New Delhi: India's exports fell 10.3 percent year-on-year basis to $34.98 billion in May this year, according to commerce ministry data released on Thursday. Imports also slid 6.6 percent to $57.1 billion against $61.13 billion during the corresponding period of last year.
As a result, the trade deficit rose to a five-month high of $22.1 billion. India has been consistently witnessing a trade deficit for many years now.
It occurs mainly due to the high demand for crude oil, gold, and electronic goods, which form a main chunk of India's import basket.
Also, the country's domestic manufacturing sector has failed to compete globally, which has led to a growing dependence on imported goods. Commerce Secretary Sunil Barthwal said that headwinds still continue on the global trade front.
He further informed that an export strategy focussing on 40 countries is being worked upon by both the departments of commerce and promotion for industry and internal trade.
