NEW DELHI: India's exports during the current fiscal are estimated to decline by around 13.5 per cent to USD 160 billion, mainly on account of slowing of demand in major destinations like the US and the EU.
"Given the recessionary condition in the major export destinations, an export level of USD 160 billion would be reached at the end of the current year compared to around USD 185 billion in 2008-09," the Commerce Ministry said.
With the global economy showing signs of recovery, the exports may touch the USD 200 billion mark in 2010-11 and USD 230 billion in the following year, it said.
The growth rate of exports, following the impact of the global financial crisis on the world economy triggered by the collapse of Lehman Brothers in September 2008, moved into negative territory. The growth rate continuously declined for 13 months before re-entering the positive zone in November 2009.
For the first 10 months of 2009-10, merchandise exports aggregated to USD 132 billion.
Commerce and Industry Minister Anand Sharma yesterday said that exports have "firmly" moved in the positive zone.
"We are now consolidating the gains. By the end of this fiscal we would have significantly reduced the margin of shortfalls because of a decline for 13 months," Sharma said.
Apex body of exporters FIEO said the US and the EU together account for 35 per cent of India's exports.
Source : The Economic Times