India’s exports contracted 6.57% in September as shipments of petroleum, engineering, gems & jewellery and chemicals fell. Imports declined 13.85% to a three-year low of $36.89 billion, indicating weak domestic demand in a slowing economy.
The drop in shipments of petroleum, engineering, leather, chemicals and gems & jewellery made India's exports shrink to $26.03 billion. The trade deficit narrowed to a seven-month low of $10.86 billion from $14.95 billion a year earlier and $13.45 billion in August.
Only eight out of 30 key export sectors showed growth in September. Electronic exports rose 33%.
China’s exports dropped 8.5% last month while imports decreased 3.2% from a year earlier.
India’s exports of gems & jewellery, engineering goods and petroleum products contracted 5.56%, 6.2% and 18.6%, respectively.
Gold imports plunged 50.82% to $1.27 billion. Non-oil and non-gold imports fell 8.8% in September, indicating weak domestic demand.