India's Trade Deficit Grows Amid Rising Exports and Imports

Overview of India's Trade Performance

According to data from the commerce ministry, India's merchandise exports experienced an increase of 18% in May, reaching $45.2 billion. In contrast, imports surged by 20.62%, totaling $73.41 billion, resulting in a trade deficit of $28.21 billion. For the period of April to May 2026-27, exports amounted to $88.91 billion, reflecting a growth of 16.09% compared to the same timeframe last year.

Commerce Secretary Rajesh Agrawal noted that exports to West Asia slightly decreased to $5.30 billion in May, down from $5.38 billion in May 2025. Key markets for both exports and imports included Singapore, China, and the UK, with Singapore showing notable growth driven by petroleum products, while Tanzania's growth was attributed to gems, jewelry, and petroleum.