BackIndia's exports hit a record $35.2 billion in July
Merchandise imports also shot up to $46.4 billion, the second-highest in history, leading to a widening of the trade deficit to $11.2 billion
PremiumNew Delhi: India exported a record $35.2 billion worth of goods in July, signaling a rapid economic recovery in key Western markets which has led to a rise in demand for Indian products.
Preliminary data released by the commerce ministry showed merchandise imports also shot up to $46.4 billion, the second-highest in history, leading to a widening of trade deficit to $11.2 billion
The top increase in exports by value were to the United States, United Arab Emirates and Belgium, while exports to Malaysia, Iran and Tanzania declined the most. Similarly, the largest increase in imports was from UAE, Iraq and Switzerland while imports from France, Germany and Kazakhstan declined the most.
During July, top export items were petroleum products, engineering goods, and gems and jewellery, while top import items included crude oil, gold and precious stones, and vegetable oil.
"Make in India, Make for the world: India’s merchandise exports in July 2021 was $35.17 bn, an increase of 34% over July 2019. PM Narendra Modi ji’s vision for Aatmanirbhar Bharat has given a boost to exports," Trade minister Piyush Goyal tweeted.
The government has set a merchandise exports target of $500 billion for FY23 and $1 trillion in the next five years. “So, in the next six years, services exports will be $500 billion, and merchandise exports will be $1 trillion. With annual $1.5 trillion total exports, India will have a significant share in world trade," Commerce secretary B.V.R. Subramanian said last month.
While International Monetary Fund (IMF) last week kept its global growth forecast unchanged at 6% for 2021, it marked down prospects for emerging market and developing economies, especially for emerging Asia and revised up forecasts for advanced economies due to divergence in vaccine rollout. “In countries with high vaccination coverage, such as the United Kingdom and Canada, the impact would be mild; meanwhile countries lagging in vaccination, such as India and Indonesia, would suffer the most among G20 economies," it said.
For India, IMF slashed economic growth projection for FY22 to 9.5% from 12.5% estimated in April, citing a slow recovery in consumer confidence due to the ferocious second wave of the coronavirus pandemic as well as a tardy vaccination programme.
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