Trade Deficit Widens to All-Time High of $37.8 bn in Nov
India’s trade deficit clocked to a record high of $37.8 billion in November. While exports slumped to 4.85% to $32.1 billion, imports surged by 27% at $69.95 billion, Commerce data showed.
Trade Deficit Widens to All-Time High of $37.8 bn in Nov
India’s trade deficit clocked a record high of $37.8 billion in November. While exports slumped by 4.85% to $32.1 billion, imports surged by 27% at $69.95 billion, Commerce data showed.
Previously, United Nations Trade and Development (UNCTAD) highlighted that United States’ protectionist approach, ongoing geopolitical tensions among many, are set to negatively impact international trade in 2025.
Cooling inflationary pressures, stable growth forecasts, improving business transactions can stir positive momentum in the trade outlook in the early 2025, UNCTAD expects global trade to grow by 3.3% or by $1 trillion in 2024, while goods and services can contribute to about $500 billion each.
Previously, the World Trade Organization (WTO) slashed its merchandise trade projections to 3% from 3.3% in 2025. For 2024, WTO revised its estimations for merchandise trade growth to 2.7% from 2.6% earlier.
Escalation of conflict in West Asia can fuel disruption to shipping and rising energy prices due to higher risk premiums.
“While the disruptive impact of the Red Sea crisis has been contained to date, other routes could be impacted in a wider conflict. There would also be a heightened risk of energy supply disruptions given the region’s prominent role in petroleum production. Higher energy prices would dampen economic growth in importing economies and weigh on trade indirectly,” said a source.
Notably, services exports surged to $35.67 billion as compared to $28.11 billion in November 2023. These exports clocked an all-time high of $34.31 billion in October, up 22.3 percent YoY.
