The exports during July-December, 2003, rose to $5.880 billion as compared with $5.197 billion of the same period last year.
The imports during this period registered an increase of 14 percent, to $6.609 billion, against $5.787 billion of last year, according to Federal Bureau of Statistics.
The trade deficit during the period amounted to $729 million, widening from $590 million.
Pakistan is seeking to export more to revive the economy hurt by war in Afghanistan and drought in previous years.
The central bank has cut interest rates on export finance six times since November 2002, to 1.5 percent from 13 percent.
The country's exports may increase by 9.7 percent, to $12.1 billion, in the current fiscal year ending June 30, 2004, and imports may rise 5 percent, to $12.8 billion, the government said.
Trade deficit may narrow down to $700 million from $1.5 billion because of higher exports resulting from a stable exchange rate, more access to overseas markets and lower financing costs, the government said.
Exports showed growth as government agencies, in association with exporters, have tapped some non-traditional markets and have also improved the quality of products. Moreover, aggressive marketing strategies and continuous efforts of Export Promotion Bureau to hold several exhibitions in, and outside the country, boosted shipments during the period.
A leading analyst said that exports maintained a growth as several exporters increased their shipments to improve the quota ceiling for the European Union, the USA, Turkey and Canada,.
The rise in imports, he said, indicated that the economy is on track and the government would exceed the target of 5.3 percent growth set for the running fiscal year.
Increase in imports of dutiable products means the revenue collection target set for the current fiscal year would also be achievable.
The revenue collection in first half of the 2003-04 rose 9 percent to Rs 220 billion.