India registered Highest Ever Trade Deficit of $184.9 billion in 2011-12

Commerce Secretary on 19 April 2012 announced that India surpassed the export target of $300 billion for 2011-12. India was able to surpass the trade target of $300 billion despite slowdown in demand in its traditional markets of the U.S. and Europe. Exports increased by 21 per cent to $303.7 billion in 2011-12 powered by a strong growth in petroleum, pharmaceuticals and engineering products.

However, imports surged by 32.1 per cent to $488.6 billion thereby leaving the highest-ever trade deficit of $184.9 billion.
Engineering exports grew by 16.9 per cent to $58.2 billion. Exports of petroleum and oil products surged by 38.5 per cent to $57.5 billion and gems and jewellery exports increased to $45.9 billion. 

Other sectors which showed healthy performance with respect to export include drugs and pharmaceuticals up 21.9 per cent at $13.1 billion; leather (up 22.5 per cent) at $4.2 billion; electronics (up 9.2 per cent) at $9 billion; cotton yarn and fabric made-up (up 17.4 per cent) at $7.2 billion, readymade garments yarns and fabrics (up 18 per cent) at $13.7 billion and marine products (up 31.4 per cent) at $3.4 billion.

Imports also registered a huge surge with petroleum, oil and lubricants moving up by a steep 46.9 per cent to $155.6 billion largely due to increased prices in international markets. Imports of gold and silver jumped by 44.4 per cent to $61.5 billion while that of coal surged by 80.3 per cent to $17.6 billion.

Imports of machinery increased by 27.7 per cent to $35.4 billion; electronics goods by 23 per cent to $32.7 billion; iron and steel by 15 per cent to $11.9 billion; vegetable oil by 47.5 per cent to $9.7 billion; and fertilizer by 59 per cent to $11 billion.

However, imports of gems and jewellery fell by 10.6 per cent to $31 billion.