Country’s export growth slowed to eight-month low of 3.94 per cent in July, while the trade deficit widened to $11.44 billion on account of high gold imports, official data released on Monday showed.
The country’s overseas shipments aggregated at $22.54 billion in July 2017 against that of $21.68 billion in the same month of last year, showing a growth rate of 3.94 per cent. It is the lowest export growth since November 2016 when shipments had expanded by 2.29 per cent.
Thereafter, the growth rate had risen to 27.59 per cent in March before it began to decelerate.
A contraction in export of pharmaceuticals, gems & jewellery and ready-made garments hit the overall export growth in July.
Import rose by 15.42 per cent to $34 billion in July from $29.45 billion in the year-ago month due to rise in inward shipments of crude oil and gold.
Gold imports increased by 95 per cent to $2.10 billion in July against $1.07 billion in the same month last year.
Trade deficit, however, narrowed when compared to the previous month. In June, the gap stood at $12.96 billion. In July it was lowest in five months.