India posts another record high trade deficit in June

According to preliminary data by the Ministry of Commerce and Industry, India's exports grew by 16.8% y/y in June 2022, decelerating from the 20.6% y/y in May. Over the same period, imports' growth was more impressive, rising by 51% y/y although it decelerated compared to the 62.8% y/y reading in the previous month. This resulted in another record high trade deficit of USD 25.6bn, up USD 1.3bn compared to the May result.

India's exports grew by 16.8% y/y in June 2022, decelerating from the 20.6% y/y in May

The total value of exports declined by USD 1bn over the previous month, to USD 27.9bn in June, while the imports saw a marginal increase of USD 360mn m/m. India's non-oil exports' growth decelerated to 5.6% y/y but the value of oil imports increased by 97.8% y/y on the back of high global crude oil prices, which have a negative effect on India's trade. In addition to this, the INR continued to depreciate against the USD in June, which has made imports more expensive.

More data and visuals on India's foreign trade here

Further data and analysis on India’s economy are available on the CEIC India Economy in a Snapshot – Q2 2022 report.