Due to a slow global economy, India's exports fell for the fourth consecutive month in May, falling by 10.3% from $39 billion in the same month last year. This increased the trade imbalance to a five-month high of $22.1 billion.
However, a five-month streak of falling imports to $57. 1 billion in May (down from $61. 1 billion in May of last year) stopped the trade imbalance from rapidly widening.
According to the data released, on the exports side, commodities that saw an increase in April-May 2023 over the same months last year included electronic goods, rice, pharma and spices, while petroleum products, gems & jewellery, engineering goods, and chemicals saw a decline in exports in this period. Smartphone exports have seen a sharp rise, more than doubling from $498 million last April to $1,068 million this April.
On the import side, machinery, electronic goods, iron & steel and pulses saw an increase in April-May 2023 over the same period last year.
Commerce secretary, Sunil Barthwal said, “India is hoping for a rapid economic recovery in the slowing developed world which are its major export markets. “The DPIIT, commerce ministry, Invest India and Indian missions abroad will work together to focus on 40 key countries (including the US and the EU) as they account for 85% of our total exports.