Highlights of Foreign Trade Statistics for Agricultural Commodities, Philippines : First Quarter 2018

Reference Number: 

2018-175

Release Date: 

Friday, June 29, 2018

 

 

TOTAL AGRICULTURAL TRADE TRADE SUMS UP TO $4.16 BILLION IN THE FIRST QUARTER OF 2018

The total value of Philippine agricultural trade dropped by 6.6 percent from $4.45 billion in the first quarter of  2017  to  $4.16 billion in the first quarter of 2018.

Total export revenue for all commodities reflected a decrement of 5.5 percent in the first quarter of 2018. Likewise, agricultural export declined by 26.2 percent from $1.17 billion in the first quarter of 2018 compared with $1.58 billion during the same period of the previous year. Moreover, share of agricultural export to total export dropped by 7.4 percent from 9.4 percent in the first quarter of 2017.

 

                                                           

Total import receipts amounted to $25.77 billion in the first quarter of 2018, an increase of $24.21 billion recorded in 2017. Agricultural import also followed the same trend, reflecting an increase of 4.2 percent valued at $2.99 billion in the first quarter of 2018 compared with $2.87 billion during the same quarter of 2017. The share of agricultural imports to total imports however, went down by 11.6 percent in the first quarter of 2018 from 11.9 percent in the same quarter of 2017 (Table 1).

This translated to a higher trade deficit of $1.83 billion in the first quarter of 2018 compared with $1.30 billion in the same period of 2017.

 

 

AGRICULTURAL TRADE WITH JAPAN POSTS SURPLUS OF $122.78 MILLION

Among the major trading partners, Japan reflected a trade surplus of $122.78 million in the first quarter of 2018, lower by 24.7 percent compared with the $163.00 million posted in the first quarter of 2017. Other major trading partners were: European Union with $10.13 million trade deficit; Australia with $167.94 million deficit, USA with $362.01 million trade deficit and ASEAN also with $877.25 million trade deficit (Table 2).

 

             

ANIMAL OR VEGETALBE FATS AND OILS AND THEIR CLEAVAGE PRODUCTS; PREPARED EDIBLE FATS; ANIMAL OR VEGETABLE WAXES TOP THE AGRICULTURAL COMMODITY EXPORT

The value of the top ten agricultural exports at $1.10 billion shared 94.7 percent to total agricultural export revenue in the first quarter of 2018. It decreased by 25.7 percent compared with the $1.49 billion recorded in the same period of 2017.

Among commodity groups, value of export of animal or vegetable oils and their cleavage products; prepared edible fats; animal or vegetable waxes accounted for the largest share of 26.6 percent valued at $310.18 million. However, export of this commodity slid by 42.4 percent from $538.82 million during the first quarter of 2017. The bulk of this export commodity valued at $136.25 million or a share of 43.9 percent was bought by USA.

Edible fruits and nuts; peel of citrus fruits or melons, placed second, contributing 23.2 percent share to the top ten agricultural exports. It declined by 26.3 percent from $367.29 million in the first quarter of 2017 to $270.58 million during the same period in 2018. Japan with 29.2 percent share, was the major destination of this commodity group valued at $78.87 million.

Preparation of vegetables, fruits, nuts or other parts of plants ranked third among the top ten Philippine agricultural exports with value of $115.53 million accounting for 9.9 percent share to total exports during the period in review. It decreased by 20.6 percent from a value of $145.54 million during the first quarter of 2017. The major portion of these products was bought by the USA recording 41.0 percent share valued at $47.39 million.

Preparation of meat, of fish, or of crustaceans, molluscs and other aquatic invertebrates came in fourth contributing a share of 9.1 percent of total agricultural exports. Almost 10.0 percent growth rate was posted during the first quarter of 2018 with a value of $106.05 million from $96.53 million during the same quarter of 2017. Export to the United Kingdom was valued at $23.33 million or a share of 22.0 percent to total export of this commodity.

