Exports up 4.62% in September, Trade Deficit at 9-month High
Sectors that helped the outbound shipments revive include gems and jewellery. (FILE PHOTO: GETTY IMAGES) Representative image
New Delhi: Recovering from a two-month decline, exports went up by 4.62 percent to $22.9 billion in September.
Sectors that helped the outbound shipments revive include engineering (6.51 percent), gems and jewellery (22.42 percent), handicrafts (23 percent), textiles (12.62 percent) and chemicals (6 percent).
However, the country's imports contracted by 2.54 percent to $31.22 billion, leaving a trade deficit of $8.33 billion in the month under review.
The trade gap is, however, the highest in the last nine months. It was $11.66 billion in December 2015. In September 2015, the trade gap was $10.16 billion.
Reacting to the data, Federation of Indian Export Organisations (FIEO) said, "if this trend continues, we can achieve $280 billion or even more in exports in the current fiscal".
The support given by the government will be more visible in the exports figure in coming months as exporters have factored them in their prices to increase competitiveness, it said in a statement.
During April-September this fiscal, exports dipped by 1.74 percent to $131.4 billion. Imports too contracted by 13.77 percent to $174.4 billion, leaving a trade deficit of $43 billion.
Exports of petroleum goods, however, dipped 1.43 percent to $2.55 billion in September.
Oil imports during the month grew by 3.13 percent to $6.88 billion. Non-oil imports, on the other hand, shrank by 4 percent to $24.33 billion.
Since December 2014, exports fell for the straight 18 months till May 2016 due to weak global demand and slide in oil prices. Shipments witnessed growth only in June this year thereafter again entered into negative zone in July and August.
The export sector which recorded negative growth includes rice, tobacco, cashew, leather, cotton yarn and man-made yarn.
Non-petroleum exports in September increased by 5.44 percent to $20.33 billion, the commerce ministry data showed.
It said that the growth in exports have fallen for USA, EU, China but Japan exhibited positive growth for July 2016 over the corresponding period of previous year.
Further, it said services exports in August grew by 4.74 percent to $13.38 billion.
The net export of services for April-August 2016-17 was estimated at $26.9 billion, which is lower than net export of $28.17 billion in the same period last year, it added.
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