Exports tank 9.3% to $34.71 bn in Aug, trade deficit widens to 10-month high to $29.65 bn

India's exports registered a steepest decline in 13-month falling 9.3 per cent in August to $34.71 billion due to global economic uncertainties, while the trade deficit widened to a 10-month high of $29.65 billion.

According to the government data released on Tuesday, imports increased by 3.3 per cent to $64.36 billion, which is a record high, due to a significant jump in the inbound shipments of gold and silver.

While gold imports more than doubled to $10.06 billion in August from $4.93 billion in the same month last year, silver imports swelled to $727 million in the month under review from $159 million in August 2023.

Due to a decline in petroleum prices, crude oil imports dipped by 32.38 per cent to $11 billion. The dip in prices has also impacted the merchandise exports.

The trade deficit, or the gap between imports and exports, in October 2023 was $30.43 billion. The merchandise exports in July last year contracted by over 10 per cent. India's merchandise exports dipped by 1.5 per cent in July.

Exports during AprilAugust this fiscal increased 1.14 per cent to $178.68 billion, and imports grew 7 per cent to $295.32 billion.