Loading...

Top
Help
×

By creating an account you can:

Logo TaxTMI
Call Us / Help / Feedback

Contact Us At :

E-mail: [email protected]

Call / WhatsApp at: +91 99117 96707

For more information, Check Contact Us

FAQs :

To know Frequently Asked Questions, Check FAQs

Most Asked Video Tutorials :

For more tutorials, Check Video Tutorials

Submit Feedback/Suggestion :

Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters 0/2000
Make Most of Text Search
  1. Checkout this video tutorial: How to search effectively on TaxTMI.
  2. Put words in double quotes for exact word search, eg: "income tax"
  3. Avoid noise words such as : 'and, of, the, a'
  4. Sort by Relevance to get the most relevant document.
  5. Press Enter to add multiple terms/multiple phrases, and then click on Search to Search.
  6. Text Search
  7. The system will try to fetch results that contains ALL your words.
  8. Once you add keywords, you'll see a new 'Search In' filter that makes your results even more precise.
  9. Text Search
Add to...
You have not created any category. Kindly create one to bookmark this item!
Create New Category
Hide
Title :
Description :
❮❮ Hide
Default View
Expand ❯❯
Close ✕
🔎 News - Adv. Search
TEXT SEARCH:

Press 'Enter' to add multiple search terms. Rules for Better Search

Search In:
Main Text + AI Text
  • Main Text
  • Main Text + AI Text
  • AI Text
Category: ?
Categorized by AI
---- All Categories ----
  • ---- All Categories ----
  • Income Tax
  • GST
  • Customs, DGFT & SEZ
  • FEMA & RBI
  • Corp. Laws, SEBI & IBC
  • PMLA, Black Money & ED
  • Budget
  • News and Press Release
  • PTI News
Month:
---- All Months ----
  • ---- All Months ----
  • January
  • February
  • March
  • April
  • May
  • June
  • July
  • August
  • September
  • October
  • November
  • December
Year:
---- All Years ----
  • ---- All Years ----
  • 2026
  • 2025
  • 2024
  • 2023
  • 2022
  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012
  • 2011
Sort By: ?
In Sort By 'Default', exact matches for text search are shown at the top, followed by the remaining results in their regular order.
Relevance Default Date
    Prolonged Middle East crisis can impact exchange rate, fuel inflation: FinMin report
    Rupee falls 18 paise to close at 91.82 against US dollar
    Indian refiners snaps up Russian oil cargoes at sea after US waiver; seeks legal clarity
    GeM Celebrates Seven Years of SWAYATT Initiative to Promote Inclusive Public Procurement.
    Petroleum lobby won't easily allow shift to alternative fuels: Gadkari citing Rs 22L cr import bill
    Best Crypto to Buy Now for March 2026: Traders Position for DeepSnitch AI’s March 31 Launch While ONDO and Kaspa Drift
    India's forex reserves jump USD 4.88 bn to all-time high of USD 728.49 bn
    Govt invokes ESMA powers, orders refiners to ramp up LPG production
    Finkurve Financial Services Limited (Arvog) gone live with Godrej Finance to Offer Gold Loans Under RBI Co-Lending Framework
    Govt will use every policy tool to help exporters deal with West Asia crisis: Piyush Goyal
    Union Minister of Commerce & Industry Shri Piyush Goyal Says Education as a Service Has Significant Potential to Boost India’s Export Earnings and T...
    Rupee ends 6 paise lower at 91.70 against USD in range-bound trade amid West Asia crisis
    Power tariff for domestic, commercial consumers in Punjab slashed
    Union minister inaugurates advanced Aadhaar Seva Kendra in Ranchi
    ED raids against people linked to Reliance Power; company denies
    Navi Finserv convenes close to 200 financial sector leaders at the 3rd Navi Lenders Summit 2026
    Focus on making Indian agri products export-oriented, globally competitive: Modi
    ED raids against Reliance Power Ltd in Mumbai, Hyderabad
    8th Central Pay Commission Invites Representations from Stakeholders.
    Rupee rebounds from lowest level to settle 41 paise higher at 91.64 against US dollar
❯❯
Maximize Maximize Maximize
0 / 200
Expand Note
Add to Folder

No Folders have been created

+

Are you sure you want to delete "My most important" ?

