Exports growth seen declining: Khullar

India's exports growth will start coming down from August-September because of the fundamental issues with the US and Europe, as is evident by the symptoms highlighted by the S&P, Commerce Secretary Rahul Khullar said today.

"Yes, it will, almost immediately," he said when asked whether the country's export growth will take a hit, following the downgrade of the US sovereign rating by S&P.

He said the shipments would decline due to the basic fundamental problems in the economies of US and Europe and not because of the downgrading of credit rating.

"If you end the year [2011-12] with 20% growth, you will be lucky," he added.

During April-June, India's exports grew by 45.7% year-on-year to $79 billion.

The main sectors expected to get affected includes textiles and Gems and jewellery.

The US and Europe accounts for over 50% of India's total textiles and Gems and jewellery exports.

The secretary said that imports too would come down on account of the global economic situation.

"You will start seeing that [decline in imports] also," Khullar said.