NEW DELHI: Exports dipped, though marginally, for the first time in 17 months in July, while trade deficit tripled to a record $31 billion fuelled by over 70 per cent rise in crude oil imports.
The July 2022 exports at $35.24 billion showed a decline of by 0.76 per cent on annual basis. The country's merchandise exports stood at $35.51 billion in July 2021.
The previous decline in exports was recorded in February 2021 when the shipments had dipped by 0.4 per cent.
As per the preliminary data released by the commerce ministry, India's merchandise import in July 2022 was $66.26 billion, up 43.59 per cent over $46.15 billion in the year-ago month.
However, the exports in April-July 2022-23 stood at $156.41 billion, an increase of 19.35 per cent over $131.06 billion in the corresponding period last fiscal.
India's merchandise imports in April-July 2022-23 was $256.43 billion, up 48.12 per cent year-on-year.
Imports of crude and petroleum products during July this year was $21.13 billion, up 70.4 per cent compared to $12.4 billion in July 2021.
Imports of coal, coke and briquettes were up 164.43 per cent while that of vegetable oil rose 47.18 per cent.
Inbound shipments of gold, however, declined by 43.6 per cent to $2.37 billion compared to 4.2 billion in July 2021.
Higher imports compared to exports widened the trade deficit to $31.02 billion in July this year. It has almost tripled from $10.63 billion in the same month of the previous fiscal.
The deficit has increased to $100.01 billion during April-July 2022-23.
Exports of engineering goods; petroleum products; gems and jewellery; and drugs and pharmaceuticals, contracted in July 2022 year-on-year.
On the other hand, outward shipments of engineering goods posted a healthy growth on annual basis.
"Exports of $156.41 billion in first four months of the fiscal puts us on track to achieve $470 billion in the current fiscal comfortably," commerce secretary B V R Subrahmanyam said while talking to reporters about the trade data.
"We are not living in normal times. The easy times where we could exploit more global trends last year... are changing. The external world is no longer benign. So we have to work harder," Subrahmanyam said, adding, "The exports in July 2022 are almost static compared to July 2021."
Referring to the exports figures for the first four months of the fiscal till July, the secretary said based on calculations "we will actually be comfortably above $500 billion (merchandise exports overall in FY23)".
The commerce ministry said that over $35 billion exports in July has been achieved despite measures to control inflation and the continued disruptions of supply chains due to Covid and Russia-Ukraine conflict.