NOTE:

News
Showing Results for :
Reset Filters
Results Found:
Show All Summaries Hide All Summaries
March 6, 2026
Show AI Summary
Exchange rate risk may rise from prolonged Middle East crisis, potentially stoking inflation and straining energy dependent sectors.
Prolonged Middle East escalation can transmit higher energy prices into the domestic economy, creating exchange rate pressure and inflationary impulses via shipping disruptions and damage to regional energy infrastructure; subdued capital flows and a flight-to-safety may aggravate currency weakness, while energy dependent sectors like fertilisers and petrochemicals face vulnerability. Offsetting these risks are ample foreign exchange reserves, a low current account deficit in H1 FY26, still-moderate inflation, strong GDP momentum, and policy measures-including trade diversification and Budget 2026-27 fiscal-capex initiatives-expected to strengthen external resilience.
March 6, 2026
Show AI Summary
Rupee depreciation risks persist as energy-driven pressures and fund outflows may prompt central bank intervention.
Rupee depreciation to 91.82 was driven by rising crude prices, Middle East geopolitical tensions, foreign fund outflows and weak domestic equities; the US allowance for limited Russian oil purchases provided temporary relief. Rating commentary highlighted risks of higher inflation and a wider current account deficit if energy prices remain elevated. Analysts signalled that sustained oil-price spikes could compel stronger central bank intervention in spot and offshore non-deliverable forward markets to contain volatility.
March 6, 2026
Show AI Summary
OFAC waiver for stranded Russian oil permits deliveries to Indian entities but legal clarity on dealings with sanctioned entities is sought.
A US Treasury licence allows delivery, sale and offloading of Russian-origin crude and petroleum products loaded before March 5, 2026, to purchasers organised under Indian law until April 4, 2026; it permits purchases of cargoes stranded at sea, including on sanctioned vessels, but is silent on whether transactions with sanctioned entities are allowed, prompting Indian refiners to seek legal opinion while acquiring mainly non sanctioned cargoes to rebuild inventories amid regional supply disruptions.
March 6, 2026
Show AI Summary
Inclusive public procurement expands market access for startups, women entrepreneurs and MSEs through digital storefronts and capacity building.
SWAYATT expands direct access of startups, women entrepreneurs, youth, MSEs and SHGs to public procurement via GeM by using digital infrastructure, dedicated storefronts, capacity building and ecosystem partnerships to reduce market entry barriers, improve discoverability among government buyers and promote transparent transactions; GeM reports sustained increases in participation and order volumes for these seller segments over the seven-year period, attributing growth to platform-driven inclusivity, outreach and targeted support measures.
March 6, 2026
Show AI Summary
Energy security through alternative fuels faces entrenched petroleum resistance, challenging policy efforts to transition transport to greener fuels.
The article identifies resistance from petroleum interests as a primary obstacle to achieving Energy Security by promoting non-polluting indigenous fuels, compressed bio-gas and other alternative fuels. It describes government commitments to make the transport ecosystem smart, safe and sustainable by 2030 through support for technology, market entry and rural economic benefits, while warning that vested commercial interests may impede regulatory deployment and market scaling of green fuels.
March 6, 2026
Show AI Summary
Token presale utility signals promising demand and positions traders ahead of listing, subject to investor risk disclosures.
The commentary promotes DeepSnitch AI's token presale as a superior speculative opportunity based on live on chain utilities (Feed, Scan, Cast GPT, Audit, Explorer), a small cap and presale pricing with a 300% bonus ahead of a March 31 launch. It contrasts DeepSnitch's live product driven demand with ONDO's RWA tokenization fundamentals and Kaspa's PoW architecture, stresses a limited window to access the presale before listings, and includes a risk disclaimer urging independent financial advice.
March 6, 2026
Show AI Summary
Foreign exchange reserves rise as central bank reports gains across foreign currency assets, gold, SDRs and IMF reserve position.
The central bank's weekly reserves report records an increase in foreign exchange reserves driven by growth in foreign currency assets, a rise in gold reserves, a marginal uptick in Special Drawing Rights, and an improved reserve position with the IMF, with part of the foreign currency assets movement attributable to valuation effects from non US currencies.
March 6, 2026
Show AI Summary
Emergency powers under Essential Commodities Act direct refiners to prioritise LPG production for domestic household cooking supply.
Government, exercising emergency powers under the Essential Commodities Act, ordered all refiners to maximise utilisation of propane and butane streams for LPG production, to supply that LPG only to three public sector oil marketing companies for sale to domestic households for cooking, and prohibited diversion of those streams to petrochemical manufacture, with penal consequences for contravention.
March 6, 2026
Show AI Summary
RBI co-lending framework enables joint gold loans with lead originator handling sourcing and servicing, and shared underwriting oversight.
A co-lending arrangement under the Reserve Bank of India's co-lending framework establishes a participation-based funding structure where the NBFC leads loan sourcing, onboarding, KYC, gold valuation, collections and servicing, while credit assessment and sanctioning occur under a mutually agreed credit framework; risks and rewards are shared in line with regulatory guidance and structured governance, compliance oversight and joint portfolio monitoring are implemented to ensure transparency and prudent portfolio management.
March 6, 2026
Show AI Summary
Export support measures to mitigate shipping disruptions and enable exporters to manage surcharges, insurance and contractual risks.
Government will use coordinated policy tools and the export promotion machinery, via an inter ministerial group, to engage shipping stakeholders and mitigate elevated freight rates, war risk surcharges and insurance premiums affecting exporters. Measures under consideration include fiscal and credit support, restraint on insurance premium increases, waivers of port charges where cargo is rolled, and customs and central bank facilitation for returning, redirecting or diverting in transit cargo; exporters also seek formal recognition of disruption as a force majeure type event to prevent contractual penalties.
