How lockdown has impacted India's merchandise trade

Story: Shivani SharmaDesign: Pragati Srivastava

From USD 9.8 billion during March, India's trade deficit narrowed to USD 6.8 billion during April, 2020. The trade deficit was USD 15.2 Billion.

Exports nosedived to USD 10.4 billion compared to USD 21.4 billion recorded during March, 2020. Compared to the year-ago period, exports fell by 60.3 per cent during April, 2020.

Petroleum, oil and lubricant exports declined by more than 66 per cent (Y-O-Y) in April, 2020. It declined by 31 per cent in March, 2020 from March, 2019.

Non-POL exports as well as imports nosedived during April. Non-POL exports fell by 59.3 per cent. Except for exports of iron ore and drugs & pharmaceuticals which registered a growth of 17.5 per cent and 0.3 per cent, respectively, all other major commodities recorded a fall in exports.

Depressed domestic demand by end-use consumers as well as industries, led to a fall in imports. Imports fell by 58.7 per cent on a y-o-y basis during April, down to USD 17.1 billion.

Depressed domestic demand by end-use consumers as well as industries, led to a fall in imports. Imports of petroleum, oil and lubricants fell by almost 60 per cent due to consumption slowdown. Other indicators such as fall in consumption of petroleum products, fall in railway freight traffic, etc, all hint towards a drastic fall.

Non-POL imports fell by 58.5 per cent. Depressed domestic demand by end-use consumers as well as industries, led to a fall in imports. Commodities which recorded a fall in imports include organic and inorganic chemicals, coal, coke & briquettes, iron & steel, electrical and non-electrical machinery, etc.

Import of gold as well as pearls, precious & semi-precious stones declined by nearly 100 per cent during April, 2020. Consequently, exports of gems & jewellery fell by 98.7 per cent. Gems & jewellery industry saw the worst decline in activity during April, 2020.