- Trade surplus widened to USD 3.26 billion in September, continuing trend of shrinking surplus with exports grew at a slower pace than imports in annual terms (6.44% vs 8.55%).
- Exports slowed down by declining CPO exports attributed to India’s import tax hike, however, was offset by coal and ferronickel exports.
- Imports slows down in capital goods, particularly electrical equipment (HS 85), additionally cereal imports also declined.
- The surplus is likely to be maintained in the short-term, with rising imports from higher oil prices offset by rising coal prices and potential impact from China stimulus.
