The Indian exports for the fourth month in a row contracted, reflecting the dismal demand conditions in key markets like the US and Europe. The exports in the month of January fell by 15.9 per cent to $12.3 billion, which is the worst performance since June 1998. With the weakness expected to continue through the fiscal year, the government also cut its export target from $200 bn earlier to between $170 bn and $175 bn.
The consumer- driven segment like gem and jewellery is the worst hit among all the categories. While the exports continue to take a knock, the trade deficit narrowing in the month of January. The trade deficit narrowed to $6.1 bn from $7.6 bn in December, mainly on the back of fall in imports of oil by 47 per cent to $4.4 billion. The overall imports in January were also lower by 18 per cent at $18.4 bn, reflecting the lower oil import bill. The reports of a continued fall in exports comes just days after the government announced another package of Rs 325 crore for the exporters by providing them the cheaper as well as easier access to capital.
The consumer- driven segment like gem and jewellery is the worst hit among all the categories. While the exports continue to take a knock, the trade deficit narrowing in the month of January. The trade deficit narrowed to $6.1 bn from $7.6 bn in December, mainly on the back of fall in imports of oil by 47 per cent to $4.4 billion. The overall imports in January were also lower by 18 per cent at $18.4 bn, reflecting the lower oil import bill. The reports of a continued fall in exports comes just days after the government announced another package of Rs 325 crore for the exporters by providing them the cheaper as well as easier access to capital.
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