Despite American concern over trading with India due to heightened tensions in the subcontinent, merchandise exports from India to the United States has risen by 21.4 per cent in 2002 to $11.82 billion, the highest in past decade, the US Commerce department said.

"This strong performance reflects the highest annual percentage growth in Indian exports to US over the past decade," an Indian embassy release said.

"It is particularly noteworthy as it has occurred against a backdrop of lackluster growth in worldwide exports to the USA in 2002, and despite concerns over trading with India due to heightened tensions in the subcontinent and travel advisories against visiting India that were briefly in place during mid-2002," it said.

India has emerged as the 19th largest merchandise exporter to the US in 2002 (up from 22nd position in 2001) with a 1.02 per cent share of total US imports (up from a 0.86 per cent share in 2001).

"Year 2002 marks the first year that India has entered the list of top 20 countries exporting to the US; it is also the first time that India's exports to the US have exceeded 1 per cent of US merchandise imports," the commerce department said.

"It also marks the first time in recent years that the rate of growth of Indian merchandise exports to the US (21.4 per cent) has outpaced the rate of growth in our India's services exports to the US (20 per cent).

Growth has been more or less across the board for major Indian export. Nine of the top ten items that India exports to the US witnessed growth, the release said.

India is now the number one exporter to the US of small- and medium-sized diamonds ($2.6 billion), knotted and woven carpets ($384 million), linen ($366 million), large/medium sized frozen shrimp with shell-on ($220 million), cashew nuts ($213 million), antibiotics ($138 million), woven silk fabrics ($85 million), pepper ($32 million), opium ($31 million, guargum ($23 million), psyllium seed husk ($22 million), woven jute fabrics ($14 million), and niger seeds ($10 million).

During 2002, worldwide merchandise exports from the US dipped by -4.9 per cent compared to 2001, declining to 21 of the top 30 US export destinations.

It grew to only nine amongst them, including to India.

Growth in the US exports to India was 9.1 per cent and is particularly commendable when viewed against the backdrop of a -4.9 per cent decline in overall US exports.