More Stories

Informist, Monday, Dec. 30, 2024

 

--Sources: Apr-Nov goods imports could be revised down by at least $5 bln

--Sources: Nov gold imports may be revised down by $3 bln-$4 bln

--Sources: Double counting of 40 tonnes of gold behind surge in Nov imports

 

By Krity Ambey

 

NEW DELHI – India's goods imports data for Apr-Nov could be revised downwards by at least $5 billion, according to a government official. While the official, who spoke on the condition of anonymity, did not specify the commodities and months for which the data might be revised, the comments come after the Directorate General of Commercial Intelligence and Statistics started a detailed review of India's trade data following a massive jump in gold imports in November. According to a commerce ministry official, the results of the review of the data, including the magnitude of the revision, may be disclosed around Jan. 15 along with trade data for December.

 

India's gold imports rose more than four times in November from a year ago to a record $14.86 billion, propelling overall imports to an all-time high of $69.95 billion. This led to the merchandise trade deficit also widening to a new high of $37.84 billion, 27% more than a year ago. For Apr-Nov, India's merchandise imports stand at $486.73 billion, up 8% on year.

 

According to two bullion traders, gold imports for November may be revised down by $3 billion-$4 billion, with one of the traders saying there had been a double-counting of about 40 tonnes of gold last month. While data with the government shows 173 tonnes of gold was imported in November, traders estimate it was closer to 133–136 tonnes, they said.

 

To be sure, November was not the first time that India's gold imports saw a double-counting. Starting July, a single system--the Indian Customs Electronic Data Interchange Gateway, or ICEGATE--is being used to handle bills of entry for imported goods. This marked a departure from a two-system method used until then: the Department of Commerce's SEZ Online system for goods stored in warehouses or bonded areas, which aren't considered official imports, and the ICEGATE system for bills for goods intended for domestic consumption, which are considered actual imports.

 

The move to consolidate both the types of data into the ICEGATE was supposed to streamline the process and allow for faster sharing of data. But according to the aforementioned traders, the shift led to some miscalculations in gold imports for July and August also, although these were minor and to the tune of around half a tonne.

 

"We did not flag previous small discrepancies, but we were scared that the government might take policy measures based on the double-counted data after noticing such a surge in gold imports in November," one of the traders said.

 

In its Monthly Economic Review report for November, released on Thursday, the finance ministry said the November trade "may be subject to revision". Meanwhile, the commerce ministry is yet to officially say if it is looking into any discrepancies in the numbers.  End

 

 

US$1 = INR 85.56

 

Edited by Akul Nishant Akhoury

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

 

Informist Media Tel +91 (11) 4220-1000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2024. All rights reserved.