Export of half the sectors of the closely monitored of the Commerce Ministry were in the negative zone
Q. Exports at the half of the sector of the 30 closely monitored by the Commerce Ministry were in the negative zone in December. Exports declined by 15 percent in December to what number?- Published on 25 Jan 16a. 22.2
b. 22.3
c. 22.4
d. 22.6
ANSWER: 22.2
Exports of half of the sectors out of the 30 closely monitored by the Commerce Ministry were in the negative zone in December on account of fall in global prices and demand. Outbound shipments of close to 15 key sectors such as leather, engineering and petrol have dipped last month due to ministry data. Exporters body FIEO indicated that the pace of fall has moderated in December. India’s exports fell about 15 percent in December to USD 22.2 billion, placing trade deficit to USD 11.66 billion, which is the most massive in the past 4 months. In November, it fell by 24.43 percent and continuous export declines will impact jobs and place pressure on CAD. Government should address inverted duty structure in sectors in the Budget besides exemption of exports from service tac and export development fund. FIEO has indicated that the top 2 sectors engineering and petrol products fell by 15.68 percent and 47.69 percent respectively in December 2015. Gems and jewellery exports shrank by around 7.75% to USD 2.46 billion in the previous month. These 3 sectors make 55% of the country’s total exports in 2014-2015 which was pegged at USD 310.5 billion. Agri products that constitute over 10 percent of the country’s total shipments has recorded negative growth during the month in review.
