ENGLISH WITH NIMISHA BANSAL

L
SA
N
BA
A
H
IS
IM
N
 ENGLISH WITH NIMISHA BANSAL

READING COMPREHENSION QUESTIONS

Direction : Read the following passage carefully and answer the questions given

L
below them.

SA
India’s goods exports shrank for the seventh consecutive time and the ninth time in 11
months this August, while imports surged to hit the highest level since March this year. At
$58.6 billion, inbound shipments were still 5.2% below last August’s levels, but exports fell

N
by a relatively steeper 6.9%, leading to a $24.2 billion trade deficit — the widest since
October 2022. Goods exports are now down 11.9% so far this year and imports have
BA
dropped 12.1%. (P) this engine that has been resilient so / (Q) but Commerce Ministry
extrapolations suggest that / (R) services exports for last month will be known later /
(S) is also beginning to feel the heat / (T) far through the global economic turmoil,.
For now, the 0.4% drop expected in services exports in August is minor and with intangible
A

imports also likely dropping at a sharper pace, this will not exacerbate the trade balance yet.
However, shrinking services exports imply that their ability to bridge the goods trade deficits
H

that were up sharply last year, will be restricted, thus raising the possibility of wider current
account deficits from this quarter.
IS

With global commodity prices rising around 12% from June levels to hit a 15-month high this
month, the pressure on the goods trade deficit is likely to escalate, especially as oil and
IM

gems and jewellery imports have fallen less than their exports so far in 2023-24. In the first
four months of this fiscal, about half the decline in outgoing shipments has been fuelled by
petroleum despite volumes rising 6%, as prices fell 27%. This may change if global oil
N

prices, which ______(A)_______ $90 per barrel over the past week for the first time since
November 2022, stay elevated. Export volumes of as many as 13 major items rose between
April and July, but their value had declined owing to lower prices. That is a good omen about
demand for Indian goods amid the gloom, and the government believes rising commodity
prices will help trade tallies. But they could also be a double-edged sword for India as its
strategic gambit to import more Russian oil has turned less lucrative. Moreover, sticky
 ENGLISH WITH NIMISHA BANSAL

inflation could further dampen demand, especially in key markets such as the European
Union, which just hiked interest rates to a record high. Inflation reheated in the United States
last month, but not enough yet to dent festive demand that may lift order books in coming
months. That engineering goods, which account for a quarter of India’s exports, clocked their
first uptick after eight months in August, with half of the 14 key segments of exports growing
— the best performance in nine months — is a welcome sign. India needs to do all it can to
nurture precious green shoots and support exporters.

L
SA
1. What is the current trend in India's goods exports and imports in 2023?

N
A. Goods exports have risen, and imports have dropped.
BA
B. Goods exports and imports have both risen.
C. Goods exports and imports have both dropped
D. Goods exports have dropped and imports have risen.
E. Goods exports and imports have remained stable.
A
H
IS

2. Choose the most suitable word to fill the given blank (A)?
a. Surpassed
b. Exceeded
IM

c. Crossed

A. Only a
N

B. Only b
C. Both a and b
D. Both b and c
E. All of a, b and c
 ENGLISH WITH NIMISHA BANSAL

3. What was the percentage change in India's goods exports and imports in August
compared to the same month last year, as mentioned in the passage?

A. Exports fell by 6.9%, while imports rose by 5.2%.

B. Exports dropped by 11.9%, while imports fell by 12.1%.

L
C. Exports increased by 6.9%, while imports surged by 12.1%.

SA
D. Exports shrank by 5.2%, while imports reached a record high.
E. Exports remained stable, while imports surged to their highest level.

N
BA
4. According to the passage, which among the following statements is True?
a. India's goods exports and imports both experienced declines in August compared to the
same month last year, resulting in a widening trade deficit.
b.India's services exports in August are expected to have a significant positive impact on
A

the trade balance, according to Commerce Ministry extrapolations.

H

c. The decline in India's goods exports and the widening trade deficit in August have
contributed to concerns about the country's trade balance and its potential impact on the
IS

current account.

