INDIA’S FOREIGN TRADE: August 2020

India’s overall exports (Merchandise and Services combined) in April-August2020-21* are estimated to be USD 182.13billion, exhibiting a negative growth of (-)19.32per cent over the same period last year. Overall imports in April-August 2020-21* are estimated to be USD 167.94billion, exhibiting a negative growth of (-) 38.00per cent over the same period last year.

*Note: i) The latest data for services sector released by RBI is for July 2020. The data for August 2020 is an estimation, which will be revised based on RBI’s subsequent release ii) the figures in bracket are growth rates vis-à-vis corresponding period of last year.

I. MERCHANDISE TRADE

EXPORTS (including re-exports)

• Exports inAugust2020 were USD22.70 billion, as compared to USD25.99billion in August 2019, exhibiting a negative growth of (-)12.66per cent. In Rupee terms, exports were ₹ 1,69,513.81crore in August2020, as compared to ₹ 1,84,921.23crore in August2019, registering a negative growth of (-)8.33per cent.
• Major commodities which have recorded positive growth during August 2020 vis-à-vis August 2019 are Other cereals  (316.04%), Rice (59.14%), Iron ore (46.03%), Oil meals (28.89%), Oil seeds (24.96%), Cereal preparations & miscellaneous processed items (24.05%), Drugs & pharmaceuticals (17.27%), Carpet (15.53%), Fruits & vegetables (15.04%), Meat, dairy & poultry products (10.73%), Tobacco (10.59%), Jute mfg. including floor covering (9.18%), Plastic & Linoleum (0.59%) and Coffee (0.09%).
• Major commodities which have recorded negative growth during August 2020 vis-à-vis August 2019 are Cashew (-47.61%), Gems & jewellery (-43.28%), Petroleum products           (-39.91%), Man-made yarn/fabs./made-ups etc. (-24.23%), Marine products (-23.04%), Leather & leather products (-16.82%), Tea (-16.74%), Mica, Coal & other ores, minerals including processed minerals (-16.59%), RMG of all textiles (-14%), Electronic goods                (-13.84%), Spices (-7.96%), Engineering goods (-7.69%), Handicrafts excl. hand made carpet (-5.24%), Organic & inorganic chemicals (-4.71%), Ceramic products & glassware             (-4.61%) and Cotton yarn/fabs./made-ups, handloom products etc. (-0.42%).
• Cumulative value of exports for the period April-August 2020-21 was USD97.66billion (₹ 7,35,835.87crore) as against USD133.14billion (₹ 9,28,243.85crore) during the period April-August 2019-20, registering a negative growth of (-)26.65per cent in Dollar terms (negative growth of (-)20.73per cent in Rupee terms).
• Non-petroleum and Non-Gems and Jewellery exports in August 2020 were USD18.95billion, as compared to USD19.57billion in August2019, registering a negative growth of  (-) 3.17per cent. Non-petroleum and Non-Gems and Jewellery exports in April-August 2020-21 were USD83.24billion, as compared to USD99.65billion for the corresponding period in 2019-20, which is a decrease of (-)16.47 per cent.

IMPORTS

• Imports in August2020 were USD29.47billion (₹ 2,20,083.69crore), which is a decline of(-) 26.04per cent lower in Dollar terms and (-) 22.38per cent in Rupee terms over imports of USD39.85billion (₹ 2,83,530.41crore) in August2019. Cumulative value of imports for the period April-August 2020-21 was USD118.38billion (₹ 8,91,978.43crore), as against USD210.39billion (₹ 14,66,659.90crore) during the period April-August 2019-20, registering a negative growth of (-)43.73per cent in Dollar terms and a negative growth of (-)39.18per cent in Rupee terms.
• Major commodity groups of import showing negative growth in August2020 over the corresponding month of last year are:

CRUDE OIL AND NON-OIL IMPORTS:

