India's exports up 30% at $9.35 bn

India's exports surged by a strong 29.59 per cent in May 2006 to $9.35 billion compared to $7.22 billion in the same month last year, but trade deficit widened to $8.08 billion in the first two months of this financial year.

Imports grew at 21.67 per cent to $13.19 billion as against $10.84 billion in May 2005, while trade deficit grew 12.06 per cent to $8.08 billion in April-May 2006 from $7.21 billion in April-May 2005.

Exports during April-May 2006 rose 28.4 per cent to $17.7 billion, while imports increased 22.79 per cent to $25.78 billion, according to official data released on  Monday.

Oil imports rose by 27.34 per cent in May this year to $4.15 billion from $3.2 billion. During April-May 2006, oil imports grew at a faster 31.44 per cent to $8.34 billion compared to $6.34 billion in the same period last fiscal.

Non-oil imports during May 2006 stood at $9.04 billion, 19.24 per cent higher than the imports of $7.58 billion during May 2005. Non-oil imports in the first two months this fiscal have grown 19.04 per cent to $17.44 billion as against $14.65 billion last year.

"The continued 20 per cent plus growth in India's merchandise exports for the third year in succession reflects, among other things, the growing competitiveness of the Indian manufacturing sector and the conducive framework of Foreign Trade Policy," Commerce Minister Kamal Nath said.