India’s Exports Hold Steady Despite Trade Deficit Surge

India's exports rose by 0.61% in January, while the trade deficit reached a three-month high. Key factors include surging gold and silver imports due to higher prices. The Commerce Secretary anticipates exports of goods and services surpassing USD 860 billion in 2025-26, despite US tariff impacts.

In January, India's exports saw a slight growth of 0.61% to USD 36.56 billion, as revealed by government data. Despite this, the trade deficit expanded to a staggering USD 34.68 billion, marking a three-month high.

Imports experienced a significant increase of 19.2%, reaching USD 71.24 billion, driven by a notable rise in gold and silver imports due to elevated prices. India's gold imports surged by an impressive 349.22% to USD 12 billion, with silver imports also soaring by 127% within the same period.

Commerce Secretary Rajesh Agrawal remains optimistic, suggesting exports may cross USD 860 billion for 2025-26, despite US tariffs affecting sectors like apparel. The US recently adjusted some tariffs, which could offer relief for Indian exports.

(With inputs from agencies.)