Imports down 15% on contraction in gold, industrial downturn

After two months of  continuous contraction, merchandise exports rose a five-month high of 5.26% in April at $25.63 billion against $ 24.35 billion.

The outbound shipments were driven by high value engineering goods, drugs and pharma and some textile products. However, petroleum products were up less than 1%, while gems and jewellery contracted over 8%.  

However, imports were down 15% at $35.72 billion in the month year-on-year, official data showed today.  

While oil imports decreased just 0.6% at $12.97 billion, non-oil imports fell 21.5% at $22.74 billion, showing the impact of continued industrial sluggishness.

However, part of non-oil imports declined due to 74% contraction  in gold imports and 26% in silver.

Broad exports and import numbers also narrowed trade deficit by 42.95% at $10.08 billion in April against $17.67 billion a year ago. This would augur well for falling current account deficit.