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Share of the export sector in gross domestic product (GDP) have increased from 14% in 2009-2010 to 16% in 2010-2011 and 17.7% in 2011-2012, commerce and industry and textiles minister Anand Sharma told the Lok Sabha today.
“Exports have always played an important role in the economic development of most countries. This is evident even in Indian case from the continuous upward movement of%age share of merchandise exports in the overall GDP of India from 13.9% in 2009-10 to 16.0% in 2010-11 and 17.7% in 2011-12,” Sharma said.
Sharma also said that the government keeps a tight vigil on trade balance and current account balance. “An aggressive product promotion strategy for high value items that have a strong manufacturing base is the main focus of the overall growth strategy. The core of the market strategy is to retain presence and market share in traditional markets, move up the value chain in providing export products in the developed country markets and open up new vistas, both in terms of markets and new products in these new markets.”
According to the World Trade Organization (WTO), India’s share in the total global merchandise exports has increased from 1.48% in 2010 to 1.66% in 2011 but decreased to 1.60% in 2012, Sharma added.
Exports fell by a depressing 1.76% last fiscal to $300.60 billion from $305.9 billion due to a severe drop in demand in the European and American markets. In 2012-13, the country’s trade balance stood at an unprecedented $190.91 billion compared to $183.4 billion in 2011-2012.
On the other hand, the current account deficit during April-December 2012-13 stood at 5.4% of the GDP over 4.9% in the corresponding period in 2011-12.
