India’s trade to grow despite global contraction

Rising US-Chinese tensions have negatively affected the growth of global trade. According to the DHL Global Trade Barometer, trade in India will grow, albeit at a slower rate, in the third quarter of 2019. In fact, India is the only one of four nations in Asia (tracked by the Global Trade Barometer) to still record an index value of above 50. However, the value has dropped by 6 points over the previous quarter to reach 53.

The growth in India’s trade has been attributed to strong ocean trade. However, air trade is set to contract due to softening exports of consumer fashion goods; persistent weakness in high technology and machinery imports; and a sharp decline in exports of chemicals and products. 

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