The FINANCIAL — India’s exports fell for the fifth month in a row in April, government data issued on May 15 showed, according to Nasdaq.
Exports fell 13.96% from a year earlier to $22.05 billion, according to data released by the Ministry of Commerce and Industry. They had fallen 21% in March.
Imports also fell as lower global oil prices helped cut the country’s import bill. Imports in the first month of the fiscal year fell 7.48% to $33.05 billion, thanks to a 42.65% decline in oil imports to $7.44 billion.
The trade deficit widened to $10.99 billion in April from $10.09 billion a year earlier. It was, however narrower than March’s $11.79 billion.
The weak exports growth underscore the challenges faced by the south Asian economy that has been struggling to gain momentum despite efforts by policy makers to boost growth.
Sluggish demand in key global markets such as the U.S. and Europe have hurt Indian exports. A steep decline in crude oil prices since June last year has further reduced demand for Indian petroleum products, which have a sizable share in the country’s exports. Exports of petroleum products fell 46.53% to $2.76 billion in April, the data showed.
A deeper look at the imports numbers gave some mixed signals. Non-oil imports, which are seen as a gauge of spending by companies, surged 12.58% to $25.60 billion. That would comfort authorities that investments in the economy may at last be picking up.
However, gold imports jumped 78.33% to $3.13 billion, which could revive concerns of a widening trade deficit that has in recent years weighed heavily on the rupee.
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