India's trade deficit hits record $30 billion as exports struggle

Merchandise exports decline to a five-month low of $36.27 billion in July

India’s trade deficit widened to a record $30 billion in July as exports grew at a much slower pace compared to imports, data released by the commerce and industry ministry showed on Friday.

Merchandise exports declined to a five-month low of $36.27 billion in July but witnessed a marginal increase of 2.14 per cent year-on-year (YoY). The preliminary data released on August 2 had shown a 0.76 per cent contraction in exports at $35.24 billion, and even a wider trade deficit of $31 billion, for July.

Inbound shipments grew 43.61 per cent YoY in July to $66.27 billion, though slightly