India's Trade Imbalance: Navigating Growth Amid Global Challenges

India's trade deficit decreased to USD 21.94 billion in December, influenced by recalibrated gold imports. Despite a 1% drop in exports due to global uncertainties, exports excelled in textiles and electronics. Importantly, the government is enhancing strategies in commercial sectors abroad to resolve trade challenges.

India's trade deficit decreased to USD 21.94 billion in December, following a significant surge due to miscalculations in gold imports, as per government data released on Wednesday.

Exports saw a decline for the second consecutive month by 1% year-on-year to USD 38.01 billion amid global economic uncertainties. Meanwhile, imports increased by 5% to USD 59.95 billion, with petroleum exports seeing a drop of over 28%.

Commerce Secretary Sunil Barthwal emphasized that India's export performance in goods and services is outpacing global counterparts. He noted robust growth in sectors like electronics and engineering and acknowledged ongoing dialogues to address export challenges with 20 key countries accounting for 60% of India's exports.

(With inputs from agencies.)