In December 2023, India’s merchandise exports showed a modest growth of 0.96 percent, reaching USD 38.45 billion, compared to the USD 38.08 billion recorded in December 2022. The noteworthy contributors to this export growth were Engineering Goods, Iron Ore, Gems & Jewellery, Electronic Goods, and Drugs & Pharmaceuticals.
Engineering Goods exports experienced a significant uptick, surging by 10.19 percent to reach USD 10.04 billion in December 2023, up from USD 9.11 billion in December 2022. This marked the highest monthly export figure for engineering goods in the current financial year.
Gems and Jewellery exports also performed well, posting a 14.07 percent increase, totaling USD 2.90 billion in December 2023, compared to USD 2.54 billion in December 2022.
The Electronic Goods sector saw a remarkable growth of 14.41 percent, with exports reaching USD 2.62 billion in December 2023, up from USD 2.29 billion in December 2022. This marked the highest monthly export figure for electronics in the current financial year.
Drugs and Pharmaceutical Products exports in December 2023 reached USD 2.47 billion, registering a solid 9.30 percent growth from USD 2.27 billion in December 2022. This also represented the highest monthly export figure for Drugs and Pharmaceuticals Products in the current financial year.
Furthermore, the agricultural sector continued to flourish in December 2023. Notably, sub-sectors such as Tobacco (38.94 percent), Meat, Dairy & Poultry Products (29.76 percent), Spices (27.68 percent), Fruits & Vegetables (25.36 percent), Cereal Preparations & Miscellaneous Processed Items (13.5 percent), and Oil Seeds (8.48 percent) all contributed to this growth.
To sum up, India’s overall trade deficit for April-December 2023 showed a significant improvement, decreasing by 35.87 percent from USD 108.13 billion in 2022 to USD 69.34 billion in 2023. The merchandise trade deficit also improved, declining by 11.45 percent from USD 212.34 billion in April-December 2022 to USD 188.02 billion in April-December 2023.
