India Chronicle January 2008



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	INSIDE THIS ISSUE


	01 MAIN


	02 NEWSMAKERS


	03 POLICY & ECONOMY


	04 TRADE & ECONOMY


	05 INFOTECH


	06 CULTURE


	07 TRAVEL


	08 CALENDAR


	HIGHLIGHTS

Unprecedented growth of Telecom Sector in 2007
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Surajkund crafts mela 2008
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Beaches Galore
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04. TRADE AND ECONOMY

India seeks market access to export agric products to Australia huge opportunities for Australian companies to invest in India

The Union Minister for Commerce & Industry,
Shri Kamal Nath at the bilateral meeting with the Australian Trade Minister, Mr. Simon Crean, in New Delhi on January 18, 2008.

India is keen to export agricultural products and dairy & poultry products to Australia and has asked Australia to facilitate these exports through appropriate market access initiatives and removing non-tariff barriers. This was conveyed by Shri Kamal Nath, Union Minister of Commerce and Industry, during his bilateral talks with the Trade Minister Mr. Simon Crean. India is also looking forward to exporting mangoes from April 2008, the Minister added. The meeting was attended by the Commerce Secretary Shri G.K. Pillai; Secretary (DIPP) Shri Ajay Shankar; Director General of Foreign Trade Shri R.S. Gujral and senior officials from various Ministries from both the countries.Shri Kamal Nath stated that “India is growing and a stable investment climate presents huge opportunities for Australian companies,

particularly in energy and infrastructure sectors. Some of the major Australian companies, which have invested in India are BHP Petroleum Pty. Ltd., Telstra Corporation Ltd., Telstra Holding Pty. Ltd., Australian India Resources N.L.., BHP Steel, BHP Billiton, Rio Tinto, MIM Holdings, Snowy Mountains Engineering Corporation etc. Australia’s investments in India have been US $ 1.92 billion since 1991. Indian investments in Australia are now well over US $ 1 billion and most of these are in the IT sector”.

The bilateral trade between India and Australia has seen a growth of 37.50% between 2005-06 and 2006-07, and the total bilateral trade during 2006-07 is US $ 7932.79 million. Bilateral trade from April to September 2007 is US $ 4967.27 million recording a growth of 29.41% for the same period in 2006. The compounded Annual Growth Rate during 2001-02 and 2006-07 is 14.14% for exports and 32.31% for imports. For total trade during the same period, the CAGR is 28.96%.India’s exports to Australia in 2006-07 were US $ 924.78 million, an increase of 12.61% from 2005-06. India’s imports in 2006-07 was US $ 7008.01 million, an increase of 41.64% over 2005-06. Australia’s trade in services with India during 2006-07 was US $ 1895 million. Of this, the import of services was US $ 360 million and the export was US $ 1536 million. The major items of India’s exports are gems & jewellery, metals, machinery & instruments, cotton yarn, fabrics, drugs & pharmaceuticals. The major imports consists of gold, coal, coke and briquettes, metal ore, metal scraps and non-ferrous metals.

India's Foreign Trade Data April-December 2007

The Cumulative value of India’s exports for the period April-December, 2007 was US $ 111049.70 million (Rs.448377.33 crore) as against US $ 91202.56 million (Rs.416175.56 crore) registering a growth of 21.76 per cent in Dollar terms and 7.74 per cent in Rupee terms during the same period last year. Exports during December, 2007 were valued at US $ 12314.97 million which was 16.04 per cent higher than the level of US $ 10612.37 million during December, 2006. In rupee terms, exports touched Rs.48569.64 crore, which was 2.54 per cent higher than the value of exports during December, 2006.

India’s imports during December, 2007 were valued at US $ 17680.64 million representing an increase of 18.06 per cent over the level of imports valued at US $ 14976.53 million in December, 2006. In Rupee terms, imports increased by 4.31 per cent Cumulative value of imports for the period April- December, 2007 was US $ 168871.01 million (Rs.682088.17 crore) as against US$ 134054.76 million (Rs.611521.98 crore) registering a growth of 25.97 per cent in Dollar terms and 11.54 per cent in Rupee terms during the same period last year. Oil imports during December, 2007 were valued at US $ 5962.62 million which was 23.78 per cent higher than oil imports valued at US $ 4817.29 million in the corresponding period last year. Oil imports during April- December, 2007 were valued at US $ 49311.55 million which was 11.68 per cent higher than the oil imports of US $ 44156.20 million in the corresponding period last year.

INDIA'S FOREIGN TRADE -APR - DEC 2007(PROVISIONAL)

EXPORTS & IMPORTS: (US $ Million)
	DECEMBER	APR-DEC
EXPORTS (including re-exports)
2006-2007	10612.37	91202.56
2007-2008*	12314.97	111049.70
%Growth 2007-2008/ 2006-2007	16.04	21.76
IMPORTS
2006-2007	14976.53	134054.76
2007-2008*	17680.64	168871.01
%Growth 2007-2008/ 2006-2007	18.06	25.97
TRADE BALANCE
2006-2007	-4364.16	-42852.20
2007-2008	-5365.67	-57821.31
EXPORTS & IMPORTS: (Rs. Crores)
	DECEMBER	APR-DEC
EXPORTS (including re-exports)
2006-2007	47368.41	416175.56
2007-2008*	48569.64	448377.33
%Growth 2007-2008/ 2006-2007	2.54	7.74
IMPORTS
2006-2007	66847.87	611521.98
2007-2008*	69731.56	682088.17
%Growth 2007-2008/ 2006-2007	4.31	11.54
TRADE BALANCE
2006-2007	-19479.46	-195346.42
2007-2008	-21161.92	-233710.84

Figures for 2006-07 are the latest revised whereas figures for 2007-08 are provisional

Non-oil imports during December, 2007 were estimated at US $ 11718.02 million which was 15.34 per cent higher than non-oil imports of US $ 10159.24 million in December, 2006. Non-oil imports during April- December, 2007 were valued at US $ 119559.46 million which was 32.99 per cent higher than the level of such imports valued at US $ 89898.56 million in April- December, 2006.The trade deficit for April- December, 2007 was estimated at US $ 57821.31 million which was higher than the deficit at US $ 42852.20 million during April- December, 2006.

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