The Directorate General of Commercial Intelligence and Statistics (DGCI&S) has revised the base year of Merchandise Trade Indices from FY 2012–13 to FY 2022–23 to better reflect India’s current trade structure and global patterns — a key external sector development often analysed in UPSC coaching in Hyderabad.
About Merchandise Trade Indices
• Compiled and published by DGCI&S, Ministry of Commerce & Industry.
• Purpose: Measures changes in unit values (prices) of India’s exports and imports over time.
• Base Year: Updated to FY 2022–23 for more accurate representation of trade trends — an important statistical concept discussed in IAS coaching in Hyderabad under national income and trade indicators.
Components of the Revised Series
• Monthly, Quarterly, Annual Indices: Export Unit Value Index and Import Unit Value Index.
• Principal Commodity (PC) Classification-wise Indices: Export and Import categories.
• Standard International Trade Classification (SITC) Indices.
• Broad Economic Categories (BEC) Indices.
• Bilateral and Region-wise Indices: Covering top 20 export and import partner nations.
• Terms of Trade: Includes Gross, Net, and Income terms of trade — concepts frequently examined in UPSC online coaching.
Significance
• Serves as a key indicator of external sector price movements.
• Helps in economic analysis and national accounts compilation.
• Useful for assessing India’s terms of trade with partner countries.
• Provides policymakers with insights into global competitiveness and trade sustainability — a recurring GS-III theme in civils coaching in Hyderabad.
Conclusion
The revision of the Merchandise Trade Indices base year to 2022–23 ensures that India’s trade statistics reflect current realities of global commerce. These indices are vital tools for monitoring external sector trends, guiding economic policy, and evaluating India’s trade performance in a rapidly changing world.
