After a record 8.4 per cent GDP growth in second quarter, exports grew by a whopping 42.68 per cent at $5.489 billion in December 2003, signalling the upturn in the economy.

The overall export growth in first nine months of 2003-04 registered 13.48 per cent growth at $42.433 billion as against the annual target of 11.9 per cent.

Releasing the monthly trade data, Commerce Minister Arun Jaitley said the substantial export growth in December was achieved despite several challenges including appreciation of the rupee.

Expecting this trend to continue in the coming months, he said the government was hopeful of achieving the annual target.

Last year, the exports had crossed $50 billion for the first time and as per the five-year mid-term export strategy, the government plan to push up exports to $80 billion annually by 2007 to achieve 1 per cent share in global market.

Even as exports surged, both in dollar and rupee terms, the trade deficit widened to $12.624 billion during April-December, 2003, which was virtually double the figure of $6.702 billion in the corresponding period the previous year.

This was mainly on account of surging imports which grew by 24.86 per cent during April-December at $55.058 billion against $44.096 billion in the corresponding period of previous year.

Imports in December matched the high export growth recording 44.95 per cent at $7.206 billion.

Oil imports during the first nine months of the current fiscal were valued at $14.592 billion, which is 14.29 per cent higher than $12.768 billion in the corresponding period of the previous fiscal.

In rupee terms, exports in December, 2003 rose by 35.11 per cent at Rs 25,024.04 crore (Rs 250.24 billion). Imports in rupee terms were up by 37.29 per cent at Rs 32,855.16 crore (Rs 328.551 billion).

Mini-Exim Policy 2004-05