Exports up 34.9% in February

Despite the appreciation of the rupee, India's exports jumped 34.87 per cent to $5.6 billion in February this year, compared with $4.15 billion in the corresponding period last year.

Riding on the performance in the last three months, India's exports in April-February 2003-04 period clocked a 14.75 per cent increase.

According to official trade data released yesterday, exports during April-February 2003-04 were valued at $53.07 billion, compared with $46.25 billion in the corresponding period last year.

Imports too rose 44.53 per cent to reach $6.69 billion during February this year, compared with $4.63 billion in February 2003. During the 11-month period ended February 2004, imports registered a 26.33 per cent increase to $68.6 billion, against $54.3 billion during April-February 2002-03.

A bulk of the increase in the import bill was because of non-oil imports, which rose 29.88 per cent to $49.82 billion during April-February. Oil imports during the period increased 17.8 per cent to $18.77 billion.

Despite the high growth in exports, the trade deficit nearly doubled to $15.52 billion during April-February this fiscal, against $8.04 billion during the corresponding period in 2002-03. Commerce department officials, however, did not disclose the details of the high rate of growth. They said there was an overall buoyancy cutting across all sectors.

Exporters appear bewildered by the steep rise in the figures. "It is unbelievable. With appreciation in the rupee, we were not hopeful of such spectacular growth," Federation of Indian Export Organisations chief M Rafique Ahmed said.

The government's calculations, which are usually on the conservative side, seem to be at variance with those of key export promotion councils.

For instance, the Apparel Export Promotion Council, responsible for garments, have projected an over 5 per cent decrease in exports at $4.45 billion during April-February 2003-04. Garments constitute India's largest export item. Similarly, leather exports have increased by 2 per cent, while gems and jewellery exports have registered a healthy 22 per cent increase.