Islamabad: Merchandise exports fell by 5.23 per cent to $21.875 billion during the first 11 months (July-May) of 2014-15 from $23.082bn in the same period last year, suggested data of Pakistan Bureau of Statistics (PBS) on Wednesday.
On a monthly basis, exports fell by 7.57pc in May to $1.953bn against $2.113bn in the same month last year.
Exports, mainly on account of generalised system of preferences (GSP) plus status, were targeted to grow by 5.8pc to $27 billion by end-June 2015, as per the annual plan.
Analysts believed that exports were facing supply-side bottlenecks as well as impact of misaligned exchange rate.
Some other factors like decrease in international commodity prices, increase in cost of production, energy crisis and lack of research and development were identified as main reasons for decline in exports.
At the same time, Pakistan’s main export markets — the US, China and the Middle East — were also experiencing economic slowdown.
Some experts were of the view that preferential trade agreements and free trade agreements which were drafted in haste with the trading partners were another cause of stagnant exports.
The trade deficit also widened by 11.73pc to $19.735bn in July-May 2014-15 against $17.663bn in the same period last year.
The volume of imports rose by 2.1pc to $41.61bn against $40.755bn in the same period last year.
Substantial increase was witnessed in the import of machinery, food, transport, agriculture and chemical groups.
During May 2015, the import bill stood at $3.847bn compared to $3.67bn in the same month last year, an increase of 4.82pc.
