New Delhi: India’s trade deficit for June this year narrowed to $18.78 billion, compared to $21.88 billion in May, according to data released by the Commerce and Industry Ministry on Tuesday.
India’s exports growth remained flat at $35.14 billion in June as against $35.16 billion same month last year. While the country’s imports declined by 3.71 per cent to $53.92 billion in June as against $56 billion a year ago, according to the data.
Meanwhile, the trade in services showed an estimated surplus of $15.62 billion in June, with services exports at $32.84 billion and imports at $17.58 billion.
Total exports of merchandise goods and services were $67.98 billion in June, while imports of goods and services were $71.50 billion. The net trade deficit was $3.51 billion in June.
Commerce Secretary Sunil Barthwal told reporters last month that global conflicts and uncertainties are impacting Indian exports, though the government is proactively working with exporters to address their concerns regarding shipping and insurance.
The trade data comes amid ongoing trade talks with the US and other global partners.
The US is seeking broader market access for its agricultural and dairy products, which is a major hurdle as for India, this is a livelihood issue of the country’s small farmers and hence is considered a sensitive area.
While India is looking to secure an exemption from US President Donald Trump’s 26 per cent tariffs by concluding an interim deal before July 9, it is also pushing for significant tariff concessions for its labour-intensive exports such as textiles, leather and footwear.
Meanwhile Trump has announced that the US administration will start sending letters informing trading partners of their tariff rates as soon as Friday, even as negotiations with various countries including India to avoid higher US levies have stretched into the last lap.
India’s trade performance in Q3 FY25 (October–December 2024) reflected cautious resilience amidst geopolitical volatility and shifting global demand, according to the NITI Aayog quarterly report released on Monday.
Merchandise exports registered a year-on-year growth of 3 per cent, reaching $108.7 billion. The export composition remains stable; aircraft, spacecraft and parts entered the top ten exports surging by over 200 per cent year-on-year due to increased demand from Saudi Arabia, the UAE, and Czech Republic, the report states.
High-tech merchandise exports have gained momentum since 2014, led by electrical machinery and arms/ ammunition, growing strongly at 10.6 per cent compound annual growth rate.
(IANS)
