How Did India’s Exports Perform in November with a Narrowing Trade Deficit?
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Synopsis
India's merchandise trade deficit has sharply decreased in November, highlighting a positive shift in exports amidst global economic challenges. This article explores the factors behind this improvement and the government's strategies to bolster trade.
Key Takeaways
- Merchandise trade deficit decreased to $24.53 billion in November.
- Exports rose to $38.13 billion, showcasing growth.
- Gold imports dropped by 60%, aiding in deficit reduction.
- India targets $100 billion trade with Russia by 2030.
- Government measures aim to bolster export markets.
New Delhi, Dec 15 (NationPress) India’s merchandise trade deficit saw a significant drop to $24.53 billion in November, down from $41.68 billion in October, despite the ongoing global market uncertainties caused by the US tariff issues, according to data released by the Commerce Ministry on Monday.
Merchandise exports for November 2025 reached $38.13 billion, while imports were around $62.66 billion. Additionally, services exports increased from $32.11 billion to $35.86 billion, with a slight rise in imports to $17.96 billion compared to $17.25 billion in the same month last year.
In total, exports in November amounted to $73.99 billion, reflecting growth from $64.05 billion in November of the previous year. Imports experienced a slight decline, totaling $80.63 billion compared to $81.11 billion in November 2024.
Commerce Secretary Rajesh Agarwal noted that the drop in imports was primarily driven by shipments of gold, oil, and coal.
"The decrease in gold imports by nearly 60 percent in November has contributed to narrowing the trade deficit," he stated.
"November has balanced out the losses incurred in October, and the cumulative exports from April to November this year are higher than the same period last year."
The Central government has enacted measures such as GST rate reductions, a promotional package aimed at diversifying export markets, and introduced labor reforms to mitigate the economic impact of the punitive tariffs imposed by the US on India’s exports.
Recently, Prime Minister Narendra Modi and US President Donald Trump held a phone conversation following a visit by a high-level team of US officials to Delhi for trade discussions.
Meanwhile, India is actively pursuing the diversification of its export markets. The government is examining approximately 300 products, including engineering goods, pharmaceuticals, agriculture, and chemicals, that can be exported to Russia, with both nations targeting a $100 billion trade goal by 2030, according to an official.
Currently, India's exports of these goods to Russia stand at $1.7 billion, compared to Russia's $37.4 billion in imports.
Point of View
It is essential to recognize the significance of India’s evolving trade landscape. The narrowing trade deficit indicates strategic measures taken by the government, reflecting adaptability in the face of global challenges. This trend not only supports the economy but also positions India as a competitive player on the international stage.
NationPress
15/12/2025
Frequently Asked Questions
What is the current merchandise trade deficit of India?
India's merchandise trade deficit stood at $24.53 billion in November 2025.
What were the export figures for India in November 2025?
Merchandise exports for November 2025 reached $38.13 billion.
What factors contributed to the narrowing trade deficit?
The decline in gold imports by about 60 percent significantly contributed to narrowing the trade deficit.
Which products is India targeting for export to Russia?
India is looking to export around 300 products, including engineering goods, pharmaceuticals, agriculture, and chemicals to Russia.
How is the Indian government supporting export growth?
The government is implementing measures such as GST rate cuts, promotional packages to diversify export markets, and introducing labor reforms.
