The data of India’s foreign trade (merchandise) for the month May 2015 was released on 16 June 2015 by the Union Ministry of Commerce & Industry. According to it, India’s trade deficit in May 2015 declined to 10.4 billion US dollars from 11.2 billion US dollars recorded in May 2014.
The trade deficit for April-May 2015 was estimated at 21.39 billion US dollars which was higher than the deficit of 21.32 billion US dollars during April-May 2014.
The decline in trade deficit came along with decline in exports and imports in May 2015 to 20.19 percent and 16.52 percent respectively.
Value of Exports
- Exports during May 2015 were valued at 22.34 billion US dollars which was 20.19 percent lower than the level of 27.99 billion US dollars during May 2014.
- In Rupee terms, export during May 2015 stood at 142572.92 crore rupees which was 14.14 percent lower than the level of 166045.09 crore rupees in May 2014.
- Cumulative value of exports for the period April-May 2015 was 44.40 billion US dollars as against 53.63 billion US dollars in Apr-May 2014, thus registering a negative growth of 17.21 percent in Dollar terms.
- In Rupee terms, the value of cumulative exports for the period April – May 2015 stood at 280973.36 crore rupees as against 320763.69 crore rupees in April – May 2014, thus registering a 12.40 percent decline.
- The decline in exports continuously for sixth month was on account of slowdown in China adding fuel to already slowing global economy. This was further accelerated by fall in global crude oil prices that caused the exports of petroleum products to fall by 59.10 percent to 2.42 billion US dollars.
Value of Imports
- Imports during May 2015 were valued at 32.75 billion US dollars which was 16.52 percent lower than the level of 39.23 billion US dollars during May 2014.
- In Rupee terms, imports during May 2015 stood at 208965.06 crore rupees which was 10.19 percent lower than the level of 232672.72 crore rupees in May 2014.
- Cumulative value of imports for the period April-May 2015 was 65.80 billion US dollars as against 74.95 billion US dollars in Apr-May 2014, thus registering a negative growth of 12.21 percent in Dollar terms.
- In Rupee terms, the value of cumulative imports for the period April – May 2015 stood at 416345.69 crore rupees as against 448266.65 crore rupees in April – May 2014, thus registering a 7.12 percent decline.
- The decline in imports was caused by decline in oil imports that fell by 40.97 percent to 8.93 billion US dollars in May 2015 from 14.4 billion US dollars in May 2014. However, the gold imports increased by 10.47 percent in May 2015 to 2.4 billion US dollars due to easing of import restrictions on it by the Union Government.
