India has experienced negative growth in exports due to various factors like stagnation in EU countries, slowdown in China and fall in commodity and crude oil prices, Parliament was informed today.
Some of the key reasons for negative export growth in the recent period include fall in global demand and commodity prices, impacting terms of trade for commodity exporters, Commerce and Industry Minister Nirmala Sitharaman said in a written reply to the Lok Sabha.
Fall in crude oil prices has resulted in consequent decline in petroleum products' prices as well as export realisations, which are major items of export for India, she said.
"EU countries that account for nearly 16 per cent of India's export, are facing stagnation. China is also experiencing a slowdown. The recovery in the US has been moderate and uncertain in terms of sustainability," she said.
She added there is also a general slowdown in the world GDP growth and hence in growth of world trade.
"Some increase in trade barriers has also been reported," the minister said adding steps have been taken to address the trade deficit through promotion of exports.
Declining for 16th straight month in March, exports contracted by 5.47 per cent to USD 22.71 billion.
Replying to another question, she said the government continues to engage pro-actively with SAARC countries to strengthen trade and economic relations.
"Issues impacting bilateral trade, raised by these countries, are taken up for an early resolution. Bilateral and multilateral trade discussions are held with these countries from time to time, to explore mechanisms for enhancement of cross border trade," she added.
The minister also informed that SEZs in Gujarat have witnessed highest exports during April-December 2015. It stood at Rs 1,06,569 crore followed by Tamil Nadu (Rs 55,479 crore) and Maharashtra (Rs 51,777 crore).
Total exports from SEZs during the period aggregated at Rs 3,41,684.75 crore.
During the last three years and as on April 8, 27 Special Economic Zones (SEZs) have been notified over an area of 3591.56 hectares, she said replying to another question.
