NEW DELHI: India's merchandise exports rose by 21.3 per cent to $18 billion in October over the year- ago period, boosting hopes that the country may be able to reach the $200-billion target fixed for the current fiscal.
Imports during the period grew by 6.8 per cent at $27.68 billion, leaving a trade deficit of $9.72 billion, according to a Commerce Ministry data released here on Wednesday.
The rate of expansion in exports has outpaced imports growth for the first time in the last 3-4 years. Exports in October last year were valued at $14.8 billion while imports were worth $25.9 billion.
The growth in overseas shipments is attributed to improved demand in the U.S. and the EU, besides increase in exports to African and Latin American countries.
The country was likely to end the year with import-export gap of about $125 billion, said a Commerce Ministry official recently.
In the first seven months (April-October) too, exports rose at a faster pace of 26.8 per cent at $121.3 billion against 26 per cent growth in imports at $194.1 billion.
All the big ticket items like engineering goods, gems and jewellery, chemicals and petroleum products had registered positive growth in the first seven months of the fiscal, the official said. However, exports of tea, tobacco, cashew and handicraft declined.
In imports, oil imports and non-oil imports during the month under review grew 0.3 per cent at $8.41 billion and 9.9 per cent at $19.27 billion, respectively, according to the data.
During April-October, oil and non-oil imports grew 24.6 per cent at $57.12 billion and 26.7 per cent at $137.04 billion, respectively.
Continuous upward trend witnessed in exports has made the government officials optimistic of meeting the $200-billion export target this fiscal.
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