Jump in gold imports widens India's trade deficit

India's trade deficit widened to one-and-a-half year high of USD 16.86 billion in November due to over six-fold jump in gold imports even as merchandise exports grew by 7.27%.

Trade deficit in November last year was US $9.57 billion.

Gold imports stood at US $5.61 billion in November this year as against US $835.83 million in the corresponding month in 2013, according to the data released by the Commerce Ministry. Total imports in November, including oil, jumped by 26.79% to US $42.82 billion. Oil imports dipped by 9.7% to US $11.71 billion.

Non-oil imports, however, grew by 49.6% to US $31.10 billion. Merchandise exports grew to US $25.96 billion after recording a contraction in October. During April-November, imports were up 4.65% to US $316.37 billion, while exports were up 5.02% to US $215.75 billion. Trade deficit during this period stood at US $100.61 billion as against US $96.89 billion in the same period last fiscal.