Exports see smart rebound, Nov shipments rise 19.4%

TRADE DEFICIT AT 5-MONTH LOW OF $24.5 BILLION

- MUKESH JAGOTA

ASURPRISEJUMP in shipments to the US despite high tariffs pushed up India’s merchandise exports to a three-month high of $38.13 billion in November, a growth of 19.37% on year.

The growth was the highest in three years, though it came on a low base (-5.3%). Coupled with a 1.88% decline in imports to $62.66 billion, the robust exports brought down the trade deficit to a five-month low of $24.53 billion, giving comfort on the current account front.

After contracting for two straight months after imposition of additional duties in August, the exports to the US recovered smartly and grew 22% year-on-year to touch $6.98 billion. Other geographies that contributed to the November performance notably included China where the exports were up 90% to $2.20 billion.

In April-November, exports to the US grew 11.4% to $59.04 billion while that to China rose 32.8% to $12.22 billion. Growth was also witnessed in markets like Spain and the United Arab Emirates (UAE).