Picture for representational purposes.
The marginal surplus came at a time when there was a steeper drop in imports compared to exports
On July 15, Union Commerce Minister Piyush Goyal tweeted that India had recorded a trade surplus in June for the first time in 18 years. A trade surplus occurs when the value of exports exceeds that of imports.
The surplus came at a time when there was a sharp fall in total trade. This was mainly because of a steeper fall in imports compared to that of exports, triggered by a major drop in domestic demand largely due to the pandemic.
Trade history
The chart shows India’s total trade (blue bar) and trade balance (exports-imports, in red) between June 2019 and June 2020. Total trade declined after January and was the lowest in April before picking up in May and June. Trade deficit reduced consistently from January and recorded a surplu