| Date: |
18-04-2015 |
| Subject: |
March trade deficit widens to $11.79 billion versus $6.85 billion in February |
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NEW DELHI: India's merchandise exports fell at their sharpest pace in close to six years in March, capping a dismal fiscal 2015 when outbound shipments shrank because of a host of factors including a fall in crude oil prices, appreciation of the rupee and fragile demand conditions in key economies.
Lower exports and a sharp increase in gold imports around the festival time widened trade deficit to the most in four months in March and almost double of the previous month. Exports fell 21.06 per cent in March, the fourth straight month of decline. Most sectors, including gems and jewellery, engineering, electronics, leather and petroleum posted lower shipments.
The fiscal year ended with total exports of $310 billion, missing the $340 billion target by a huge margin, according to data released on Friday by the Ministry of Commerce and Industry. Imports, on the other hand, contracted by a modest 0.59 per cent during the year, leaving a trade deficit of $137 billion, slightly higher than the previous year's $135 billion.
In March, growth in non-oil nongold imports was just 0.3 per cent as against 8.7 per cent in the previous month, indicating a slowdown in economic activity. The data highlight the risks to economic growth that had picked up some momentum in recent months.
Source : economictimes.indiatimes.com
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