In December 2024, India witnessed a significant drop in gold imports, which fell by half to $4.7 billion compared to the previous month. This decline comes after the government’s reassurance of better data coordination to ensure accurate and reliable information. The overall goods exports in December also showed a contraction, decreasing by 1 percent to $38.01 billion, primarily due to lower exports of petroleum products and gems & jewellery.
On the other hand, imports in December 2024 saw a 4.9 percent year-on-year increase to $59.95 billion, resulting in a widening trade deficit of $21.94 billion. Despite the lower gold imports in December, the figures were still significantly higher than the same period in 2023, indicating a relatively robust demand for gold in the country.
To address the data discrepancies and improve the accuracy of trade figures, the government is implementing standard operating procedures and developing a data analytics platform with the help of artificial intelligence. This initiative aims to provide better insights into the country’s trade trends and ensure transparency in reporting.
Overall, the trade deficit for April-December 2024 widened to $210.77 billion compared to the same period last fiscal year. While exports have shown a modest growth of 1.6 percent, imports have increased by 5.15 percent during this period. The government’s efforts to streamline data reporting and enhance analysis tools are crucial for maintaining a healthy trade balance and fostering sustainable economic growth in the future.