ISLAMABAD - Pakistans trade deficit has surged to $3.328 billion during the first couple of months (July-August) of the current fiscal year 2011-2012 against the $ 2.784 billion of the same period last year, Federal Bureau of Statistics reported on Saturday. According to latest figures, countrys trade imbalance has went up by 19.54 per cent in one-year period, as it has registered at $3.328 billion in July-August 2011 against the $2.784 billion of the July-August 2010. The figures revealed that exports and imports increased almost at same percentage. The FBS data revealed that countrys exports showed a growth of over 20 per cent in July-August 2011 period and totalled at $4.167 billion against $3.465 billion of July-August 2010. Meanwhile the imports also surged by some 20 per cent and recorded at $7.495 billion in July-August 2011 against the $6.249 billion of July-August 2010 period. Therefore, the trade deficit has recorded at $3.328 billion during the first couple of months of ongoing financial year. It might be mentioned here that country had achieved record level of exports of over $25 billion during the previous fiscal year 2010-2011 mainly due to the higher exports of textile group. However, this year government might struggle to achieve higher growth due to floods and rains in some parts of the country that destroyed the 80 per cent cash crops. The flood in Sindh province has badly destroyed the cotton crop, which might result in affecting the overall exports target of the country as we heavily depends on cotton exports. According to estimates of All Pakistan Textile Mills Association (APTMA), the rains have destroyed approximately 1.5 to 2 million bales leaving a short fall of about 1.5 million bales in comparison to last year; therefore, the country will not be able to export its cotton production, however, it is sufficient to fulfil the local requirements. On the other hand, the Commerce Ministry is most likely to announce the trade policy 2011-2012 during the upcoming week. The business community pin high hopes from the government regarding some incentives for the troubled industry of the country, which already is facing several issues including power crisis, high markup rate and law and order situation. They are of the view that government should come with strategy in consultation of the business community to fix the exports target for the present fiscal year. According to the FBS data, the overall exports showed decline of 10.85 per cent in August 2011 if compare with the exports of July 2011. The country exported good worth of $1.964 billion in August 2011 against the $2.203 billion of July 2011. However, the imports have went up by 3.17 per cent in August 2011 against the July 2011, as the country imported good worth of $3.806 billion during the last month as compare to $ 3.689 billion of July 2011. Therefore, the countrys trade imbalance went by more than 23 per cent in August 2011 against July 2011. The countrys trade deficit has recoded at $1.842 billion in August 2011 against the $1.486 billion of the July 2011.