Exports growth slows to 12.4% in December 2017

Trade deficit jumps to US$ 14.88 billion in December 2017

India's merchandise exports increased 12.4% to US$ 27.03 billion in December 2017 over a year ago. Meanwhile, merchandise imports surged 21.1% to US$ 41.91 billion. The trade deficit jumped 41.1% to US$ 14.88 billion in December 2017 from US$ 10.37 billion in December 2016.

Oil imports galloped 34.9% to US$ 10.35 billion, while the non-oil imports also increased 17.2% to US$ 31.56 billion in December 2017 over December 2016. The share of oil imports in total imports was 24.7% in December 2017, compared with 22.3% in December 2016. The price of India's basket of crude oil galloped 18.1% to US$ 62.29 per barrel in December 2017 over December 2016.

Among the non-oil imports, the major contributors to the overall rise in imports were pearls, precious & semi-precious stones imports rising 94.0% to US$ 3.46 billion, gold 71.5% to US$ 3.39 billion, electronic goods 19.2% to US$ 4.67 billion, coal 18.5% to US$ 2.03 billion, organic & inorganic chemicals 21.1% to US$ 1.75 billion, electrical & non-electrical machinery 11.2% to US$ 2.84 billion, non-ferrous metals 29.6% to US$ 1.10 billion and metaliferrous ores & other minerals 46.9% to US$ 0.77 billion.

The imports also improved for fertilisers by 60.8% to US$ 0.41 billion, chemical material & products 25.1% to US$ 0.63 billion, artificial resins, plastic materials etc 11.0% to US$ 1.15 billion, medicinal & pharmaceutical products 21.9% to US$ 0.55 billion, professional instrument, optical goods etc 11.6% to US$ 0.43 billion and iron & steel 3.2% to US$ 1.23 billion.

However, the imports have declined for transport equipment by 24.3% to US$ 2.16 billion, pulses 58.4% to US$ 0.21 billion and vegetable oil 11.0% to US$ 0.85 billion in December 2017.

On exports front, the engineering goods recorded an increase in exports by 25.3% to US$ 7.36 billion, followed by petroleum products 25.1% to US$ 3.61 billion, organic & inorganic chemicals 31.4% to US$ 1.90 billion, meat, dairy & poultry products 80.6% to US$ 0.51 billion, rice 39.8% to US$ 0.60 billion, and drugs & pharmaceuticals 6.9% to US$ 1.67 billion.

The exports also moved up for marine products by 19.5% to US$ 0.66 billion, plastic & linoleum 16.4% to US$ 0.62 billion and gems & jewellery 2.4% to US$ 3.23 billion in December 2017. Further, the exports has improved for spices by 22.1% to US$ 0.28 billion, leather & leather products 10.1% to US$ 0.47 billion, man-made yarn/fabrics/made-ups etc 6.8% to US$ 0.42 billion, ceramic products & glassware 16.5% to US$ 0.19 billion and electronic goods 4.8% to US$ 0.55 billion in December 2017.

However, the exports declined for RMG of all textiles by 8.1% to US$ 1.34 billion, oil seeds 28.1% to US$ 0.14 billion, and iron ore 26.4% to US$ 0.15 billion, while it also declined for fruits & vegetables by 3.0% to US$ 0.20 billion, and mica, coal & other ores, minerals including processed minerals 0.5% to US$ 0.31 billion in December 2017.

Merchandise exports in Rupees increased 6.3% to Rs 173649 crore, while imports moved up 14.6% to Rs 269243 crore in December 2017 over December 2016. The trade deficit surged to Rs 95594 crore in December 2017 compared with Rs 70408 crore in December 2016.

India's merchandise exports increased 12.4% to US$ 223.51 billion, while merchandise imports surged 21.8% to US$ 338.37 billion in April-December 2017. An increase in imports was driven by a 24.5% jump in oil imports to US$ 76.15 billion. India's merchandise trade deficit galloped to US$ 114.86 billion in April-December 2017 from US$ 78.67 billion in April-December 2016.

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