Steering sustainable trade

India’s merchandise exports are struggling. According to the latest numbers, exports contracted for the fourth straight month in May to $34.98 billion, as against $39 billion in the same month last year. Although imports also declined, the trade deficit expanded to a five-month high of $22.12 billion. On a sequential basis, however, exports expanded by a modest 0.7 per cent, while imports increased 14 per cent. The disaggregated data showed exports contracted in 17 out of 30 key sectors, including petroleum products, gems and jewellery, and engineering goods. On the positive side, electronics exports continued to do well and witnessed