JOIN USExports fall 4.7 pc in fiscal 2009-10
“There is a marginal fall in our overall export during 2009-10 as compared to the previous fiscal. This fall has been mainly due to the global meltdown, but still we have been able to perform well, Union Commerce Minister Anand Sharma told reporters while releasing the annual trade data.
Country’s export had been witnessing decline for 13 consecutive months starting from October 2008 following contraction of demand in India’s major importing countries like U S, European countries and Japan due to onset of global slowdown.
Exports turned positive for the first time since the slowdown in November 2009. Country’s export witnessed worst ever decline in May last year when export merchandise dropped by an alarming 33 per cent.
However, as the impact of stimulus packages unveiled by the government in December 2008 to boost export started showing results the intensity of decline in export started tapering off from June 2009 onwards. As the trade data show during March this year exports grew by nearly 54 per cent to $19.9 billion compared to the same month of last year.
As the trade analysts say the late revival in export growth in the second half of 2009-10 failed to fill the vacuum created in the first half. The global slowdown also impacted country’s import as there was slump in country’s industrial production resulting in lesser demand for importing goods from abroad. As the trade data show country’s import during 2009-10 declined by 8.2 per cent to $78.7 billion.
As a result, the trade deficit declined to $102 billion in 2009-10 from $118 billion in the fiscal 2008-09. However, in the face of ongoing rise in the export growth rate Sharma set the export targets for the current fiscal 2010-11 at $200 billion.
“We are confident of achieving the target and hopefully exceed it. We are hopeful of doubling our exports by 2014 from the current levels,” he said.
Giving a sector-wise analysis of export performance during 2009-10 Sharma said “there are some segments of export which are not performing well. Exports from engineering goods, electronic goods, handicrafts and carpets are still in the negative zone.”
The minister said the commerce ministry would make a detailed review of performance of all sectors of export and would come out with specific incentives to boost export of those sectors, which would need assistance and support.
“We will hold talks with all stakeholders associated with export. We hope to complete the sectoral review by July this year,” Sharma indicated.
“We will hold talks with the Finance Ministry in matters related to the exports decline. We will be providing sops to sectors having negative exports growth,” he said.