SME Times News Bureau | 09 Feb, 2012
Exports grew by 10.1 percent to $25.4 billion in January, while imports surged 20.3 percent to $40.1 billion, leaving a trade deficit of $14.7 billion, Commerce Secretary Rahul Khullar said in New Delhi on Thursday.

Cumulative exports in the first 10 months of the current financial year stand at $242.8 billion, which is 23.5 percent higher than the exports registered during the corresponding period of last year.

Given the current pace, the government is unlikely to meet the $300 billion exports target for the fiscal ending March 31, 2012.

Talking to reporters, Khullar said exports have slowed down in the last three-four months mainly because of slowdown of demand in the US and European markets.

However, growth in imports remained high, thus widening the trade deficit.

Imports surged by 29.4 percent to $391.5 billion in April-January period of the current financial year, leaving trade deficit of $148.7 billion.

"Imports are still buoyant because of high prices of crude oil and vegetable oil. Trade deficit is large but my guess is that it will narrow down in the next two months," Khullar said while releasing the provisional data.

He said trade deficit was likely to widen to $160 billion in the current financial year.

As regards to imports during April 2011-January 2012, the growth estimates on the following sectors are: POL, 38.8% (US $ 117.9 billion); Gold and silver 46.6% (US 50 billion); machinery, 25.8% (US $ 28.8 billion), electronics, 22.9% (US $ 27.8 billion), Organic & inorganic chemicals 23.6% (US $ 15.8 billion ) and coal 69% (US $ 14.1 billion US $).

The figures are only the rough estimates.