The figures of Indian exports in January 2009 are worrying as they  fell by their sharpest pace in over a decade as the worsening global downturn reduced demand for products. Exports fell 15.9% from a year earlier .This marks the worst performance since June 1998 when exports had fallen 16.1% from the previous year.

India's exports have now fallen for four successive months as key trading partners such as the U.S. and Europe have fallen into recession. The Government has now reduced the export target for FY09 to between $170 billion and $175 billion, from $200 billion earlier. All this does not augur well for the markets.