From $661.2 million during April-June 1997, exports have dropped to $651 million during the same period this year. However, as a result of depreciation of the Indian currency, exports have registered an uptrend in rupee terms by 12.5 per cent, from Rs 2315 crore to Rs 2604 crore.

Among the worst affected has been the dyes and dye intermediate sector, which till recently was one of the star export performers. Exports of dyes and intermediates have declined by a whopping 16.6 per cent from $147.4 million to $123 million.

A drastic drop of 29.5 per cent in the dye intermediate segment has been the main cause of the poor performance of the sector. Industry sources attribute the drop in the intermediate segment to the south east Asian crisis. Some exporters had to call back their material on account of the buyer refusing to accept due to a currency crisis.

Others who managed to sell in these marketare having problems recovering their dues. Further Indian exports of intermediates were also competing with European countries and middle east which led to a drop in prices.

Exports performance would have been worse but for a strong performance by the pharmaceuticals, fine chemicals and crude drugs sector. Bulk drugs and finished formulations segment has grown by 7.5 per cent from $ 281.6 million to $ 302.7 million. Basic bulk drugs sector has shown a growth of 25 per cent from $ 108.7 million to $ 136.2 million mainly on account of growth in exports of drugs which have recently gone off-patent.

Industry sources say that volume growth has been substantial considering the fact that prices of most of bulk drugs, specially antibiotics have been depressed. Pharmaceutical formulation, however, has shown a negative growth of 3.7 per cent from $ 172.9 million to $ 166.5 million.

Crude drug exports have increased by 10.8 per cent from $ 9.3 million to $10.3 million. Exports of psyllium husk have increased from$ 4 million to $ 4.8 million, while that of other crude drugs has gone up from $ 3.7 million to $ 4.4 million. Exports of Senna leaves and pods have declined from $ 1.6 million to $ 1.1 million.

Higher prices in the domestic market as well as a poor crop have resulted in exports of castor oil increasing by only 1.9 per cent from $ 49.5 million to $ 48.6 million. Exports of castor oil (dehydrated), in fact has dropped from $ 0.6 million to $ 0.5 million. Exports of castor oil, say traders, is likely to pick up in the coming months.

Inorganic, organic and agro chemicals sector has shown a marginal drop of 4.7 per cent from $ 137 million to $ 130.5 million. Only the inorganic chemicals has shown a paltry growth from $ 17.2 million to $ 17.5 million. Organic chemicals exports on the other hand has declined from $ 74 million to $ 72 million, while that of agro chemicals has dropped from $ 45.8 million to $ 41 million, a drop of 10.5 per cent. Competition from middle east has been cited as the reason for adrop in exports of organic chemicals.

Synthetic detergents have maintained its export performance at $ 1.4 million. Soap exports on the other hand have declined from $ 1.8 million to $ 1.5 million. Essential oil exports have dropped from $ 4.5 million to $ 4 million a drop of 11 per cent. Sandalwood oil export have increased