InvestorQ : How do you see the trade data for the month of May 2020 announced on Monday?
Dilmini Mercia made post

How do you see the trade data for the month of May 2020 announced on Monday?

Answer
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Dhwani Mehta answered.
3 months ago


Trade data was always going to be a problem for the month of May 2020 with the global trade taking a big hit and the lockdown taking its toll on supply chains. Domestic logistic constraints and slump in global demand only worsened matters for India trade. If you look at the merchandise exports it fell by 36.5% but imports fell by a massive 51.1% in May 2020. This resulted in the trade deficit narrowing substantially to $3.2 billion as reported by the Ministry of Commerce. This is relatively better than April where merchandise exports and imports had declined by 60.3% and 58.7%. Imports have remained tepid largely because of weak oil prices. However, the FIEO has warned that this could result in a major challenge in the form of sustainability and job creation by Export firms.