Exports Grow 10.2% In June, But Trade Deficit Hits 11-month High

Exports grew in double digits for the second successive month in June at 10.22%, but a rise in gold imports pushed the trade deficit to 11-month high of $11.76 billion. Exports in June were at $26.47 billion as compared to $24.02 billion in the same month last year.

The sectors that contributed the most were textiles (14.39%), petroleum products (38.3%), engineering (21.57%), leather (15%t), marine products (27.49%), oil seeds (44.4%) and tobacco (31%). Imports increased by 8.33% year-on-year to $38.24 billion in June.

As per exporters' body Fieo, outbound shipments have registered double-digit growth on account of improvement in the global demand. "Demand is improving in advanced as well as in emerging markets. The figure is encouraging and we expect it to continue. This fiscal, exports will be better than the previous fiscal," Fieo President Rafeeq Ahmed said.

The trade deficit increased in June as gold imports jumped 65.13% to $3.12 billion from $1.88 billion in the same month last year, after having registered a negative growth since October 2013.