India's imports declined to their lowest level in four months in June to 40.29 billion U.S. dollars, down nine percent from a year ago, indicating weakening consumption in Asia's third largest economy, economists said.

The Indian economy grew 5.8 percent in the January-March period, a five-year low, hurt by weak consumption and tepid private investment. The latest data added to the fears that the economy may have slowed further in April-June.

In the last two quarters, the Indian economy has seen a sharp fall in sales of automobiles, petroleum products and consumer goods.

India's oil imports during June fell 13.33 percent to 11.03 billion U.S. dollars, while gold imports surged 13 percent to 2.70 billion U.S. dollars.

Imports excluding gold and oil also fell 9 percent to 26.57 billion U.S. dollars in June 2019, the data showed.

"This (falling imports) is not a positive sign ... this is a serious kind of slowdown," said Rupa Rege Nitsure, chief economist at L&T Financial Holdings.

India's merchandise exports also fell in June for the first time in nine months, dropping 9.71 percent year-on-year to 25.01 billion U.S. dollars, narrowing the trade deficit for the month by 8 percent to 15.28 billion U.S. dollars.

Economists linked the weakness in exports to a trade war between the United States and China.

"(The) de-growth in exports is a reflection of sluggish global demand and rising tariff war ... U.S.-China trade war and developments in Iran further aggravated the problem of the world economy," Sharad Kumar Saraf, president of the Federation of Indian Export Organisations, said in a statement.