News: 'Indian goods exports may cross $126 b mark'

(RTR 08/09/2006) New Delhi - India's exports of goods could exceed the target of $126 billion for the year to March 2007 if recent trends continue, Commerce Minister Kamal Nath said on Thursday.

Exports of merchandise were up by 23 per cent to $103 billion in 2005/06 from the year before. In July they brought in $10.18 billion. The government is expected to release August's trade data next week.

India's engineering services exports were also on the rise and could bring in $40 billion a year by 2020, Nath said in a statement. The figure does not include India's booming software exports.

"Engineering process outsourcing (EPO) services from India will be a key element of the country's export strategy, and the development of the EPO sector will have a far-reaching impact on India's engineering industry as a whole," he said.

Engineering goods exports from India crossed $5 billion in the first quarter of the current financial year, showing growth of 20 per cent, he said.

But it the sector has the potential to grow at 30 per cent annually, the minister added.