Exports jump to $30.63 billion in April; trade deficit widens to $15.1 billion

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New Delhi: India’s exports in April jumped nearly three-fold to $30.63 billion on account of healthy growth in sectors like gems and jewellery and engineering, even as the trade deficit widened to $15.1 billion, as per commerce ministry data released on Friday.

The country’s merchandise exports stood at a lowly $10.36 billion in April 2020, hit by the Covid-19 lockdown. Trade deficit in that month was $6.76 billion.

Imports too rose over three-fold to $45.72 billion last month as against $17.12 billion in April 2020.

In percentage terms, exports and imports grew by a record 195.72% and 167%, respectively, mainly due to the low base effect. Exports in April last year had plunged by a record 60.28% due to the pandemic-induced nationwide lockdown.

In March this year, exports grew by 60.29% to $34.45 billion. In April 2021, oil imports stood at $10.8 billion as compared to $4.66 billion in the corresponding month last year, the data showed.

Non-oil imports during the month under review rose to $34.85 billion from $12.46 billion earlier.

Major export commodities which have recorded positive growth in April include gems and jewellery, jute, pharmaceuticals, carpet, handicrafts, leather, electronic goods, oil meals, cashew, engineering, petroleum products, marine products and chemicals.

Gold imports surged to $6.12 billion during the month under review as against $2.83 million in April 2020.

Major commodity groups which showed positive growth in imports in April 2021 over the corresponding month of last year include electronic goods, transport equipment, minerals, machinery, textile yarn fabric, vegetable oil and iron and steel.

Briefing reporters, Commerce Secretary Anup Wadhawan said India’s export performance continues to be impressive in April and the economic recovery is also visible in the rising imports.

“Foreign trade is recovering in a balanced manner,” he said, adding “we are confident that we can reach USD 400 billion in this year.” Asked about any possible impact on shipments due to COVID-related restrictions being imposed by certain states, he said, “I do not see any major impact on our exports.”

Federation of Indian Export Organisations (FIEO) President Sharad Kumar Saraf said that the need of the hour is to soon notify the RoDTEP (Remission of Duties and Taxes on Export Products) rates to remove uncertainty from the minds of the trade and industry, thereby helping in further forging new contracts with overseas buyers.

Service exports are estimated at $21.17 billion in April, while imports stood at $13 billion.