Commodity flow or domestic trade refers to the flow of commodities through the water, air and rail transport systems in the country. Data on the inflow and outflow of commodities in the different regions of the country are used to construct interregional and inter-industry relation tables. These serve as bases in the formulation and implementation of various regional development programs like countryside development and port planning.

Quantity and value of domestic trade increases

The total quantity of domestic trade transactions in the first quarter of 2011 increased by 6.4 percent, resulting to 4.51 million tons from 4.24 million tons reported during the same period of last year. The commodities were traded mostly through water comprising 99.7 percent and 99.8 percent in the first quarter of 2010 and 2011, respectively.

On the other hand, the total value of commodities flowed within the country increased by 36.5 percent from PhP93.73 billion in the first quarter of 2010 to PhP127.91 billion in the same period of 2011. Shipment through water was the major mode of transport with percentage shares of 99.3 percent and 99.5 percent in the first quarter of 2010 and 2011 respectively.

Food and live animals contributes the biggest share in the total domestic trade value

Among the commodities that were transacted throughout the country in the first quarter of 2011, food and live animals contributed the largest with value amounting to PhP38.15 billion (29.8%). This was followed by machinery and transport equipment with PhP26.63 billion (20.8%) and manufactured goods classified chiefly by material followed with PhP17.10 billion (13.4%). Animal and vegetable oils, fats and waxes shared the least value of PhP2.18 billion (1.7%). (See Table 1)

Likewise, food and live animals dominated the domestic trade in the first quarter of 2010, with a share of 28.9 percent (PhP27.07 billion) of the total value. This was followed by machinery and transport equipment with 21.8 percent share (PhP20.45 billion), mineral fuels, lubricants and related materials with a share of 17.9 percent share (PhP16.79 billion). Contributing the least value of PhP1.65 billion (1.8 percent) was animal and vegetable oils, fats and waxes. (See Table 1)

National Capital Region accounts for the largest value of domestic trade

In the first quarter of 2011, most of the traded commodities came from National Capital Region with value of domestic trade amounting to PhP33.48 billion (26.2%). Central Visayas came in second with PhP18.67 billion (14.6%), followed by Western Visayas with PhP17.27 billion (13.5%), followed by Eastern Visayas with PhP13.97 billion (10.9%) and Northern Mindanao with PhP13.02 billion (10.2%). Cagayan Valley?s domestic trade contributed the least share among the regions with only PhP58 thousand.

Likewise, NCR had the highest domestic trade share at PhP13.50 billion (14.4%) during the first quarter of 2010. Western Visayas came in second with PhP13.15 billion (14.0%), followed by Eastern Visayas with PhP12.63 billion (13.5%), followed by Central Luzon with PhP12.51 billion (13.3%) and Northern Mindanao with PhP11.65 billion (12.4%). Cagayan Valley?s domestic trade contributed the least share among the regions with only PhP108 thousand.

Central Luzon leads in favorable trade balance

Central Luzon posted the most favorable balance of trade at PhP11.06 billion in the first quarter of 2011. Other regions which surpassed the billion positive trade balances were Eastern Visayas (PhP6.20 billion), National Capital Region (NCR) (PhP4.21 billion), Western Visayas (PhP2.50 billion) and SOCCSKSARGEN (PhP2.11 billion). On the other hand, Central Visayas suffered an unfavorable trade balance of negative PhP9.27 billion. Other regions with more than a billion negative trade balances were Zamboanga Peninsula (PhP4.53), Caraga (PhP4.28), CALABARZON (PhP3.28), MIMAROPA, (PhP1.74), and Davao (PhP1.31 billion).

For the same period in 2010, Central Luzon posted the most favorable balance of trade at PhP12.10 billion. Other regions which surpassed the billion positive trade balance were Eastern Visayas (PhP7.31 billion), Northern Mindanao (PhP4.74 billion), SOCCSKSARGEN (PhP2.31 billion), and Bicol (PhP1.59 billion). On the other hand, NCR suffered an unfavorable trade balance of negative PhP10.26 billion.

Notes:

1. DOMSTAT reports from the following provinces/cities were not yet received as of   June 16, 2011, and were not included in this special release:

    

   1. Occidental Mindoro - Coastwise (March 2011)
   2. Palawan - Coastwise (March 2011); Air (March 2011)
   3. Romblon - Coastwise (January to March 2011)
   4. Masbate - Coastwise (January to March 2011)
   5. Negros Oriental - Coastwise (March 2011)
   6. Isabela City - Coastwise (March 2011)
   7. Surigao Del Sur - Coastwise (February & March 2011)
   8. Basilan - Coastwise (March 2011)
   9. Sulu - Coastwise (February & March 2011)

2. Philippine National Railways (PNR) still no operation in the First Quarter of 2011.

Source:   National Statistics Office 
                Manila, Philippines