India’s exports surged 82 percent year-over-year to $29.3 billion in July, according to latest provisional figures released by the Commerce Ministry.
Total exports from April through July, the first four months of fiscal 2011, increased 54 percent to $108.3 billion from a year earlier.
“The growth rates will definitely slow down from August due to a demand contraction in traditional markets such as the U.S. and Europe,” a Commerce Ministry official said.
Imports for July grew 51.5 percent to $40.4 billion on a year-on-year basis, creating a trade gap of $11.1 billion. Imports during April-July grew 40 percent to $151 billion, and the trade deficit for the four months to the end of July was estimated at $42.7 billion.
“Based on current indications, monthly exports are likely to fall to less than $25 billion, which would make it tough to achieve a figure of $300 billion for the entire fiscal year,” the official said.
According to him, export growth was largely led by engineering goods, finished garments, petroleum products and pharmaceuticals. India exported $246 billion worth of goods in fiscal 2011, which ended March 31, 2011, and aims to boost outbound trade to $450 billion by 2014.