India's Trade Performance in May 2025
India's trade dynamics for May 2025 reflect significant shifts in export and import patterns, influenced primarily by global oil price trends.
Trade Deficit
- The overall trade deficit narrowed to $6.6 billion, marking a nearly 30% reduction compared to May 2024.
Exports
- Total exports increased to $71.1 billion, up from $69.2 billion in May 2024, demonstrating a growth of 2.8%.
- The services sector played a crucial role, with exports rising 9.4% to $32.4 billion.
- Merchandise exports, however, saw a contraction of 2.2%, totaling $38.7 billion.
Imports
- Total imports decreased by 1% in May 2025.
- Merchandise imports contracted by 1.7%.
- Non-petroleum imports experienced a 10% growth.
- Services imports grew by 1.5%.
Factors Influencing Trade
- Commerce Secretary Sunil Barthwal highlighted the impact of global oil price volatility on both exports and imports.
- The sustained fall in petroleum prices contributed to the damping of merchandise exports.
- Despite this, non-petroleum exports showed a positive growth of 5.1%.
