India's merchandise exports recorded approximately 15% growth during April-May of the current financial year, despite ongoing global economic uncertainties, a senior government official said on Monday, as reported by PTI. The Ministry of Commerce is scheduled to release the country's trade data for May on June 15.
"During the two months, exports are up by 15%," the official stated. This strong performance follows a robust start to the fiscal year in April, when merchandise exports rose 13.78% year-on-year to $43.56 billion, marking the highest monthly outbound shipments in over four years.
Key Drivers of Export Growth
The increase in April exports was largely driven by petroleum product shipments, amid a surge in global crude oil prices. However, higher imports also pushed the country's trade deficit to a three-month high of $28.38 billion during the month.
Trade Deficit Concerns
While export growth has been encouraging, the widening trade deficit remains a concern for policymakers. The deficit in April was the highest since January 2024, reflecting strong domestic demand for imports.
Experts note that sustaining export momentum will depend on global demand recovery and managing import costs. The government continues to monitor the situation closely, with further data expected to provide clearer insights into trade trends.
