The increase in oil imports increases the trade imbalance in April

The increase in oil imports increases the trade imbalance in April


According to ICRA, the merchandise trade deficit would rise to a record $250-255 billion in 2022-23, as merchandise export growth is slow to about 9% over the course of the year. Imports, on the other hand, were forecast to increase by around 16%, with domestic demand expected to outperform foreign demand growth.




Petroleum items (up 126.7 percent), electrical goods (71.7 percent), grains (60.8 percent), coffee (59.4 percent), processed food (38.8 percent), and leather products (36.7 percent) led the way in April's export increase, according to the Ministry.




Coal and petroleum imports were more than previously estimated, with the former increasing 146.3 percent to $4.93 billion. The value of fertiliser imports almost tripled to $1.2 billion in April 2021, up from $376 million in April 2021. The surge in the value of these three imports reflects the sharp rise in world prices.




"While imports and exports expanded sharply, the goods trade imbalance worsened to $20.1 billion... fuelled by oil," Aditi Nayar, chief economist at ICRA, stated. "Given the higher commodity costs after the Russia-Ukraine crisis, total goods imports remained over $60 billion for the second month in a row," she added.

Post a Comment

Comments are welcomed and encouraged on Stuffsearth Website, but there are some instances where comments will be edited or deleted as follows:

Comments deemed to be spam or solely promotional in nature will be deleted. Including a link to relevant content is permitted, but comments should be relevant to the post topic.
Comments including profanity will be deleted.
Comments containing language or concepts that could be deemed offensive will be deleted. Note this may include abusive, threatening, pornographic, offensive, misleading or libelous language.
Comments that attack an individual directly will be deleted.
Comments that harass other posters will be deleted. Please be respectful toward other contributors.
Anonymous comments will be deleted. We only accept comments from posters who identify themselves.
The owner of this Website reserves the right to edit or delete any comments submitted to the 'Website's Post/Content' without prior notice. This comment policy is subject to change at any time. If you have any questions about the commenting policy, please let us know by using our 'Contact Us' form .

To Top