July-February trade deficit stands at $8.89 billion: exports post 3.86 percent growth

The country's exports have posted $406 million or 3.86 percent growth while trade deficit has been $8.899 billion during the first eight months (July-February) of the current fiscal against the corresponding period last year.
The provisional foreign trade figures released by the Statistics Division here on Thursday show that exports attracted $10. 907 billion as compared to $10.501 billion of the same period last year indicating $406 million increase or 3.86 per cent growth.
Imports, which are on the high side for the last one-year, showed a growth of 9.95 per cent to $19.797 billion against $18.006 billion, adding $1.97 billion in the total volume against the corresponding period of last fiscal. The data indicates that trade deficit has increased by 18.47 per cent to $8.899 billion as compared to $7.505 billion during this period.
The comparison of February with January shows 8.24 per cent growth in exports to $1.293 billion from $1.197 billion while imports took away $2.572 billion from $2.330 billion, showing an increase of 10.4 per cent. This indicates trade deficit of 12.67 per cent from $1.133 billion to $1.276 billion.
However, exports improved by 5.46 per cent to $1.296 billion from $1.229 billion when data of February is compared with January, while imports increased by 16.37 per cent.
The soaring oil prices import of machinery for textile and power sector and mobile devices, besides raw material took the trade deficit to unprecedented level. Official sources told Business Recorder that the authorities had discussed a long- term exports policy at a meeting with Prime Minister Shaukat Aziz a couple of days ago wherein exports target of 15 per cent of the GDP is thought to be achieved after investment in the key sectors.
Asked how much investment is required to achieve $45 billion exports mark, one federal minister said that this is yet to be finalised. But according to him, a fundamental change can be seen in government's thinking in this regard. " It is good that exports are increasing but now we have to improve our quality and move forward," he added.
Deputy Chairman Planning Commission, Dr Akram Sheikh has prepared a long-term export policy but without consulting the Secretary of the Planning Division. "We have to look into the mechanism how exports would grow by 15 per cent of the GDP and how much investment is required in different sectors," an official quoted Prime Minister Aziz as saying in the meeting on exports strategy.