Fish and crustaceans, molluscs and other aquatic invertebrates valued at $95.60 million ranked fifth, accounting for a share of 8.2 percent to the total agricultural exports. It went down by 12.9 percent from $109.77 million in the first quarter of 2017. Hongkong was the major destination of this export commodity valued at $17.75 million and an 18.6 percent share to total export of fish and crustaceans, molluscs and other aquatic invertebrates.

Completing the  list  of  top ten agricultural exports  for the third  quarter of 2017 were: 

  • Tobacco and manufactured tobacco substitutes, $83.99 million, increased by 53.6 percent;
  • Lac; gums, resins and other vegetable saps and extracts,  $35.44 million, declined by 7.3 percent;
  • Sugars and sugar confectionary, $34.52 million, dropped by 20.1 percent;
  • Preparation of cereals, flour, starch or milk; pastry cooks’ products, $26.83 million, contracted by 57.9 percent; and
  • Beverages, spirits and vinegar, $25.20 million, went down by 10.2 percent (Tables 3 and 4).

 

                           

CEREALS LEADS THE LIST OF IMPORTED COMMODITIES

Among the major commodity groups, cereals led agricultural imports with value of   $568.76 million or a share of 19.0 percent in the first quarter of 2018. Import of this agricultural commodity grew by 1.8 percent from $558.87 million during the same period in 2017. The bulk of this commodity was supplied by the USA accounting for 25.5 percent with a value of $145.00 million (Table 6).

Residues and waste from the food industries; prepared animal fodder came in second with a share of 12.8 percent. This agricultural commodity has an import value of $382.59 million increasing by 5.3 percent over the import value of $363.27 million recorded during the same period of the previous year. This was heavily imported from the USA comprising 67.9 percent share to total agricultural imports.

Miscellaneous edible preparation placed third contributing 10.9 percent share to total agricultural imports valued at $325.55 million. This agricultural commodity dropped by 3.8 percent from the $338.45 million posted value during the first quarter of 2017. Indonesia with imports valued at $92.97 million comprised the largest share of 28.6 percent.

Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes ranked fourth with a share of almost 9.0 percent of imports was valued at $269.11 million in the first quarter of 2018. It went up by 7.0 percent from the $251.58 million posted in the same period of 2017. Majority of this imported product came mostly from Malaysia with a share of 55.2 percent valued at $148.42 million.

Meat and edible offal placed fifth, accounting for a 8.7 percent share of the total agricultural imports. Import of this commodity expanded by 22.6 percent with value amounting to $261.41 million in the first quarter of 2018 from $213.27 million during the same period in 2017. Inbound shipment of this commodity was supplied by the USA, contributing 17.0 percent of the total value of imports.

Completing the list of the top ten agricultural imports for the first quarter of 2018 were the following:

  • Dairy produce; birds’ eggs; natural honey; edible products of animal origin, not elsewhere specified or included, $235.54 million declined by 3.3 percent;
  • Fish and crustaceans; molluscs and other aquatic invertebrates, $175.81 million, rose by 22.6 percent; 
  • Beverages, spirits and vinegar, $130.04 million, increased by 21.5 percent;
  • Preparation of cereals, flour, starch or milk, pastrycooks’ products, with an import value of $97.02 million grew by 6.0 percent; and
  • Edible fruits and nuts; peel of citrus melons, $82.09 million expanded by 29.4 percent (Tables 5 and 6).

 

                

THAILAND AND INDONESIA LEAD TOP TRADING PARTNERS AMONG ASEAN MEMBER COUNTRIES

The country’s agricultural exports to the ASEAN-member countries for the first quarter of 2018 amounted to $97.88 million representing a share of 3.9 percent. Agricultural imports from ASEAN-member countries on the other hand, reached $975.13 million or almost 15.0 percent share to the total imports. Among the ASEAN-member countries, Thailand was the top destination for export with a share of 32.2 percent valued at $31.48 million. On the other hand, inbound shipment of agricultural products from Indonesia amounted to $297.50 million or a share of 30.5 percent.

