External Trade Performance : October 2007

   r - revised

JANUARY TO OCTOBER 2007 TOTAL TRADE STANDS AT $87.071 BILLION

Total external trade in goods for January to October 2007 reached $87.071 billion, representing a 5.2 percent increment from $82.774 billion during the same 10-month period in 2006. Similarly, total imports grew by 5.0 percent to $45.221 billion from $43.086 billion during the same 10-month period in 2006. The same is true for exports where a 5.4 percent increase is noted to aggregate dollar revenue of $41.850 billion from $39.689 billion during the same 10-month period in 2006. Balance of trade in goods (BOT-G) for the Philippines registered a deficit of $3.371 billion during the 10-month period in 2007.

Figure 1A  Philippine Trade Performance in January - October: 2006 and 2007
(F.O.B. Value in Million US Dollar)
  
 

Figure 1B  Philippine Trade Performance in October : 2006 and 2007
(F.O.B. Value in Million US Dollar)
  
 

OCTOBER 2007 IMPORTS UP BY 9.6 PERCENT

Total merchandise trade for October 2007 increased by 10.0 percent to $9.786 billion from $8.894 billion in October 2006.  Revenue generated by exports increased by 10.5 percent to $4.648 billion from last years $4.207 billion. The same is true for imports posting an increase of 9.6 percent to $5.138 billion from $4.686 billion in October 2006. The balance of trade in goods   (BOT-G) in October 2007 recorded a deficit of $489.00 million, higher than the last years recorded deficit of $479.00 million.

ELECTRONIC PRODUCTS ACCOUNT FOR 45.5 PERCENT OF IMPORT BILL

Accounting for 45.5 percent of the aggregate import bill, payments for Electronic Productsamounted to $2.337 billion or 4.8 percent decline over last year's figure of $2.455 billion.  Compared to the previous months level, purchases likewise went down by 0.5 percent from $2.348 billion. Among the major groups of electronic products, Components/Devices(Semiconductors) had the biggest share of 35.5 percent, recording a decline of 9.0 percent to $1.826 billion from $2.007 billion during the same month in 2006.  This is due to the decrease in the importation of other monolithic digital integrated circuits; parts of electronic integrated circuits and microassemblies; frames and other materials for the manufacture of semiconductor devices on consignment basis. 

Imports of Mineral Fuels, Lubricants and Related Materials in October 2007 ranked second with an 18.5 percent share, posting a growth of 68.4 percent to $952.26 million over the previous years level of $565.47 million.   This is due to the high volume of importation on crude petroleum oil, gas oils, other fuel oils, unleaded motor spirit, lubricating oil base stock, butane, aviation spirit, and liquefied petroleum gas.

Transport Equipment, contributing 4.5 percent to the total bill, was the RPs third top import for the month with payments placed at $230.26 million from last year�s $169.05 million or an increase of 36.2 percent.  This is due to the importation of aeroplanes, tankers and completely built-up (CBU) motor buses and motor cars.   

Industrial Machinery and Equipment ranking fourth recorded a share of 3.6 percent at $185.21 million worth of imports; down by 0.4 percent from its year ago level of $185.89 million.

Cereals and Cereal Preparations accounting for a 2.5 percent of the total imports, ranked fifth as foreign bill amounted to $129.94 million or a year-on-year growth of 151.5 percent from $51.66 million in 2006.   This is due to the importation of semi-milled or wholly-milled rice.

Iron and Steel ranked sixth, comprising 1.9 percent of the total imports; registered $99.24 million worth of imports or an increase of 5.3 percent from its year ago level of $94.29 million. 

Rounding up the list of the top imports for October 2007 were Organic and Inorganic Chemicals, $91.51 million; Plastics in Primary and Non-Primary Forms with $85.88 million worth of imports; Textile Yarn, Fabrics, Made-Up Articles and Related Products, $83.79 million; and Telecommunication Equipment and Electrical Machinery, $75.86 million.

Aggregate payment for the countrys top ten imports for October 2007 reached $4.271 billion or 83.1 percent of the total import bill.

Figure 2  Philippine Top Imports in October : 2006 and 2007
(F.O.B. Value in Million US Dollar)
  

RAW MATERIALS AND INTERMEDIATE GOODS ACCOUNT FOR 39.9 PERCENT OF THE TOTAL IMPORTS

Accounting for 39.9 percent of the total imports, payments in October 2007 for Raw Materials and Intermediate Goods amounted to $2.048 billion or a 5.6 percent decrease over last year's figure of $2.171 billion.  Compared to the previous months level, purchases likewise went down by 2.0 percent from $2.089 billion. Semi-Processed Raw Materials mostly comprise imports of raw materials and intermediate goods valued at $1.913 billion or a decline of 5.8 percent from $2.031 billion in 2006.

Capital Goods comprised 31.4 percent of the total imports, up by 4.1 percent year-on-year, to $1.613 billion from $1.549 billion, which is due to the importation of airoplanes and tankers. The major share of Capital Goods went to Telecommunication Equipment and Electrical Machinerywith a 16.9 percent share of the total imports in October 2007 and billed at $870.15 million or a decline of 4.1 percent from $906.86 million in 2006.

Mineral Fuels, Lubricants and Related Materials with an 18.5 percent share increased by 68.4 percent to $952.26 million from $565.47 million in October 2006.

Purchases of Consumer Goods amounted to $449.16 million, rose by 49.1 percent from $301.25 million in October 2006, while Special Transactions decreased by 25.4 percent to $74.53 million from $99.91 million.

Figure 3  Philippine Imports by Major Type of Goods in October: 2006 and 2007
 

JAPAN CORNERS 13.4 PERCENT OF OCTOBER 2007 IMPORT BILL   

Japan toppled United States of America (USA) as the top source of imports for October 2007 with a 13.4 percent share of the total import bill.  Exports to Japan amounted to $648.80 million, yielding a two-way trade value of $1.336 billion and a trade deficit for RP at $38.77 million.

United States of America (USA) followed as the second biggest source of imports for October 2007 accounting for a 13.2 percent share of the total import bill, down by 13.9 percent to $678.80 million from $787.94 million during the same month in 2006. Exports to USA amounted to $820.48 million resulting to a total trade value of $1.499 billion and a trade surplus of $141.68 million.

Singapore came third, with an 11.2 percent share, recording payments worth $574.46 million or a growth of 61.1 percent from $356.70 million in October 2006.  Revenue from RPs exports to Singapore reached $267.35 million, which generated a total trade value of $841.81 million and a $307.10 million trade deficit for the Philippines.

Other major sources of imports for the month of October 2007 were Taiwan, $429.28 million;Peoples Republic of China, $396.48 million; Saudi Arabia, $353.68 million; Republic of Korea, $288.51 million; Thailand, $226.55 million; Hong Kong, $205.59 million; andMalaysia, $176.32 million.

Payments for imports from the top ten sources for the month amounted to $4.017 billion or 78.2 percent of the total.

Figure 4  Philippine Imports by Country in October: 2007
  

Technical Notes:

1. Adjustments on import statistics are based on the transactions that pass through the Automated Cargo Operating System (ACOS) of the Bureau of Customs (BOC).

2. Starting with the January 2007 Press Release, analysis and tables are based on 2004 Philippine Standard Commodity Classification (PSCC) groupings.  This is in compliance with   NSCB   Resolution No. 03, Series of 2005 entitled Approving and Adopting the 2004 Philippine Standard Commodity Classification by all concerned government agencies and instrumentalities.

Source:   Foreign Trade Statistics Section
               Industry and Trade Statistics Department
               National Statistics Office
               Manila, Philippines