|
-
Exports up 35.31%, imports
27.04%
-
India has a trade deficit of
$7.26 billion which will increase in future
-
Finance Ministry said that it
was confident of maintaining a fiscal deficit of 3.8% of GDP
|
According to the provisional trade data released by the commerce ministry,
India’s merchandise export in May was 35.31% higher than previous year’s even
as imports increased by 27.04%.
Commerce and Industry Minister Kamal Nath said the continued double digit 20
per cent-plus growth in the country’s merchandise exports for the third year in
succession reflected, among other things, the growing global competitiveness of
the Indian manufacturing sector.
| |
May
2006 |
May
2005 |
%
|
|
Exports
|
42492
|
31404
|
35.31%
|
|
Imports
|
59907
|
47155
|
27.04%
|
|
Amount in Crores (USD 1 = Rs.46)
|
During April-May, oil imports were valued at USD 8.34 billion or 31% higher
than the oil imports of USD 7.58 million the previous year. Non-oil imports
during the two-month period were estimated at USD 17.44 billion or 19% higher
than the level of such imports of USD 14.65 billion in April-May 2005.
The Directorate General of Commercial Intelligence and Statistics (DGCIS)
released final figures for April-May 2005-06 as USD 15.71 billion for exports
and USD 22.97 billion for imports. This means that India has a trade deficit of
$7.26 billion and if oil is excluded, there will be a trade surplus.
Unfortunately, oil imports will only increase and with the way oil prices are
going, the trade deficit numbers is bound to get worse.
However, despite the bad deficit figures of April, the Finance Ministry said
that it was confident of maintaining a fiscal deficit of 3.8% of GDP this year.
Fiscal deficit was high at Rs 31,956 crores in April, constituting 21.5% of the
budget estimates of Rs 1,48,686 crores for the whole year. The government is
targeting to reduce fiscal deficit by at least 0.3% of GDP and revenue deficit
by 0.5% of GDP. The target is to contain fiscal deficit at 3% and wipe out
revenue deficit by 2008-09.
|