 

          

Major agricultural commodities exported to the ASEAN-member countries in the first quarter of 2018 were: Tobacco and manufactured tobacco substitutes, $44.49 million; Dairy produce; birds’ eggs; natural honey; edible products of animal origin, not elsewhere specified or included, $6.73 million;  Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes, $5.94 million; Lac; gums, resins and other vegetable saps and extracts, $5.78 million; Preparations of cereals, flour, starch or milk; pastrycooks’ products, $5.63 million.

On the other hand, top major agricultural goods imported from the ASEAN-member countries were: Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes, $254.73 million; Miscellaneous edible preparations, $226.04 million; Cereals, $174.18 million; Preparation of cereals, flour, starch or milk; pastrycooks’ products, $64.91 million and Beverages, spirits and vinegar, $48.22 million (Table7 and 8).

 

 

NETHERLANDS IS THE COUNTRY'S MAJOR TRADING PARTNER AMONG EU MEMBER FOR THE FIRST QUARTER OF 2018

Exports of agricultural goods to EU member countries in 2018 amounted to $301.61 million representing a share of 13.3 percent of the country’s total exports. On the other hand, agricultural imports from EU member countries reached $311.74 million accounting for 18.6 percent of the total imports.  Netherlands was the country’s top trading partner of agricultural commodities among the EU member countries with exports valued at $119.80 million and imports amounting to $65.09 million.

 

               

Leading major  agricultural  exports  to the EU member countries in the first quarter of 2018 were:

  • Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes, $139.97 million;
  • Preparation of meat, of fish, or of crustaceans, molluscs and other aquatic invertebrates, $68.60 million;
  • Preparation of vegetables, fruit, nut and other parts of plants, $29.41 million;
  •  Fish and crustaceans, molluscs and other aquatic invertebrates, $17.78 million; and
  • Edible fruit and nuts; peel of citrus fruits or melons, $17.61 million.

 

Top major import commodities from the EU-member countries were:

  • Meat and edible meat offals, $108.02 million;
  • Dairy products; bird’s eggs; natural honey; edible products of animal origin, not elsewhere specified or included, $43.76 million;
  • Residues and waste from the food industries; prepared animal fodder, $42.54 million;
  • Beverages, spirits and vinegar, 22.22 million; and
  •  Products of the milling industry; malt; starches; inulin; wheat gluten, $14.26 million.

 

 

 

Technical Notes

 

This Special Release (SR) features the Agricultural Foreign Trade Statistics of the Philippines for the First Quarter of 2018.  The total agricultural exports and imports stated in this report are generated from all final tables of the monthly Merchandise Export and Import for the country for the period January to March 2018.

The commodities are classified in accordance with the ten-digit 2015 Philippine Standard Commodity Classification (PSCC). The agricultural commodity groups are from chapters 01 to 24 of the 2015 PSCC.  Chapter 1 to 24 relates to commodity classifications for live animals, vegetables, fats, oils and waxes, foodstuffs, vinegar, tobacco (manufactured and unmanufactured).

 

The valuation used for foreign trade of agricultural commodities adopt the WTO agreement on customs valuation. This applies to both imports and exports. Exports of agricultural commodities utilized the free on board (FOB) value, also known as the cost of goods. It is the value of the goods free on board the carrier at the frontier of the exporting country. It includes inland freight, export duty and other expenses. Ocean freight, insurance and consular fees, however, are excluded. On the other hand, Imports of agricultural commodities uses the cost of insurance and freight (CIF) values which includes the transaction value of the goods, the value of services performed to deliver goods to the border of the exporting country and the value of services performed to deliver the goods from the border of the exporting country to the border of the importing country.1/

 

 

 

ROMEO S. RECIDE
Assistant Secretary
Deputy National Statistician
Sectoral Statistics Office
 
 
 
 
 
1/ Source: IMTS Concepts and Definitions 2010, page 40 chapter 4). The value of transaction is
  expressed in US dollar.

 

 

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