India will miss its export target of $325 billion due to a slump in the global economy but the number might end up below $300 billion by the end of 2015-16, said Department of Commerce Joint Secretary Ravi Kapoor on Tuesday.

Speaking at the sidelines of the India Engineering Sourcing show here, he told reporters: “India has reported exports of $312 billion against a target of $340 billion in 2014-15. The government has set a target of $325 billion for the current financial year. It will be a happy situation if the country achieves exports of $300 billion but it (exports) will end less than $300 billion.”



Kapoor’s admission comes close on the heels of India’s exports contracting for the eleventh straight month in October. The joint secretary said the fall in exports was due to a fall in petroleum product exports, again a function of international oil prices.

India’s merchandise exports dipped 17.6 per cent to $154.29 billion, while merchandise imports fell 15.2 per cent to $232.54 billion in April-October 2015. However, Kapoor said the government had provided a slew of incentives to boost exports. These included the 3 per cent interest subsidy scheme for five years and the Merchandise Exports from India Scheme. He hoped that the interest subsidy scheme would help in controlling the dip in exports and increase competitiveness of domestic products in the global market.