Commerce Ministry aims total trade to reach USD 5 tn in a decade.

NEW DELHI: Commerce and Industry Minister Anand Sharma today said his ministry aims to multiply the country's total trade five times to USD 5 trillion in the next 10 years.

In 2011-12, India's total trade stood at about USD 1,000 billion. It comprises exports and imports of merchandise goods and services.

"These are not small numbers. But if you will ask us whether we are comfortable with this? Certainly not," Sharma said at the Indian Institute of Foreign Trade (IIFT) Convocation programme here.

"I will love to see this number multiplying five-fold in one decade so that India's two-way trade become USD 5 trillion. This could be done by diversifying the trade basket and engaging more with other countries," he said.

Further, Sharma said, "I am sure that the statement I am making will be questioned by economists and analysts. But if you do not think big, then it won't be achieved."

However, during the April-February period this year, India's exports declined by 4 per cent to USD 265.95 billion. Imports during the 11-month period grew by a mere 0.25 per cent to USD 448 billion, leaving a trade deficit of USD 182.1 billion.

Sharma said it is a difficult situation that the country is facing.

"I am sure the trade deficit for the current fiscal will be USD 190 billion plus, which will affect the current account deficit," he said, adding, therefore, the only way to handle this situation is to increase India's exports globally.

With a view to boost exports, the government will announce incentives for exporters in the forthcoming foreign trade policy (FTP) next month, he added.


Source : economictimes.indiatimes.com