India's merchandise trade deficit in August widened to $29.65 billion as merchandise exports fell, dragged down by rising shipping costs and a decline in global demand, data released by the government showed on Tuesday.

India reported record gold imports totaling $10 billion in August. It was over a three-fold increase over the previous month.

India’s trade deficit widened in August with a fall in exports due to a global slowdown, while imports climbed as domestic demand remained strong ahead of the festive season.

While goods exports in August this year totalled $34.71 billion compared to $38.28 billion in August 2023, goods imports stood at $64.36 billion compared to $62.30 billion in August last year.

India's trade data for August has been revised, showing that imports have reached a record high. This has led to a widening of the trade deficit to $29.65 billion. Exports in August declined from 2023.

Merchandise exports rose to $34.71 billion in value terms in August, but merchandise imports increased to $64.36 billion.