Record gold imports widen trade deficit

IN what could put pressure on the economy, India's trade deficit -- the difference between imports and exports -- widened to a record $37.8 billion in November, showing a 4.8% drop in exports and a record increase in imports driven by massive gold demand.

- DIPAK MONDAL @New Delhi

The average monthly deficit recorded during the April-October 2024 period was $23.5 billion, government data released on Monday showed.

In absolute terms, merchandise exports fell from $33.75 billion in November 2023 to $32.11 billion in November 2024. In contrast, imports during the month grew 27% to $69.95 billion with gold shipments rising 4.3 times to $15 billion.