The figures of India's new Economic Survey also pointed out that the country's trade with the UAE in both 2009-10 financial year and the first nine months of current fiscal year were higher than its imports on the back of rising demand for Indian goods rises in the Gulf countries. India recorded bilateral trade surplus with five countries — the UAE, the US, Singapore, the UK and Hong Kong — in 2009-10 and the first half of 2010-11. India's export-import ratio in the case of China was not only low but has been stagnating at around 0.3 percent, said the survey.

The cumulative export growth of the country in April-December 2010-11 stood at 29.5 percent with cumulative exports reaching $64.7 billion during this period, according to the survey.

The exports continued to rise at the rate of 13.6 percent in 2008-09. Current indications are that India will not only achieve the target of $200 billion but surpass it in 2010-11, it added.

Reacting to the Economic survey, CII Director General Chandrajit Banerjee said: “The survey has proposed a set of very innovative reforms that would go a long way in addressing the concerns on the inclusiveness of the growth process.”

“These include direct transfer of subsidies to the poor through smart cards, creation of public assets as part of the employment guarantee program and the suggestion to create a Land Bank for faster approval of projects,” he added.

The survey, tabled by India's Finance Minister Pranab Mukherjee, also revealed that during the first nine months of 2010-11 fiscal, the country's import grew by 19 percent.

Trade deficit increased by 2.4 percent to $82 billion in the first nine months of this fiscal year from $80.1 billion in the corresponding period of the previous year, it added.

The relatively higher import growth compared to export growth in the first half of 2010-11 raised the alarm of a possible unmanageable current account deficit.

With import growth slowing down from October 2010 and exports picking up in November 2010, the fear that the high current account deficit may be due to high merchandise trade deficit is disappearing.

India ranked 21st in world exports in 2009 whereas China ranked first while in commercial services exports it ranked 12th compared to China's fifth.

Experts lauded the suggestion by the survey to accelerate investment in the infrastructure sector by addressing issues such as delays, cost overruns and regulatory and pricing impediments.

“It is believed that these measures would greatly help in mobilizing around $1 trillion that would be required over the next five years,” said Banerjee.

According to the survey, trade policy measures taken by the government and the Reserve Bank of India in 2009-10 and 2010-11 focused on reviving exports and export-related employment besides mitigating the effect of inflation.

The Indian government followed a mix of policy measures including fiscal incentives, institutional changes, procedural rationalization, enhanced market access across the world and diversification of export markets.