Trade Deficit Exceeds $5.25 Billion

The countrys trade deficit has crossed $ 5.25 billion during the 11-month period ended February.

At this level, the trade deficit has exceeded the commerce ministry projection of $ 5 billion for April 96-March 97 which was made by commerce secretary PP Prabhu at a press conference on Monday where the new exim policy was unveiled one month before the close of the financial year.

The widening gap is a result of the $ 1 billion trade deficit in February, which comes on top of the $ 1.24 billion shortfall in January.

The trade deficit in the first 11 months of 1995-96 was $ 4.28 billion. Non-oil imports have not grown by much - 0.4 per cent - over the same period last year. Oil imports, however, have flared up by 38 per cent.

Total exports in the first 11 months were estimated at $ 29.8 billion, registering a 5.61 per cent year-on-year growth.

Exports during February 1997 are estimated at $ 2.65 billion, recording a 1.15 per cent year-on-year growth. Imports during April-February were estimated at $ 35 billion, 7.81 per cent higher than last years level of $ 32.5 billion. Prabhu had said that total exports would touch around $ 33-35 billion against the years target of $ 38 billion.