Blitz Bureau
NEW DELHI: India’s merchandise trade deficit narrowed to $27.1 billion in February from $34.68 billion in the previous month, according to data released by the Ministry of Commerce and Industry on March 16. The country’s merchandise exports rose to $36.61 billion from $36.56 billion in January, while imports fell to $63.71 billion from $71.24 billion, the figures showed.
India’s merchandise exports stood at $402.93 billion for April–February 2025–26, up from $395.66 billion in the same period last year, which represents a 1.84 per cent increase, according to official data. The data comes against the backdrop of the escalation in the Iran war, which broke out on February 28, leading to a choking of the Strait of Hormuz in the Middle East through which 20 per cent of the world’s oil and gas exports transit. The blocking of the Strait has also hit India’s exports of commodities such as rice to the Middle East countries.
Earlier, around 50 per cent of India’s energy imports came through the Strait of Hormuz, but these have now been diversified, with a big chunk coming from Russia.
India’s strategic oil reserves and diversification of energy imports across 40 supplier countries have transformed the country’s capacity to absorb global energy shocks. This resilience has ensured that there is no energy crisis in India due to the disruption caused by the Iran war, as the government is tackling the situation with supply-side management, a senior official said.