March 6, 2026
Show AI Summary
Education as a service can broaden India's export reach by internationalising higher education and promoting dual degrees.
Education as a service is presented as a strategic export sector enabled by the National Education Policy, which permits international campuses, dual degree arrangements and cross-border student exchanges. The document advocates modular dual-degree models, curriculum updates incorporating international trade and emerging technologies, faculty retraining, and infrastructure upgrades to retain outbound students and attract inbound students. It calls for coordinated action among government, academia and industry to operationalise internationalisation, expand student mobility and strengthen the global competitiveness of Indian higher education institutions.
March 6, 2026
Show AI Summary
RBI intervention may cap currency depreciation amid energy-driven pressure on the rupee and balance of payments.
Rupee depreciation pressures from higher crude prices and capital outflows led to an intraday decline, with indications of RBI intervention in spot and offshore NDF markets to curb volatility; a temporary external allowance for refiners eased immediate supply stress, while analysts warn that persistent energy shocks could raise inflation, widen the current account deficit and complicate monetary and fiscal management.
March 6, 2026
Show AI Summary
Power tariff reduction implemented from April eases rates for domestic, commercial, industrial consumers and lowers EV charging costs.
Power tariff reductions will take effect from April 1: domestic consumers receive a per-unit cut beyond the existing monthly 300-unit concession and reduced fixed charges per kilowatt; commercial traders and shopkeepers obtain per-unit reductions by load capacity; a low fixed per-unit charge is set for electric vehicle charging; fixed charges for industrial connections up to a specified capacity are reduced and the industrial segment faces no tariff increase in the coming financial year; advocates are reclassified to residential tariff.
March 6, 2026
Show AI Summary
Mandatory Biometric Update urged for children as new Aadhaar Seva Kendra expands regional enrolment and service access.
An advanced Aadhaar Seva Kendra has been inaugurated in Ranchi to enhance Aadhaar service delivery. Authorities urged completion of the Mandatory Biometric Update for children at prescribed ages to ensure access to government schemes and avoid registration problems; schools were asked to help reduce pending MBUs. UIDAI currently operates ASKs in three Jharkhand districts and plans a phased expansion of new centres to additional districts to increase regional enrolment capacity.
March 6, 2026
Show AI Summary
PMLA investigation prompts raids at locations linked to corporate group; company denies premises were targeted.
Enforcement Directorate teams conducted coordinated searches at multiple locations linked to a corporate group under a PMLA probe into alleged bank loan fraud and associated money laundering, with parallel allegations of financial irregularities under FEMA. The agency has filed three money laundering cases and formed a special investigation team; the principal individual has been questioned twice. The company denies any raids at its offices.
March 6, 2026
Show AI Summary
NBFC middle layer classification underscores diversified funding through multiple debt instruments and strengthened risk and tech-based underwriting.
The company, an RBI registered NBFC categorised as an NBFC middle layer under Scale Based Regulations, emphasised technological underwriting, risk management, and collections platforms to support disciplined scaling. Since April 2025 it mobilised diversified capital across instruments including Non Convertible Debentures, Commercial Papers, Term Loans, Securitisation, Direct Assignment and Co Lending Arrangements to strengthen its capital base while prioritising sustainability and asset quality.
March 6, 2026
Show AI Summary
Export-oriented agriculture: scale high-value production, strengthen missions, technology and market linkages for global competitiveness growth.
Transition agriculture to an export-oriented model by scaling high-value crop production, strengthening value addition, processing and storage, and aligning output with global quality and branding standards through national missions, budgetary support and coordinated engagement of experts, industry and farmers; promote chemical-free natural farming and crop diversification to access global markets and mitigate risks.
March 6, 2026
Show AI Summary
Money laundering investigation triggers Enforcement Directorate searches at company locations, probing alleged bank loan fraud and FEMA irregularities.
Enforcement Directorate teams searched multiple locations linked to Reliance Power Ltd. and its executives in Mumbai and Hyderabad in an investigation into alleged money laundering connected to suspected bank loan fraud and related financial irregularities under the Foreign Exchange Management Act. The ED has filed multiple money laundering cases against the group, constituted a special investigation team on the Supreme Court's direction, and has questioned the principal corporate figure under the anti money laundering law.
March 6, 2026
Show AI Summary
Pay commission representations invited for stakeholders; online submissions required by deadline, paper copies may be disregarded.
The Eighth Central Pay Commission invites representations from employees, pensioners, associations and organizations through a prescribed structured memorandum format available on innovateindia.mygov.in and 8cpc.gov.in, with online submissions to be received up to 30th April, 2026; paper-based copies, emails or PDFs submitted by other means may not be considered.
March 5, 2026
Show AI Summary
Currency intervention stabilizes local currency amid geopolitical-driven oil price shock and capital outflows.
Central bank intervention to curb exchange-rate volatility is identified as the primary operative mechanism: suspected Reserve Bank purchases supported a rebound in the rupee, with the RBI expected to sterilise these operations to maintain liquidity. Geopolitical conflict and rising crude prices increased import-cost risk and safe-haven flows, while a firm dollar and foreign portfolio outflows added depreciation pressure even as domestic equities recovered.