• Oil imports inAugust2020 were USD6.42billion (₹ 47,948.84crore), which was 41.62percentlower in Dollar terms (38.73percent lower in Rupee terms), compared to USD11.00billion (₹ 78,255.69crore) in August2019. Oil imports inApril-August 2020-21 were USD26.03billion (₹ 1,96,183.35crore) which was 53.61per cent lower in Dollar terms (49.86percent lower in Rupee terms) compared to USD56.11billion (₹ 3,91,293.04crore), over the same period last year.
• In this connection it is mentioned that the global Brent price ($/bbl) has decreased by 25.30% in August2020 vis-à-vis August2019 as per data available from World Bank.
• Non-oil imports inAugust2020 were estimated at USD23.05billion (₹ 1,72,134.85crore) which was 20.10per cent lower in Dollar terms (16.14percent lower in Rupee terms), compared to USD28.85billion (₹ 2,05,274.71crore) in August2019. Non-oil imports inApril-August 2020-21 were USD92.35billion (₹ 6,95,795.08crore) which was 40.14per cent lower in Dollar terms (35.30percent lower in Rupee terms), compared to USD154.28billion (₹ 10,75,366.86crore) in April-August2019-20.
• Non-Oil and Non-Gold imports wereUSD19.35billion in August2020, recording a negative growth of (-)29.61per cent, as compared to Non-Oil and Non-Gold importsof USD 27.49billion in August2019. Non-Oil and Non-Gold imports wereUSD86.17billion in April-August 2020-21, recording a negative growth of (-)38.34 per cent, as compared to Non-Oil and Non-Gold importsUSD 139.75billion in April-August 2019-20.

II. TRADE IN SERVICES

EXPORTS (Receipts)

• As per the latest press release by RBI dated 15^thSeptember 2020, exports in July2020 were USD 17.03billion (₹ 1,27,721.26 crore) registering a negative growth of (-) 10.76per cent in dollar terms, vis-à-vis July2019. The estimated value of services export for August2020* is USD 17.23billion.

IMPORTS (Payments)

• As per the latest press release by RBI dated 15^th September 2020 imports in July 2020 were USD 10.05 billion (₹ 75,345.87 crore) registering a negative growth of (-)21.69per cent in dollar terms, vis-à-vis July2019. The estimated value of service import for August2020* is USD 10.31billion.

III.TRADE BALANCE

• MERCHANDISE: The trade deficit for August2020 was estimated at USD6.77billion as against the deficit of USD13.86billion inAugust2019, which is a decline of (-) 51.14 percent.
• SERVICES: As per RBI’s Press Release dated 15^th September 2020 the trade balance in Services (i.e. Net Services export) for July 2020 is USD6.98 billion. The estimated trade balance in August 2020* is USD 6.92 billion.
• OVERALL TRADE BALANCE: Taking merchandise and services together, overall trade surplus for April-August 2020-21* is estimated at USD14.20billion as compared to the deficit of USD45.11billion in April-August 2019-20.

 *Note: The latest data for services sector released by RBI is for July2020. The data for August2020 is an estimation, which will be revised based on RBI’s subsequent release.

MERCHANDISE TRADE

EXPORTS & IMPORTS  : (US $ Billion)

(PROVISIONAL)

	AUGUST	APRIL-AUGUST
EXPORTS(including re-exports)
2019-20	25.99	133.14
2020-21	22.70	97.66
%Growth 2020-21/ 2019-20	-12.66	-26.65
IMPORTS
2019-20	39.85	210.39
2020-21	29.47	118.38
%Growth 2020-21/ 2019-20	-26.04	-43.73
TRADE BALANCE
2019-20	-13.86	-77.25
2020-21	-6.77	-20.72
EXPORTS &IMPORTS: (Rs. Crore)
(PROVISIONAL)
	AUGUST	APRIL-AUGUST
EXPORTS(including re-exports)
2019-20	1,84,921.23	9,28,243.85
2020-21	1,69,513.81	7,35,835.87
%Growth 2020-21/ 2019-20	-8.33	-20.73
IMPORTS
2019-20	2,83,530.41	1,466,659.90
2020-21	2,20,083.69	8,91,978.43
%Growth 2020-21/ 2019-20	-22.38	-39.18
TRADE BALANCE
2019-20	-98,609.17	-5,38,416.05
2020-21	-50,569.88	-1,56,142.56

SERVICES TRADE

EXPORTS & IMPORTS (SERVICES) : (US $ Billion)

(PROVISIONAL)	July 2020	April-July 2020-21
EXPORTS (Receipts)	17.03	67.24
IMPORTS (Payments)	10.05	39.25
TRADE BALANCE	6.98	28.00
EXPORTS & IMPORTS (SERVICES): (Rs. Crore)
(PROVISIONAL)	July 2020	April-July 2020-21
EXPORTS (Receipts)	1,27,721.26	5,08,679.39
IMPORTS (Payments)	75,345.87	2,96,868.14
TRADE BALANCE	52,375.39	2,11,811.25
Source: RBI Press Release dated 15th September2020

Click here to see QUICK ESTIMATES FOR SELECTED MAJOR COMMODITIES FOR AUGUST 2020