Exports at 2-year high of 13.47 pc in October, trade gap widens

PTI Posted online: Monday, Nov 11, 2013 at 0000 hrs
New Delhi : Recovery in global markets pushed the country's exports to a two year high of 13.47 per cent to USD 27.2 billion in October even as trade deficit worsened on account of rise in gold imports.

Last time in September 2011, the country's merchandise shipments increased by 36 per cent.

Gold and silver imports increased to USD 1.3 billion in the month under review from USD 0.8 billion in September, 2013.

Trade deficit jumped to USD 10.5 billion as against USD 6.76 billion in September this year. The trade deficit in October 2012 was at USD 20.2 billion.

Oil imports grew by 1.7 per cent year-on-year to USD 15.2 billion.

Overall imports declined by 14.5 per cent to USD 37.8 billion in October as compared to the same period last year.

Commerce Secretary S R Rao said improvement in western markets have helped in pushing the exports.

"Exports have shown a significant increase and imports fell significantly... All the regions are doing well. We see no concerns. Only South Asia and Latin America are marginally low," Rao told reporters here.

In April-October, exports grew by 6.32 per cent to USD 179.38 billion, while imports during the period contracted by 3.8 per cent to USD 270.06 billion.

Rao expressed confidence that the country would achieve the USD 325 billion target for the current fiscal.

"All the major sectors (engineering, textiles and gems and jewellery) having significant contribution have shown a positive growth trend," he added. Engineering exports grew by 36 per cent to USD 5.6 billion in October.

Commenting on the figures, Apparel Export Promotion Council (AEPC) Chairman A Sakthivel said exports were expected to continue growing in double digits in the coming months.