NEW DELHI, Nov 14 Reuters India39;s merchandise trade deficit in October widened more than expected to 27.14 billion, driven by a surge in imports, trade data released by the government on Thursday showed.

Economists had expected the country39;s October trade deficit to be 22 billion, according to a Reuters poll, compared to 20.78 billion in the previous month.

India39;s merchandise exports in October stood at 39.2 billion, while imports were 66.34 billion, government data showed. In the previous month, merchandise exports were 34.58 billion and imports stood at 55.36 billion.

In October, services exports were estimated at 34.02 billion, and imports at 17 billion. In September, services exports were estimated at 30.61 billion, and imports at 16.32 billion.

However, with current trends in trade, India39;s total exports are expected to rise above 800 billion in the fiscal year ending in March 2025, Trade Secretary Sunil Barthwal told reporters after the release of the trade numbers.

India39;s total exports touched 776.68 billion last fiscal year, according to government estimates, almost at the same level as a year ago.

In October, gold imports rose to 7.13 billion, from 4.39 billion in the previous month, the data showed. Gold imports had increased to 10.06 billion in August, the highest since March 2021, after the government slashed the import tariff on the yellow metal in July.

Reporting by Shivangi Acharya; Editing by Abinaya Vijayaraghavan

Source Reuters