India’s trade deficit narrows to $20.67 billion in March
India’s merchandise
trade deficit narrowed to $20.67 billion in March,
government data showed on Wednesday, amid risks the Iran war
could impede exports to Gulf countries while raising the cost of
energy and other imports.
Economists had expected the trade deficit to be $32.75
billion in March, according to a Reuters poll, compared with a
deficit of $27.1 billion in the previous month.
India’s merchandise exports rose to $38.92 billion in March
from $36.61 billion in February, while imports fell to $59.59
billion from $63.71 billion, data showed.
The U.S. on Wednesday said its military had completely halted
trade going in and out of Iran by sea, even though President
Donald Trump said talks with Tehran on ending the war could
resume this week.
The war has prompted Iran to effectively shut the Strait of
Hormuz, a crucial global waterway for crude and gas transport,
disrupting energy supplies for net energy importer India, while
crimping its trade with the Middle East.
India – unlike Japan, South Korea and Taiwan – depends on
the Gulf shipping routes to move its products, and those routes
have becomes prohibitively expensive as freight and insurance
costs spike.
Published on April 15, 2026