It has been revealed by the commerce ministry that the Indian export growth has increased since May 2010 by 56.93% to $25.9 billion. Because of the increased demand of the crude oil, gold and industrial machinery, the trade deficit of the country in May was widened to $14.9 billion from $10.0 billion a year earlier. The Commerce Secretary noted that in the last four years, it is the highest import figures.

It has been told that the last imports rose mainly due to hike in the non-oil imports. Figures reveal the import of non-oil product was up by 71% to $30.75 billion which was only $17.97 billion in May, 2010. However, the crude oil imports rose by 18.57% at $10.2 billion as compared to previous year’s at $8.57 billion.

The Chief Economist at Reliagre Capital Markets Ltd., Jay Shankar said, the $30.75 billion non-oil imports indicate a very strong domestic demand and momentum. He further said that soon a large part of boost will be coming from investment demand.

Increase in the figures of export and import is good news for the county’s economy. As while the upswing in exports indicates growing demand for goods from India, the robust increase in imports indicates strong local demand.