INSUBCONTINENT EXCLUSIVE:
Gold imports dipped 42.2 per cent to $1.71 billion in July.India's exports growth turned positive in July, spurting 2.25 per cent, while
trade deficit narrowed to a four-month low of $13.43 billion, government data showed on Wednesday
Exports increased to $26.33 billion in July as against $25.75 billion in the same month last year
Decline in overall imports, including oil and gold, led to narrowing of the trade deficit -- the difference between imports and exports
Trade deficit in July 2018 stood at $18.63 billion
The previous low was in March 2019, when this gap was at $10.89 billion.Gold imports declined 42.2 per cent to $1.71 billion in July
Oil imports fell 22.15 per cent to $9.6 billion, while non-oil slipped by 5.92 per cent to $30.16 billion.Export sectors that showed
positive growth in the last month included chemical, iron ore, electronics, marine products and pharmaceuticals
However, shipments of some key sectors recorded negative growth, including gems and jewellery (- 6.82 per cent), engineering goods (- 1.69
per cent) and petroleum products (- 5 per cent), according to the data.Cumulatively, during April-July 2019, exports dipped 0.37 per cent to
$107.41 billion, while imports contracted by 3.63 per cent to $166.8 billion
Trade deficit during the four-month period narrowed to $59.39 billion as compared to $65.27 billion in the same period last fiscal year.Oil
imports in April-July 2019-20 were at $44.45 billion, which was 5.69 per cent lower as compared to $47.13 billion in the same period last
year.Commenting on the data, Federation of Indian Export Organisations (FIEO) said the sluggish global demand and uncertainties emanating
from tariff wars are clearly visible in the slowdown in exports across the globe."Domestic issues including access to credit, cost of credit
especially for merchant exporters, interest equalisation support to all agri exports, benefits on sales to foreign tourists and quick refund
of GST should be seriously looked into," FIEO president Sharad Kumar Saraf said.Trade Promotion Council of India (TPCI) chairman Mohit
Singla said to some extent this export growth is partially on account of rupee, which has depreciated by about 3.5 per cent in the past six
weeks, which gives an impetus for short-term export gains."Since the consumption rates in India have plummeted, demand has been squeezed,
especially for precious stones and electronic goods," Mr Singla said.India's exports growth entered the negative zone after a gap of eight
months in June, recording a decline of 9.71 per cent, amid global headwinds
The World Bank in its Global Economic Prospects (June 2019) has projected weakening of global trade in 2019.Global trade is projected to
grow at 2.6 per cent this year, a full percentage point below its previous forecast.Get Breaking news, live coverage, and Latest News from
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