Highlights of Foreign Trade Statistics for Agricultural Commodities, Philippines : Fourth Quarter 2017

Reference Number: 

2018-081

Release Date: 

Wednesday, March 28, 2018

 

 

TOTAL AGRICULTURAL TRADE TRADE SUMS UP TO $4.19 BILLION IN THE FOURTH QUARTER OF 2017

The total value of Philippine agricultural trade declined by 3.6 percent in the fourth quarter of 2017 to $4.19 billion from $4.35 billion registered during the same period of 2016.

Total export revenue for all commodities posted an increment of 4.0 percent in the fourth quarter of 2017. On the other hand, agricultural export dropped by 15.3 percent to $1.30 billion in the fourth  quarter of 2017 from $1.54 billion in the 4th quarter of 2016. Likewise, share of agricultural export to total export was 8.4 percent compared to 10.3 percent in the same period of 2016. It registered an 18.6 percent dropped to share of agricultural export to total export.

 

                                                           

Total import bill went up by 17.9 percent to $27.55 billion in the fourth quarter of 2017 from $23.37 billion in the same quarter of 2016. Likewise, agricultural import reflected the same trend, posting an increase of 2.7 percent valued at $2.89 billion in the fourth quarter of 2017 compared with $2.82 billion during the same quarter of 2016. The share of agricultural imports to total imports however, decreased by 12.9 percent from 12.1 percent share in the same quarter of 2016  compared to 10.5 percent in the fourth quarter of 2017 (Table 1). This resulted to a higher trade deficit of $1.59 billion in the fourth quarter of 2017 against $1.281 billion in the same period  of 2016.

 

 

AGRICULTURAL TRADE WITH JAPAN POSTS SURPLUS OF $129.54 MILLION

Among the major trading partners, Japan posted a trade surplus of $129.54 million in the fourth quarter of 2017, lower by 30.2 percent over the $185.52 million posted  during the same period of 2016. Other major trading partners were: European Union with $14.25 million trade deficit; Australia with $99.92 million deficit, USA with $305.50 million trade deficit and ASEAN also with $838.33 million trade deficit (Table 2).

 

            

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

The top ten agricultural exports shared almost 95.0 percent to total agricultural export revenue at $1300.56 million in the fourth quarter in 2017, lower by 15.3 percent over the $1536.25 million registered in the same period of 2016.

Among commodity groups, value of export of animal or vegetable oils and their cleavage products; prepared edible fats; animal or vegetable waxes contributed the largest share of    26.2 percent valued at $340.07 million. However, export earnings of this commodity went down by 18.7 percent from a value of $418.11 million during the same period of 2016. Netherlands was the largest buyer of this commodity accounting for 46.1 percent valued at $156.70 million.

Edible fruits and nuts; peel of citrus fruits or melons, which shared 25.4 percent was the country’s second top export commodity in the fourth quarter of 2017. It dropped by 15.6 percent from $391.47 million in the fourth quarter of 2016 to $330.33 million during the same period in 2017. Japan, accounting for 24.3 percent share, was the major destination of this commodity group valued at $80.13 million.

Fish and crustaceans, molluscs and other aquatic invertebrates   ranked third, recording a share 9.7 percent of the total agricultural exports value. It declined by 19.4 percent from $156.42 million in the fourth quarter of 2016 to $126.04 million during the same period in 2017. Japan accounted for the largest share of 17.8 percent valued at $22.46 million.

Preparation of meat, of fish, or of crustaceans, molluscs and other aquatic invertebrates placed fourth contributing 8.2 percent of total agricultural exports. Export value of this commodity grew by 26.8 percent during the fourth quarter of 2017 to $107.00 million from $84.37 million during the same quarter of 2016. Outward shipment to the USA was recorded at $37.92 million or a share of 35.4 percent.

Preparation of vegetables, fruits, nuts or other parts of plants placed fifth registering an export value of $93.84 million or a 7.2 percent share to total exports during the period in review. It declined by 45.3 percent from a value of $171.50 million during the same quarter of 2016. The largest share of these products was bought by the USA representing 45.2 percent and a value of $42.44 million.

Completing the  list  of  top ten agricultural exports  for the third  quarter of 2017  were:  tobacco and manufactured tobacco substitutes, $83.53 million, increased by 58.3 percent; preparation of cereals, flour, starch or milk; pastry cooks’ products, $45.22 million, declined by 21.9 percent,  Sugars and sugar confectionary, $40.60 million, rose by 155.1 percent; Lac; gums, resins and other vegetable saps and extracts,  $39.09 million, dropped  by 18.1 percent; and Miscellaneous edible preparations, $29.29 million, contracted by 38.1 percent.  (Table 3 and 4)

 

                           

TOP TEN AGRICULTURAL IMPORTS ACCOUNTS FOR 8.6 PERCENT OF TOTAL IMPORTS

The total value of agricultural imports reached $2,893.96 million in the fourth quarter of 2017, higher by 2.7 percent over the $2,817.37 million registered during the same period in 2016.

