The Hindu Business Line : Exports stay bullish with 31% growth in July

Buoyed by the depreciation of the rupee vis-À-vis the US dollar, India’s exports continue to be bullish with the latest monthly exports of July logging a 31.2 per cent growth at $16.34 billion, against $12.45 billion in the corresponding period last year.

In rupee terms, exports in July grew by a hefty 39.1 per cent at Rs 70,018 crore, against Rs 50,331 crore in July 2007.

Cumulative value of exports during the first four months of the current fiscal April-July 2008 at $59.19 billion against $47.48 billion in the corresponding months of 2007 showed a growth of 24.6 per cent, while in rupee terms the growth was higher at 27.6 per cent. Imports, on the other hand, during July at $27.14 billion against $18.33 billion in the corresponding period last year showed a whopping growth of 48.1 per cent. In rupee terms too, imports increased by 57 per cent.

Cumulative value of imports for April-July 2008 at $100.41 billion during the first four months against $74.84 billion in the corresponding period last year registered a substantial spurt of 34.2 per cent in dollar terms.

In rupee terms, the growth in import during the period under review is 37.3 per cent at Rs 4,21,541 crore, against Rs 3,06,946 crore.

Oil, non-oil imports

In the import component, because of the steep rise in the cost of imported crude prices during the period under review, oil imports at $9.48 billion were 69.3 per cent higher than oil imports valued at $5.60 billion in the corresponding period last year. Oil imports during April-July 2008 at $35 billion were 54.9 per cent higher than $22.59 billion in the corresponding months last year.

Non-oil imports during July at $17.66 billion were 38.7 per cent higher than $12.73 billion in July last year. Non-oil imports during April-July 2008 were valued at $65.41 billion which was 25.2 per cent higher than $52.24 billion in April-July 2007.

As a consequence of high export growth and a higher import growth, the country’s trade deficit zoomed to a record $41.22 billion in the first four months of the current fiscal, against $27.35 billion during April-July 2007, an official release issued here said.

Meanwhile, reacting to the trade data the Federation of Indian Export Organisations (FIEO) President, Mr Ganesh Kumar Gupta, said the good export performance was in the face of high inflationary pressure at home and recession in Europe and the US. He said that much of the value-wise increase is due to increase in the prices of inputs which have also accentuated the trade deficit by doubling it from Rs 2,300 crore in April-July 2007 to Rs 4,600 crore in April-July 2008.

The FIEO President hoped that with decline in oil prices, imports growth might be brought under control in the next few months. However, he reiterated his demand to continue with the export assistance extended to exporters particularly to traditional sectors which were still not showing much growth and the recent drawback reduction has already dampened the spirit.

More Stories on : Exports & Imports | Economy

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Attrition rate in BPOs highest in the country at 23.5%: Report

Tatas asked to pay $19 m to RCom

More talktime on pre-paid top-ups from Sept 15

Penalty fails to curb power overdrawal

Mundra Port and SEZ: Buy

Day Trading Guide

Singur: Mamata says open to talks, but agitation will continue

Auto parts cos pin hopes on product development, future launches

IT vendors feel the heat as US election nears

Subbarao to head RBI

Exports stay bullish with 31% growth in July