India’s exports in June have been projected at $49.85%, almost 32% over the year-ago, 17.17% above pre-COVID levels in June 2019.
Imports amounted to $52.18 billion, up 73.65% in June and 1.08% over June 2019, as per quick estimates published on Thursday by the Minister of Commerce and Industry.
Meanwhile, Indian merchandise exports grew by up to 48.3 to 32.5 billion dollars in June and were almost 30% higher than June 2019, while estimated services export grew by 17.35 billion dollars, by 9.1%, and around 1% below the pre-COVID level.
The current account is expected to revert to little surplus in that quarter with rising exports and relatively low gold imports in May – June 2021, damping up the aggregate trade deficit to three-quarters of a lower $31 billion in the first quarter of FY 2020- stated by ICRA chief economist Aditi Nayar.
The non-oil exports increased sharply as well as the higher commodity export prices were reflective of the revival of vaccine-driven activity in numerous trading partners. On the imports front, oil imports increased along with increased mobility following the second wave limit of the COVID-19, while other imports grew too strongly, reflecting a rise in demand and high commodity prices.
Indian economy is likely to return on growth path after the removal of Covid restrictions across the country. Meanwhile, India Inc is hoping for better southwest monsoon rains to boost economic consumption and revival of growth in rural India.
