There has also been a marked decline in exports of engineering goods, textiles and iron ore.

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Many of India's old industries, such as machine tools, general engineering and basic textiles, remain mired in inefficiencies and protectionism.

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Light engineering, service industries, textiles and woollens are the main generators of economic wealth with farming dominant in the south.

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But chemicals, coke, refined petroleum and nuclear fuel exports dropped 6.7% between January and March, with textiles, fur and leather down 5.7% and engineering and allied industries dropping by 2.8%.

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However, the textiles, fur and leather sector fell by 8.3%, and there was contraction in engineering and allied industries (-0.8%), chemicals, coke, refined petroleum products and nuclear fuel (-3.2%) and metals and metal products (-0.4%).

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