Statsguru: Omicron's impact on India's booming exports to be watched

Some large segments like engineering and electronic goods are barely above 2019 levels

India’s exports hit an all-time high in December 2021. The record figure of $37.3 billion is more than 10 times the monthly figure at the turn of the millennium (chart 1).

The record export figure, however, comes with record levels of imports. Imports were around 50 per cent higher in December 2021 than they were two years ago (chart 2) before Covid-19 made its presence felt. This is higher than 37.6 per cent export growth over the same time period. Consequently, the trade deficit is also hovering at its peak.

This has an adverse effect on the current account balance.