A. Only a
IM

B. Only c
C. Both a and b
D. Both a and c
N

E. None of a, b and c.
 ENGLISH WITH NIMISHA BANSAL

5. In the question given below, a sentence has been broken down into five fragments labeled
(P), (Q), (R), (S) and (T) arranged, not necessarily in the correct order. You have to find the
correct order of arrangement from the options given below.

(P) this engine that has been resilient so / (Q) but Commerce Ministry extrapolations

L
suggest that / (R) services exports for last month will be known later / (S) is also

SA
beginning to feel the heat / (T) far through the global economic turmoil,.

A. RSTPQ
B. RQPTS

N
C. TQSRP BA
D. TSRQP
E. No error
A

6. Which major item's export volumes rose between April and July, but their value declined
H

due to lower prices?

IS

A. Gems and jewellery

B. Petroleum
C. Engineering goods
IM

D. Services
E. Intangible imports
N

7. What is the primary purpose of services exports, as stated in the passage?

 ENGLISH WITH NIMISHA BANSAL

A. To promote India's goods exports.

B. To generate revenue for the government.
C. To fete the outcome of contests.
D. To encourage the government's commitment to diversity.
E. To bridge the goods trade deficits.

L
SA
8. Which of the following options can be the appropriate Antonym (s) of the word ‘Gambit’ ,
as used in the above passage?
a. Cessation

N
b. Regression BA
c. Stratagem

A. Only b
B. Both a and c
C. Only a
A

D. Both a and b
H

E. All a, b, and c
IS
IM
N

9. Which market, mentioned in the passage, has hiked interest rates to a record high,
potentially impacting demand for Indian goods?

A. The United States

B. India
C. The European Union
 ENGLISH WITH NIMISHA BANSAL

D. China
E. Russia

L
10. Which of the following options can be the appropriate Synonym (s) of the word

SA
‘Exacerbate’ , as used in the above passage?
a. Aggravate
b. Ameliorate
c. Improve

N
A. Only b
BA
B. Both a and c
C. Only a
D. Both a and b
E. All a, b, and c
A
H
IS
IM
N
 ENGLISH WITH NIMISHA BANSAL

ANSWER

1.Ans: C

Reference: The passage mentions that goods exports are down 11.9% so far in 2023, while
imports have dropped 12.1%.

L
2.Ans: E

SA
Explanation: Surpassed- to go beyond in amount, extent, or degree; be greater than;
exceed; Exceeded; Crossed
3.Ans: A

N
Reference: The passage states, "exports fell by a relatively steeper 6.9%, leading to a $24.2
BA
billion trade deficit.”

4.Ans: D

Explanation: Option A- The passage mentions, "while imports surged to hit the highest
A

level since March this year. At $58.6 billion, inbound shipments were still 5.2% below last
August’s levels, but exports fell by a relatively steeper 6.9%, leading to a $24.2 billion trade
H

deficit."
IS

Option B- The passage mentions, "For now, the 0.4% drop expected in services exports in
August is minor and with intangible imports also likely dropping at a sharper pace, this will
not exacerbate the trade balance yet."
IM

Option C- The passage states, "Goods exports are now down 11.9% so far this year and
imports have dropped 12.1%... shrinking services exports imply that their ability to bridge the
goods trade deficits... raising the possibility of wider current account deficits from this
N

quarter."

5.Ans: B
 ENGLISH WITH NIMISHA BANSAL

Explanation: Services exports for last month will be known later, but Commerce Ministry
extrapolations suggest that this engine that has been resilient so far through the global
economic turmoil, is also beginning to feel the heat.

6.Ans: B

Reference: The passage states that in the first four months of the fiscal year, about half of

L
the decline in outgoing shipments was fueled by petroleum, despite volumes rising 6%, as
prices fell 27%.

SA
7.Ans:E

N
Reference: The passage mentions, "shrinking services exports imply that their ability to
bridge the goods trade deficits... will be restricted."
BA
8.Ans: D

Explanation: Cessation- the stopping of something; a pause in something; Regression

A

Stratagem- a trick or plan used to gain an advantage on an enemy or to trick an opponent.

H

9.Ans: C
IS

Reference: The passage mentions that the European Union recently hiked interest rates to
a record high, which could impact demand for Indian goods.
IM

10. Ans: C
N

Explanation: Aggravate- to make something worse or more serious

Ameliorate- to make something better; Improve