted by 11.9 per cent to $172.95 billion, from $196.33 billion during April-August 2022. Imports during the five-month period fell by 12 per cent to $271.83 billion, from $309.19 billion during April-August 2022.

The merchandise trade deficit for April-August 2023 was estimated at $98.88 billion, against $112.85 billion during April-August 2022.

India’s trade deficit has shown considerable decline in April-August 2023, said the government statement. Overall trade deficit for April-August 2023 is estimated at $37.49 billion, compared to a deficit of $60.31 billion during April-August 2022, registering a decline of 37.85 per cent. The merchandise trade deficit during April-August 2023 was $98.88 billion compared to $112.85 billion during April-August 2022, registering a decline of 12.38 percent.

Services export

The estimated value of services export for August 2023 was $26.39 billion, as compared to $26.50 billion in August 2022. The estimated value of services import for the month was $13.86 billion, against $15.22 billion in the previous-year period.

The services trade surplus for April-August 2023 is $61.40 billion, against $52.54 billion in April-August 2022.

For the month of August 2023, under merchandise exports, 15 of the 30 key sectors exhibited positive growth, as compared to August 2022. These include Iron Ore (1556.09%), Oil Meals (57.26%), Ceramic Products & Glassware (29.28%), Electronic Goods (26.29%), Cotton Yarn/Fabs/Made-Ups, Handloom Products Etc. (26%), Tobacco (20.03%), Oil Seeds (17.02%), Meat, Dairy & Poultry Products (16.46%), Cashew (14.25%), Fruits & Vegetables (14.19%), Carpet (13.15%), Cereal Preparations & Miscellaneous Processed Items (12.88%), Engineering Goods (7.73%), Drugs & Pharmaceuticals (4.53%) and Marine Products (2.45%).

Under merchandise imports, 15 out of 30 key sectors exhibited negative growth in August 2023. These include Silver (-78.15%), Cotton Raw & Waste (-74.67%), Fertilisers, Crude & Manufactured (-55.69%), Coal, Coke & Briquettes, Etc. (-43.47%), Leather & Leather Products (-33.17%), Organic & Inorganic Chemicals (-26.69%), Petroleum, Crude & Products (-23.76%), Textile Yarn Fabric, Made-Up Articles (-18.38%), Pearls, Precious & Semi-Precious Stones (-15.82%), Wood & Wood Products (-10.01%), Fruits & Vegetables (-8.08%), Transport Equipment (-3.99%), Sulphur & Unroasted Iron Pyrites (-3.21%), Pulp And Waste Paper (-1.25%) and Vegetable Oil (-0.49%).