India’s Trade Deficit Narrows to $21.94 Billion in December 2024

Chandigarh : India’s merchandise trade deficit narrowed to $21.94 billion in December 2024, reflecting a positive shift due to a surge in exports and a decline in imports. This reduction marks a significant improvement from the $32.84 billion deficit reported in November 2024, with the revised trade deficit data showing a drop. The merchandise trade deficit was lower compared to other months in 2024, but it widened on an annual basis compared to December 2023, when the trade deficit stood at $18.76 billion.
Imports in December 2024 grew by 4.90% to $59.95 billion, while exports showed a slight decline of 1% to $38.01 billion. Despite the global economic challenges, specific sectors have seen remarkable growth in exports, contributing to the narrowing of the deficit.
Key drivers of export growth included rice, which saw a 64.03% increase, followed by jute products (51.63%), cashew (45.7%), coffee (36.88%), and electronic goods (35.11%). Other cereals also saw a significant rise in exports, growing by 67.89%.

In the April-December period of the fiscal year, India’s exports rose by 1.6% to $321.71 billion, while imports increased by 5.15% to $532.48 billion.