Exports continue to drop, but at a lower pace

India's exports continued to decline in August amid persistent weakness in demand from key overseas markets, Commerce Secretary Rahul Khullar said. However, the drop in merchandise shipments was the least in eight months. Exports dropped 19.7% from a year earlier to US$14.3bn after sliding 28.4% in July, Khullar told reporters in New Delhi. Exports fell 31.3% to US$63.9bn in the five months ended August. 31 compared with a 34.1% decline in the previous four months, he said. "There is a glimmer of hope," Khullar said. "Some products have registered positive growth in August," he added. India's export decline has eased after plunging 33.26% in March. Overseas sales account for about 15% of the Indian economy. Demand for the nation’s gems, engineering goods, leather and drugs continues to be in serious problem with the slumping economies in the US and Europe, two of India’s main export markets, Khullar said. Commerce Minister Anand Sharma has urged exporters to explore new markets in Africa and Latin America to offset shrinking demand in the US and Europe, which account for 40% of the nation’s exports.