ANSWER: Fell by 20.7% to USD 21.6 billion
Explanation:
Indian exports fell on account of sluggish global demand and lower commodity prices leading to job loss in sectors which are labour intensive. Contraction in imports despite sharp increase in gold purchases held the trade deficit in check. Data released showed exports fell from USD 21.6 Billion to USD 26.8 billion in 2015 from 2014. Imports declined by 10% to USD 33.7 billion leaving a trade gap of USD 12.4 billion which is lower than the previous month’s USD 12.8 billion. Traditional exports of Indian such as engineering, carpets and leather fell in August by 29%, 12.78% and 22%. Petrol product exports fell by 47.88%. Data released by Commerce and Industry Ministry also showed that gold imports rose to USD 4.9 billion in August however. Decline in imports was led by massive 42% fall in petrol goods and non oil imports grew by 7% to USD 26.38 billion. In the first 5 months of present fiscal(April-August) exports fell 16.17% to USD 111.09 billion and imports declined to USD 168.8 billion by 11.61% resulting in trade deficit of USD 57.5 billion.
