India's merchandise trade deficit decreased to $20.98 billion in March, significantly lower than the expected $32.75 billion. Exports rose to $38.92 billion, while imports fell to $59.9 billion. The ongoing conflict in Iran poses risks to India's export capabilities and increases energy import costs.

• 01India's trade deficit narrowed to $20.98 billion in March.
• 02Exports increased to $38.92 billion, up from $36.61 billion in February.
• 03Imports decreased to $59.9 billion, down from $63.71 billion.
• 04The Iran conflict is affecting shipping routes and increasing costs.
• 05The US has halted maritime trade with Iran amid ongoing tensions.

The narrowing trade deficit may provide some relief to the Indian economy, but rising shipping costs due to the Iran conflict could affect prices for consumers and businesses reliant on imports.