India Battles Trade Deficit Amid Rising Exports

In June 2024, India's merchandise exports grew by 2.56% to USD 35.2 billion, while the trade deficit widened to USD 20.98 billion. The government reports boosted overall exports and imports, with significant growth in the engineering, electronics, and pharmaceutical sectors. Despite logistical challenges, export growth shows resilience.

India's merchandise exports in June surged by 2.56% to USD 35.2 billion, despite facing global challenges, according to government data released on Monday. However, the trade deficit expanded to USD 20.98 billion during the month.

Imports rose by about 5% to USD 56.18 billion, driven by increased inbound shipments of crude oil, pulses, and electronic goods. The trade deficit in June 2023 was USD 19.19 billion.

Commerce Secretary Sunil Barthwal asserted that if current trends continue, India's total exports of goods and services might surpass USD 800 billion this fiscal year. Key growth drivers include engineering, electronics, pharmaceuticals, coffee, and chemicals.

(With inputs from agencies.)