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Fiji recorded a trade deficit of $250 million in July this year.
Provisional data released by Fiji's Bureau of Statistics showed total imports for the month was $388 million, domestic exports were $92.3 million and total exports $137.8 million.
Compared to the previous corresponding month, the Bureau said that imports increased by $130.6 million (50.8 per cent) while total exports increased by $33.9 million (32.7 per cent).
Of the total exports, domestic exports increased by $23.6 million (34.5 per cent) and re-exports increased by $10.3 million (29.2 per cent).
Dr Mahendra Reddy, the dean for the Faculty of Commerce, Hospitality and Tourism Studies at the Fiji Institute of Technology (FIT) said the widening trade deficit was not new because Fiji's import bill was increasing at a rate higher than exports.
He said Fiji's export growth rate was quite slow while imports continued to grow as consumption had not declined much, and also due to inflationary pressure.
"Normally, increasing imports is also a good sign of growing economy. But this is not the case. A large part of the increased import bill is a result of inflation," Reddy said.
He said while it was inevitable that imports would increase, "what we must do is to raise our level of exports".
"Our potential is much higher than what we are currently producing and exporting. However, we are held back by a number of constraints, most of which is within our control," Reddy said.
Government statistician Timoci Bainimarama said the major contributing factors to the trade deficit were the imports of fuel, vehicles, aircraft and machinery.
Vegetable (5.5 per cent) and mineral products (35.3 per cent), machinery, mechanical and electrical appliances (12.4 per cent), vehicles, aircraft and associated transport equipment (13.1 per cent) comprised 66.3 per cent of imports.
Fiji's major source of imports included Singapore that noted $143.3 million worth of imported aviation turbine fuel, automotive diesel oil and industrial diesel oil.
Imports of wheat, meslin and grain sorghum from Australia increased by $8.4 million to $65.3 million.
United States of America, up $47.9 million (624.7 per cent) to $55.6 million due to increased imports of electrical generating sets, aerials, aerial reflectors and also due to import of two aircraft in July 2008.
Fresh fish and semi-finished products of iron and non-alloy steel worth $41.4 million were imported from New Zealand, while $11.5 million worth of telephone sets were imported from Hong Kong.
For exports, live animals and animal products (13.5 per cent), prepared foodstuffs, beverages, spirits and tobacco (47.3 per cent), and textiles (9.9 per cent) comprised 70.7 per cent of domestic products.
Exports to the UK were up $31.5 million to $32 million due to increased sugar exports, Australia up $4.3 million to $17.3 million for sweet biscuits and gold exports; and New Zealand increased to $6.9 million mostly because of sweet biscuit exports.
Exports to the US and Japan decreased to $8.9 and $8.7 million, respectively, due to low mineral water and sugar exports.
Re-exports totalled $45.5 million. Petroleum products sold to visiting ships, aircraft and to the neighbouring Pacific island countries earned $40.2 million.