News

Back

All News

Showing Results for :
Reset Filters
No Records Found

News

Back

All News

Showing Results for : Reset Filters
Customs, DGFT & SEZ

Directorate General of Commercial Intelligence and Statistics Revises Base Year of Merchandise Trade Indices to FY 2022–23 to Reflect Current Trade Structure and Global Patterns

February 21, 2026

Contents
Summary
Note

Note

-

Bookmark

Print

Print

Merchandise Trade Indices are compiled and published by the Directorate General of Commercial Intelligence and Statistics (DGCI&S), Ministry of Commerce & Industry, to measure changes in the unit values (prices) of India’s exports and imports over time. These indices serve as important indicators of external sector price movements and are widely used for economic analysis, including national accounts compilation and assessment of terms of trade. Over the years, the base year of the indices has been periodically revised to reflect structural changes in India’s trade composition and evolving global trade patterns. The most recent revision updates the base year to FY 2022–23 (2022–23 = 100), replacing the earlier base of FY 2012–13, thereby ensuring that the indices accurately represent the current structure of India’s merchandise trade.

Revision of Base Year of India’s Merchandise Trade Indices to FY 2022–23

The Directorate General of Commercial Intelligence and Statistics (DGCI&S), Ministry of Commerce & Industry, has revised the base year of India’s Merchandise Trade Indices from FY 2012–13 to FY 2022–23 (2022–23 = 100), in view of the structural changes in the economy, shifts in commodity composition, evolving trade patterns, and the need for improved alignment with contemporary macroeconomic indicators.

The revision has been undertaken on the recommendations of a committee constituted by DGCI&S under the Chairmanship of Prof. Nachiketa Chattopadhyay, Professor, Indian Statistical Institute, Kolkata. The Committee examined the existing methodology, data coverage, weighting structure, and compilation practices, and recommended suitable refinements in line with international best practices.

