Exports poised to cross US$ 350 bn, says FIEO
In July, Indian export growth slipped to 7.33 per cent at US$ 27.72 billion on an annual basis, while imports rose 4.25 per cent to US$ 39.95 billion.
Federation of Indian Export Organisations (FIEO) said the country's exports can surpass the US$ 350 billion target this fiscal as growth in the manufacturing sector is expected to pick up pace.
“Global trade scenario is improving with positive development in the US, EU and emerging economies and in coming months exports should reflect these developments,” Rafeeque Ahmed, FIEO President said.
“We can cross US$ 350 billion exports target this fiscal as manufacturing is expected to pick up,” he added. Trade deficit marginally narrowed to US$12.22 billion from US$12.49 billion a year ago.
Ahmed said the 7.36 per cent growth in exports in July was lower than the expected double digit growth. “While engineering, chemicals and pharma, apparel, leather, marine continued to post better results in July as was in the earlier months, but gems and jewellery, electronics, cotton textiles continue to be cause of concern as their negative growth is pulling down overall exports growth,” he said.
In July, oil imports increased 12.75 per cent to US$14.35 billion, while non-oil imports were up by 0.03 per cent to US$ 25.6 billion.
Gold imports were down 26.39 per cent to US$ 1.81 billion from US$ 2.46 billion in the same month last year. Exports in May and June registered a growth of 12.4 per cent and 10.22 per cent, respectively. In the April-July period, exports grew 8.62 per cent to US$ 107.8 billion. Imports dipped 3.8 per cent to US$ 153.15 billion during the first four months of this financial year. Trade deficit during the April-July stood at US$ 45.31 billion.