Exports rose 24.22 per cent to $38.19 billion in April 2022, on account of a healthy performance by sectors such as petroleum products, electronic goods and chemicals, the commerce ministry said today.

Imports during the month registered a 26.55 per cent growth to $58.26 billion, with the highest increase in petroleum, coal and electronic goods sectors, according to preliminary trade data for April shared by the ministry.

Trade deficit at $20.07 billion was 31.23 per cent higher than in the year-ago period.

“The increase in the merchandise trade deficit was entirely on account of oil. Although the non-oil trade deficit remained stable, there was a shift in its composition, with a plunge in gold imports being offset by a rise in non-oil non-gold imports such as coal and chemicals, an unsavoury yet expected fallout of the higher commodity prices engendered by the Russia-Ukraine conflict,” Aditi Nayar, chief economist, Icra said.

Exporters are optimistic that the free trade agreements (FTAs) will help the sector maintain the growth momentum. Export of non-petroleum goods increased 12.32 per cent to $30.46 billion whereas imports grew 9.87 per cent to $35.27 billion during the month.

April exports have grown in tandem with the 2021-22 performance when outbound shipments touched a record high of $419.65 billion (growing over 40 per cent), as the world bounced back from the Covid-19 induced slowdown. Imports increased to $611.89 billion, resulting in a trade deficit of $192.24 billion.

“Despite geopolitical challenges, engineering goods exports have continued the growth momentum set in the last financial year. Exports of engineering items in value terms stayed above $9 billion in April and recorded 15 per cent year-on-year growth. This clearly shows India is gradually moving towards becoming a manufacturing powerhouse in the world,” Mahesh Desai, Chairman, EEPC India said.