Key Features of the Revised Series (Base: FY 2022–23)

  1. Updated Base Year:
    The new base year FY 2022–23 makes the Indices reflect the current structure of India’s external trade more accurately.
  2. Revised Commodity Basket:
    The coverage and classification of commodities have been reviewed at the Principal Commodity level to better capture emerging and declining trade items.
  3. Revised Weighting Structure:
    Weights have been updated based on trade values of the new base year to reflect the latest value shares in exports and imports.
  4. Improved Methodology:
    Methodological refinements have been introduced in:
    1. Selection of common commodity basket for base year selection (procedure of selection for common commodity basket explained in detail report of the committee).
    2. Treatment of missing unit values (Imputation of missing unit values in base year selection have been explained in detail in the committee report).
  5. Indices Compiled:
    The revised series includes:
    1. Monthly, Quarterly and Annual Indices (Export Unit Value Index,Import Unit Value Index).
    2. Principal Commodity (PC) Classification wise Trade Indices (Export/Import).
    3. Standard International Trade Classification-wise (SITC) Trade Indices.
    4. Broad economic categories-wise (BEC) Trade Indices.
    5. Bilateral and Region-wise Trade Indices of Top 20 Export and Import partner nations of India.
    6. Terms of Trade (Gross terms of trade, Net terms of trade and Income terms of trade).

Rationale for Revision

Over the past decade, India’s trade basket has undergone substantial changes due to emergence of new commodities, technological advancements, Global supply chain restructuring and changes in relative price structures.

The earlier base year (FY 2012–13) no longer adequately reflected the prevailing trade structure. The revision ensures improved relevance, reliability, and analytical usefulness of the Merchandise Trade Indices for policymakers, researchers, and other stakeholders.

Use of the Revised Series

Merchandise Trade Indices compiled by the Directorate General of Commercial Intelligence and Statistics (DGCI&S) are extensively used by key government institutions for economic analysis and policy formulation. The National Accounts Division (NAD) of the Ministry of Statistics and Programme Implementation uses the Export and Import Unit Value Indices as deflators for estimating real exports and imports in GDP compilation. The Reserve Bank of India (RBI) relies on these indices for external sector assessment, balance of payments analysis, and evaluation of price competitiveness. Various Ministries and Government agencies also use them to frame and review trade-related policies and to assess movements in international prices. In addition, academic institutions, research organizations, and economic analysts utilize Merchandise Trade Indices for empirical research, modelling, and analysis of trade dynamics and terms of trade trendson and economic research.

Availability of Data

The revised Merchandise Trade Indices (Base: FY 2022–23) will be released on the official website of DGCI&S. Detailed methodological documentation is available in the Report of the Committee on Revision of Base Year for Merchandise Trade Indices.

Comparison of the new revised Indices (Base Year: 2022-23) with the already released Indices (Base Year : 2012-13) for 2022-23 and 2023-24 is given below.

#BY means Base Year.

 

#BY means Base Year.

Table: Unit Value Index (UVI) and Quantity Index (QI) during FY 2025-26(Apr-Nov) using FY 2022-23 as base year

 

Month

Apr_25

May_25

Jun_25

1st Qtr 25-26

Jul_25

Aug_25

Sep_25

2nd Qtr 25-26

Oct_25

Nov_25

Unit Value Index

Export

105.31

99.73

96.31

100.33

99.31

100.55

104.08

101.23

103.78

105.32

Import

92.33

97.97

91.74

94.08

96.34

100.81

108.69

101.93

110.17

106.59

Quantity Index

Export

107.85

104.76

93.88

101.91

103.41

102.64

111.04

105.57

116.19

113.06

Import

138.16

126.61

112.58

125.17

122.47

124.06

126.45

124.32

137.04

121.75

Qtr  means Quarter.

Meaning and interpretation of the Indices

The Unit Value Indices and the Quantity Indices may be interpreted along the following lines.

The Unit Value Index answers the question: What is the growth in the average Unit Value of the items1 traded in the current month with respect to the same month in the Base Year?

So, an Unit Value Index of, say, 120 means that if the items that have been traded in the current month had been traded in the same month of the base year, and if the average price (or unit value) of those items had been Rs.100 in that month of the base year, then the average price (or unit value) of these items in the current month is Rs.120. Or that, there is a 20% increase in the average Unit Value, with respect to the Base Year, of the items that have been traded in the Current Month.

For example, let us suppose 30 items, 10 items each from 3 different Principal Commodities, have been traded in the current month. If these 30 items had been traded in the corresponding month of the base year at an average price of Rs.100, then the average price of these items in the current year is Rs.120.

