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 of domestic trade declines, value increases

The total quantity of domestic trade transactions in the fourth quarter of 2010 decreased by 20.7 percent, from 5.51 million tons reported during the same period last year to 4.37 million tons. The commodities were traded mostly through water transport systems comprising 99.8 percent, the same percentage recorded in the fourth quarter of 2009.

On the other hand, the total value of commodities flowed within the country increased by 7.6 percent from PhP110.95 billion in the fourth quarter of 2009 to PhP119.33 billion in the same period of 2010. Trade transaction through water was the major mode of transport comprising 99.2 percent in the fourth quarter of 2009 and 98.9 percent in the same period of the current year.

Food and live animals dominates total domestic trade value

Food and live animals contributed the largest among the commodities that were transacted throughout the country in the fourth quarter of 2010, amounting to PhP34.73 billion (29.1%). This was followed by machinery and transport equipment with PhP26.85 billion (22.5%) and mineral fuels, lubricants and related materials followed with PhP16.33 billion (13.7%). Animal and vegetable oils, fats and waxes shared the least value of PhP1.37 billion (1.2%). (See Table 1)

Likewise, food and live animals dominated the domestic trade in the fourth quarter of 2009, with a share of 31.3 percent (PhP34.74 billion) of the total value. Machinery and transport equipment was second with a 21.3 percent share (PhP23.64 billion). Mineral fuels, lubricants and related materials followed with a share of 14.8 percent (PhP16.44 billion). Contributing the least value of PhP1.00 billion (0 9%) was animal and vegetable oils, fats and waxes. (See Table 1)

Central Visayas leads in the value of domestic trade share

In the fourth quarter of 2010, most of the traded commodities originated from Central Visayas with value of domestic trade amounting to PhP17.81 billion (14.9%). Western Visayas was second with PhP16.64 billion (13.9%). Eastern Visayas was next with PhP16.62 billion (13.9%), followed by NCR with PhP16.40 billion (13.7%). Cagayan Valley?s domestic trade contributed the least share among the regions with only PhP156 thousand.

National Capital Region (NCR) had the highest domestic trade share at PhP23.43 billion (21.1%) during the fourth quarter of 2009. Western Visayas was second with PhP16.54 billion (14.9%) followed by Central Visayas with PhP14.26 billion (12.9%), Eastern Visayas with PhP13.35 billion (12.0%) and Northern Mindanao with PhP13.06 billion (11.8%). Cagayan Valley?s domestic trade contributed the least share among the regions with only PhP96 thousand.

Central Luzon posts the highest favorable trade balance

In the fourth quarter of 2010, Central Luzon posted the most favorable trade balance at PhP11.59 billion. Other regions which surpassed the billion positive trade balance were Eastern Visayas (PhP8.51 billion), Northern Mindanao (PhP4.32 billion), SOCCSKSARGEN (PhP3.69) and Western Visayas (PhP3.13). On the other hand, NCR suffered an unfavorable trade balance of negative PhP10.86 billion Other regions with more than a billion negative trade balances were Central Visayas (PhP7.23 billion), Caraga (PhP5.95 billion), CALABARZON (PhP4.27 billion), Zamboanga Peninsula (PhP2.93 billion).

Likewise, Central Luzon posted the most favorable balance of trade at PhP11.99 billion during the fourth quarter of 2009. Other regions which surpassed the billion positive trade balance were Eastern Visayas (PhP6.16 billion), Northern Mindanao (PhP4.18 billion), and SOCCSKSARGEN (PHP1.53) billion. On the other hand, Central Visayas suffered an unfavorable trade balance of negative PhP9.00 billion. Other regions with more than a billion negative trade balances were Caraga (PhP5.69 billion), Zamboanga Peninsula (PhP3.29) billion, CALABARZON (PhP3.17 billion) and National Capital Region (PhP2.48 billion).

Notes:

1. DOMSTAT reports from the following provinces/cities were not yet received as of   March 28, 2011, and were not included in this special release:

    

   1. Palawan - Air (November & December 2010)
   2. Masbate - Coastwise (December 2010)
   3. Antique - Coastwise (December 2010)
   4. Western Samar - Coastwise (October & November 2010);    Air (October & November 2010)
   5. Sulu - Coastwise (October to December 2010)

2. Philippine National Railways (PNR) still no operation in the Fourth quarter of 2010.

Source:   National Statistics Office 
                Manila, Philippines