India's trade deficit widens to $3.96 billion in February
India's trade deficit hit $3.96 billion in February 2026, flipping from a surplus of $2.72 billion last year.
Both exports and imports grew, but imports outpaced exports, aided in part by higher gold and silver import values.
A closer look at the numbers
Merchandise exports dipped slightly, while merchandise imports shot up by over $12 billion compared to last year.
Services were a bright spot: exports there jumped by nearly $8 billion, though services imports also crept up.
Gold and silver imports play a big role
Gold imports rose more than 20% during April-January 2025-26, reaching $61.46 billion between April and January.
Silver saw an even wilder jump during April-January 2025-26, up 128% to almost $10 billion.
These precious metals made a huge difference in the overall trade gap, showing how global trends (and maybe some local demand for bling) can really shake up the numbers.