INDIA’S TRADE DEFICIT WIDENS IN MAY 2019 TO $15.36 BN.
15, Jun 2019
Prelims level : Indian Economy [GS3A]
Mains level :
What is Trade Deficit?
- It is a situation in a country’s economy where its Imports Exceed Its Exports.
- Such a situation leads to the outflow of domestic currency to the foreign markets. It is otherwise referred to as negative Balance of Trade.
Trade Deficit = Imports – Exports:
- The major items which saw an increase in exports are
1. Electronic Goods
2. Organic and Inorganic chemicals
3. Readymade goods of all textiles.
- The segments that saw strong growth in exports include Pulses and Gold. Petroleum products are the major import commodity in India followed by Precious stones and Metals.
