Exports turn around in Nov...up 18% YoY

India's merchandise exports turned a corner in November after falling for 13 long months, official data released by the Government showed over the weekend. The turnaround can be attributed partly to a low base of last year and partly due to a recovery in global demand. Exports during November 2009 fell by 18.2% to US$13.2bn as against US$11.16bn during November 2008, the Commerce & Industry Ministry said on January 1. In Indian Rupee terms, exports were down 12.4%. The western financial turbulence and the subsequent global economic downturn hit the country’s exports starting October 2008.
Imports of goods and services, however, remained in the negative zone during November 2009. But the contraction was lower at 2.6% (amounting to US$22.8bn) compared to 15% in the previous month. Imports fell by 7.4% in Rupee terms over the level seen in November 2008. The trade deficit for the month under review shrunk to US$9.69bn from US$12.33bn in the same month a year earlier. Oil imports during November 2009 were up 7.3% at US$6.39bn versus US$5.95bn in the corresponding period last year. Non-oil imports during November 2009 were estimated at US$16.5bn, down 5.9% over US$17.53bn in November 2008.