Singapore export growth outlook for 2011 was downgraded on Wednesday citing slower than expected recovery in Japan and sovereign debt risks in the U.S. and the EU27.

Non-oil domestic exports are forecast to grow 6 percent to 7 percent this year, which was smaller than the previous growth forecast of 8 percent - 10 percent, the International Enterprise Singapore said.

The total trade is projected to grow between 9 percent and 10 percent this year compared to 8 percent - 10 percent expansion initially estimated.

In the second quarter of 2011, Singapore's total trade gained 7.5 percent annually after the previous quarter's 12 percent increase. At the same time, growth in exports slowed sharply to 2.1 percent from 12 percent in the prior quarter. The deceleration in total trade growth was due to the high base effect in 2010.

Domestic exports of electronic goods fell 14 per cent in the second quarter, following the previous quarter's 7.2 percent decline. Non-electronic NODX grew only 12 percent in the second quarter, after the 24 percent expansion in the previous quarter.

RTTNews