It is to be noted that there are two successive steps of averaging done here. The first averaging is done over all the items (or ITCHS) of a PC group to arrive at the Index of that PC group. And the second averaging is done over all the PC groups to arrive at the Index at the Grand Total level for all commodities (which is the overall Index for India for a month). In both the stages, a weighted average is taken where the weights are proportional to the importance of the items and the PC groups respectively, and the Laspeyres Formula is used for averaging.

Quantity Indices, say, 200 means that if in the base year on an average 100 units were traded in India in the base year, then in the current year on an average 200 units were traded. However, it must be remembered that averaging quantities are different from averaging prices, since quantities in different units cannot be added directly.

So, the Quantity Indices are calculated by dividing the Value Indices by the Unit Value Indices. For example, if there is an increase in the Value of Export from Rs. 10,000 to Rs. 24,000, then the Value Index is 24000/10000 × 100 = 240. If the Unit Value Index is 120, then the Quantity Index comes to 240/120 × 100 = 200. So, loosely it can be said that, if the value of export has increased 2.4 times and the price of the commodities has increased 1.2 times, then the quantity must have doubled.

However, it may be noted that a very high or low Quantity Index may indicate the presence of Base Effect.

The Interpretation of the Bilateral and Regional Indices can be seen as an extension of the above.

A Unit Value Index of 120 with respect to a country, say Bangladesh, means that if all the items that have been traded with Bangladesh in the current month had been traded in the same month of the base year with the same country, and if the average price (or unit value) of those items had been Rs.100 in that month of the base year, then the average price (or unit value) of these items in the current month is Rs.120.

Similarly, a Quantity Index of 200 with respect to a country, say Bangladesh, means that if in the base year on an average 100 units were traded in India in the base year, then in the current year on an average 200 units were traded.

Comparability of the Indices across time

It is to be noted that the weights in the Index Number formula are fixed across time and there are twelve sets of weights for the twelve months. Hence, comparability of Indices is meaningful only when Indices of same month are compared across years. Different months may attach different weights to the same item, and hence comparing indices of two different months becomes vague and may have little applicability.

Further, the weights of the items that are not present in the trade basket of the current month are distributed to all the items that have been traded in the current month. This distribution is done in proportion to the weights of those items.

For example, let us suppose there are only 3 commodities for trade, say A, B and C. In month May of the Base year, let us suppose that the trade value of A was Rs. 50, B was Rs. 100 and C was Rs. 50. Then the weights assigned to A, B and C in the month of May of the following years would be in the ratio 50 :100 :50. However, in case, C is not traded in the current month, then the weight of C would be distributed proportionately among A and B, again in the ratio 1:2 (since in May the weights of A and B are in the ratio of 50 : 100, i.e., 1 : 2). So, in the current month the weights of A and B would be 3313  and 6623 .

As a result, the weights in any two given months are dependent on exactly the number of items (ITCHS codes) traded in those months. If the items traded are widely different, inference drawn from the comparison of the Indices may be done accordingly. On the other hand, more the similarity in the number of items traded more is the comparability of the two indices.

Net Terms of Trade:

Net Terms of Trade also called commodity Terms of Trade is defined as a ratio of export prices to import prices.

Let say 2022-23 be the base year and 2023-24 be the final year. We express both export and import prices in 2022-23 as 100. Now, suppose that at the end of 2023-24, it is found that the index of export prices decreased to 90 and index of import prices roses to 150. Then the Net Terms of Trade has changed to 90100150100=35 . Then terms of trade as index=35*100=60 . It implies that terms of trade of the country have decreased by about 40% in 2023-24 as compared with 2022-23. It thus shows a deterioration or a worsening of the terms of trade of the country.

If the index of export prices has risen to 150 and that of import prices had risen to 120, then the net terms of trade would have changed to 150120*100=125 . This implies an improvement in the net terms of trade of the country by 25% in 2023-24 over 2022-23.

Gross Terms of Trade:

Gross Terms of Trade is the ratio of physicalquantity of import to physical quantity of export.

Let say 2022-23 be the base year. In that year, the quantities export and import are denoted by 100. Now, suppose that in the year 2023-24, the index of quantity of import was 150 and that of quantity of export was 120. Then the gross terms of trade is given by 150100120100=54,  in terms of percentage =54*100=125 . This implies that there was an improvement of gross terms of trade by 25% in 2023-24 compared to 2022-23.

Income Terms of Trade: Income Terms of Trade is defined as- Net Terms of Trade multiplied by quantity of export.

Topics

Acts Income Tax