Among the major commodity groups, residues and waste from the food industries; prepared animal fodder led agricultural imports with a value of $355.85 million. However, import of this agricultural commodity dropped by 0.8 percent in the fourth quarter of 2017 from $358.77 million during the same period in 2016 (Table 6). The bulk of this commodity was supplied by the USA comprising 49.7 percent with a value of $176.78 million.

Miscellaneous edible preparation had the 2nd biggest import expenditure in the fourth quarter of 2017. Import expenditure increased by 8.9 percent with value of $353.15 in 2017 compared with $324.34 in 2016. Indonesia contributed the largest share of 25.2 percent and a value of $88.87 million.

Cereals ranked third, contributed 12.0 percent share of the total agricultural imports. This commodity dropped by 11.7 percent with import value amounting to $348.48 million in the fourth  quarter of 2017 from $394.43 million during the same period in 2016. The imported commodity came mostly from the USA, accounting for 37.2 percent of the total value of imports.

Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes placed fourth with a share of almost 11.2 percent of imports and valued at $323.51 million in the fourth quarter of 2017. It went up by 25.0 percent from the $258.75 million posted in the same period of 2016. The bulk of this product came mostly from Malaysia with a share of almost 55.0 percent valued at $177.85 million.

Meat and edible meat offal was the fifth top import commodity during the fourth quarter of 2017. It declined by 2.2 percent at $255.66 million from $261.38 million in the fourth quarter of 2016. This agricultural commodity was heavily imported from the USA comprising 18.1 percent share to total agricultural imports.

Rounding the list of the top ten agricultural imports for fourth third quarter of 2017 were the following:

  • Dairy produce; birds’ eggs; natural honey; edible products of animal origin, not elsewhere specified or included, $193.85 million went down by  13.5 percent;
  • Beverages, spirits and vinegar, $151.02 million, increased by 8.2 percent;
  • Edible fruits and nuts; peel of citrus fruits or melons, $146.43 million went up by 13.1 percent
  • Fish and crustaceans; molluscs and other aquatic invertebrates, $136.49 million, rose 33.2 percent; 
  • Preparation of cereals, flour, starch or milk, pastrycooks’ products, with an import value of $114.87 million contributed almost 4.0 percent. (Table 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 fourth quarter of 2017 accounted for a 4.3 percent share amounting to $109.36 million. On the other hand, total agricultural imports from ASEAN-member countries reached $947.68 million or 13.1 percent share of the total imports. Among the ASEAN-member countries, Thailand was the top destination for export with a share of 27.6 percent valued at $30.22 million. On the other hand, Indonesia was the top supplier of agricultural products reaching $297.50 million recording a 31.4 percent share.

 

             

Major agricultural commodities exported to the ASEAN-member countries in the third quarter of 2017 were: Tobacco and manufactured tobacco substitutes $37.97 million; Preparations of cereals, flour, starch or milk; pastrycooks’ products, $12.13 million; Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes,   $10.77 million; Miscellaneous edible preparations, $6.87 million; Fish and crustaceans, molluscs and other aquatic invertebrates, $6.56 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, $306.73 million; Miscellaneous edible preparations, $250.17 million; Preparation of cereals, flour, starch or milk; pastrycooks’ products, $80.07million; Beverages, spirits and vinegar, $58.30 million and  Fish and crustaceans, molluscs and other aquatic invertebrates, $40.72million.(Table7 and 8).

 

 

NEATHERLANDS IS THE COUNTRY'S MAJOR TRADING PARTNER AMONG THE EU MEMBER COUNTRIES FOR THE FOURTH QUARTER OF 2017

Exports of agricultural goods to EU member countries in 2017 reached $306.56 million comprising 14.3 percent of the country’s total exports. On the other hand, agricultural imports from EU member countries amounted to $320.81 million representing a share of 18.4 percent of the total imports.  Netherlands was the country’s top trading partner of agricultural commodities among the EU member countries with exports reaching $176.80 million and imports amounting to $66.90 million.

 

               

 

Leading major agricultural  exports  to the EU member countries in the fourth quarter of 2017 were:

  • Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes, $171.96 million;
  • Preparation of meat, of fish, or of crustaceans, molluscs and other aquatic invertebrates, $48.44 million;
  • Edible fruit and nuts; peel of citrus fruits or melons, $24.68 million;
  • Fish and crustaceans, molluscs ans other aquatic invertebrates, $19.83 million
  • Preparation of vegetables, fruit, nut and other parts of plants, $16.70 million;

 

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

  • Meat and edible meat offals, $110.71 million;
  • Residues and waste from the food industries; prepared animal fodder, $50.33 million;
  • Dairy products; bird’s eggs; natural honey; edible products of animal origin, not elsewhere specified or included, $39.72 million;
  • Beverages, spirits and vinegar, 21.67 million
  •  Miscellaneous edible preparations, $18.03 million

 

 

 

TECHNICAL NOTES

 

This Special Release (SR) features the Agricultural Foreign Trade Statistics of the Philippines for the fourth quarter of 2017.  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 in October to December 2017.

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 (Source: IMTS Concepts and Definitions 2010, page 40 chapter 4). The value of transaction is expressed in dollar.

 

 

 

ROMEO S. RECIDE
Assistant Secretary
Deputy National Statistician
Sectoral Statistics Office

 

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