Country suffers over Rs 1.54 billion trade deficit every day
The country is suffering over Rs 1.54 billion trade deficit everyday.
According to the central bank data, the country suffered Rs 232.99 billion trade deficit in the five months of the current fiscal year 2013-14.
Likewise, trade deficit with India – the largest trading partner – increased by a 24.2 per cent compared to the same period of last fiscal year, it said, adding that trade deficit with third countries also went up by 15.4 per cent.
The country exported Rs 37.37 billion, whereas imported Rs 270.35 billion worth merchandise in the five months till mid-December.
Imports from India increased due to rise in import of petroleum products, vehicles and spare parts, thread and cold rolled sheet in coil, while rise in imports from other countries surged due to imports of crude soybean oil, silver, readymade garments and chemical fertilizers, the central bank added.
“Due to high growth of imports compared to exports, the ratio of export to import declined to 13.8 per cent in from 14.6 per cent of the same period last fiscal year’s same period,” it added.
As usual petroleum products stood as the largest import of the country with Rs 48.11 billion, against the country’s total export receipt of Rs 37.37 billion.
Without mega hydropower projects, the country neither can come out of the trap of sluggish domestic industrial production nor can create employment and boost exports to bride the ballooning trade deficit.