NEW DELHI: India’s exports declined for the ninth consecutive month in June as demand for merchandise continues to sink on account of global recession.
Exports slipped 27.7 per cent in June to $12815 million (Rs 61,217 crore) as compared to corresponding period last year, the commerce ministry said in a statement on Monday.
In June 2008, value of India’s export was $17,732 million or Rs 75,930 crore.
Imports also fell by 29.3 per cent from a year earlier to $18.98 billion. Oil imports decreased 50.6 per cent to $5.0 billion, while non-oil imports contracted 16.5 per cent to $13.98 billion, less than the 25.4 per cent fall in May, the data showed.
The trade deficit in June narrowed 32.5 per cent from a year earlier to $6.16 billion. Exports during May 2009 were valued at $11,010 million (Rs 53,435) crore, which was 29.2 per cent lower in dollar terms (18.4 per cent in rupee terms) than the level of $15,550 million (Rs 65,506 crore) during May 2008 Last week, Union Commerce and Industry Minister Anand Sharma said the Centre is considering relief measures for the export sector hit by global slowdown in the foreign trade policy to be announced this month.
Announcing the first quarter review of the monetary policy, RBI Governor D Subbarao had expressed concerns over the decline in exports. He said exports have remained stagnant for the past eight months and could pose risks to the revival of the Indian economy as well.
“Exports have been negative for a few months in a row. Even though exports make up only 15 per cent of our GDP, they are quite significant. So, export performance is a risk factor” he had noted after presenting the review.
Indian exports had slowed down since October 2008 because of economic downturn and financial crisis in principal markets in North America and the European Union.
Source : expressbuzz.com