The October trade deficit has widened to a three-year high to $14.02 billion from $8.98 billion in September, while Oil imports rose by more than 27% as compared to the previous fiscal, the government data showed. The fall in total exports by 1.1% year-on-year to $23.10 billion and rise in total imports by 7.6% at $37.12 billion widened the trade deficit even further to $14.02 billion up from $8.98 billion in September and $11.13 billion last year.
The rising oil imports come at a time when the international crude oil prices are surging each day, pushing even fuel prices at home higher. The jewellery imports rose by 24.5% in October to $2.31 billion, while the non-oil imports were at $27.83 billion up 2.2% year-on-year. Merchandise exports for October fell 1.12 percent from a year ago to $23.1 billion. Goods imports last month were $37.12 billion, a gain of 7.6 percent from a year ago, data from the commerce and industry ministry showed.
Gold imports dipped by 16% to $2.94 billion last month. Cumulative exports during April-October 2017-18 increased by 9.62% to $170.28 billion, while imports grew by 22.21% to $256.43 billion, leaving a trade deficit of $86.14 billion. In October, petroleum, engineering and chemicals exports grew by 14.74%, 11.77% and 22.29%, respectively. India’s export had soared by 25.67% to $28.61 billion in September, logging its highest growth in last six months on the back of expansion in shipments of chemicals, petroleum and engineering products.