Imports for the month of August came down to $37.05 billion vs $38.01 billion month on month. Gold imports fell to $0.65 billion as compared to $2.2 billion in the previous month.
The encouraging piece of news from the trade numbers was a surge in exports growth to 13%. Exports for the month of August stood at $26.14 billion.
India has been grappling with a high trade deficit, which has put pressure on the current account deficit and hence the rupee.
The trade deficit for the month of August has come in lower, thanks to reducing gold imports and encouraging exports.
The rupee which had rallied against the dollar in afternoon gave up some gains after the trade deficit numbers were higher then expected. It was last trading at 64.24 to the dollar.