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

Reference Number: 

2017-340

Release Date: 

Friday, December 29, 2017

TOTAL AGRICULTURAL TRADE SUMS UP TO $4.450 BILLION IN THE THIRD QUARTER OF 2017

The total value of Philippine agricultural trade grew by 6.5 percent in the third quarter of 2017 to $4.450 billion from $4.180 billion registered during the same period of 2016.

Total export sales for all commodities posted an increment of 8.4 percent in the third quarter of 2017. Likewise, agricultural export increased by 14.3 percent to $1.605 billion in the third  quarter of 2017 from $1.404 billion in the 3rd quarter of 2016. Furthermore, share of agricultural export to total export went up by 9.8 percent from 9.2 percent in the same period of 2016.

 

Total import bill went up by 3.9 percent to $22.547 billion in the third quarter of 2017 from $21.706 billion in the same quarter of 2016. Likewise, agricultural import exhibited the same trend, posting an increase of 2.5 percent valued at $2.845 billion in the third quarter of 2017 compared with $2.776 billion during the same quarter of 2016. The share of agricultural imports to total imports however, declined by 12.6 percent in the third quarter of 2017 from 12.8 percent in the same quarter of 2016 (Table 1). This is translated to a lower trade deficit of $1.240 billion in the third quarter of 2017 compared with $1.372 billion in the same period of 2016. 

AGRICULTURAL TRADE WITH JAPAN POSTS SURPLUS OF $170.68 MILLION

Among the major trading partners, Japan posted a trade surplus of $170.68 million in the third quarter of 2017, higher by 4.4 percent than the $163.53 million reflected during the same period of 2016. Similarly, trade with European Union reflected a surplus of $27.77 million, posting a growth of 7.73 percent over the same period in 2016. Other major trading partners were Australia with $163.92 million trade deficit; USA with $270.77 million trade deficit and ASEAN also with $747.61 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

Among the 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 27.0 percent valued at $433.77 million. Export of this commodity expanded by 32.2 percent from a value of $328.19 million during the same period of 2016. USA was the largest buyer of this commodity accounting for 35.2 percent with a value of $152.65 million.

Edible fruits and nuts; peel of citrus fruits or melons, with 22.8 percent share, ranked second among the top ten Philippine agricultural  exports. It dropped by 4.6 percent from $383.80 million in the third quarter of 2016 to $366.13 million during the same period in 2017. Japan, accounting for     26.9 percent share, was the major destination of this commodity group valued at $98.39 million.

Preparation of vegetables, fruits, nuts or other parts of plants placed third with an export value of $197.43 million or a 12.3 percent share to total exports during the period in review. It increased by 29.9 percent from a value of $152.01 million during the third quarter of 2016. The largest share of these products was bought by the USA representing 35.2 percent valued at $69.59 million.

Fish and crustaceans, molluscs and other aquatic invertebrates   ranked fourth, recording a share of 8.5 percent of the total agricultural exports value. It declined by 1.4 percent from $135.90 million in the third quarter of 2017 to $137.82 million during the same period in 2016. Japan accounted for the largest share of 23.0 percent equivalent to a value of $31.26 million.

Preparation of meat, of fish, or of crustaceans, molluscs and other aquatic invertebrates ranked fifth comprising almost 7.0 percent of total agricultural exports, registered a 34.9 percent growth during the third quarter of 2017 with value at $111.77 million from $82.86 million during the same quarter of 2016. Export of this commodity group to the USA stood at $37.80 million or a share of 33.8 percent.

Completing the  list  of  top ten agricultural exports  for the third  quarter of 2017  were:  tobacco and manufactured tobacco substitutes, $82.21 million, increased by 20.0 percent; preparation of cereals, flour, starch or milk; pastry cooks’ products, $60.50 million, went up 35.2 percent,  Sugars and sugar confectionary, $56.10 million, rose by 419.8 percent; Miscellaneous edible preparations, $46.58 million, increased by 7.7 percent and Lac; gums, resins and other vegetable saps and extracts,  $37.55 million, dropped  by 25.9 percent; and (Table 3 and 4).

CEREALS TOPS THE LIST OF IMPORTED COMMODITIES 

Among the major commodity groups, cereals led agricultural imports with value of $376.03 million. However, import of this agricultural commodity dropped by 6.8 percent in the third quarter of 2017 from $403.33 million during the same period in 2016 (Table 6). The bulk of this commodity was supplied by the USA comprising 50.9 percent with a value of $191.34 million.

Miscellaneous edible preparation came in second accounting for 12.4 percent share to total agricultural imports. This agricultural commodity reflected an increase of 5.2 percent valued at $351.78 million during the third quarter of 2017 over the $334.35 million in the same period of 2016. Indonesia contributed the largest share of 24.2 percent and a value of $85.00 million.

Meat and edible offal ranked third, representing an 11.3 percent share of the total agricultural imports. This commodity grew by 40.8 percent with import value amounting to $321.67 million in the third quarter of 2017 from $228.44 million during the same period in 2016.  The imported commodity came mostly from the USA, accounting for 18.6 percent of the total value of imports.

Residues and waste from the food industries; prepared animal fodder ranked fourth with a share of 10.6 percent. Import of this agricultural commodity was valued at $301.25 million declining by 17.6 percent from the $365.50 million posted in the third quarter of 2016.  This agricultural commodity was heavily imported from the USA comprising 57.1 percent share to total agricultural imports.

Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes placed fifth with a share of almost 10.0 percent of imports was valued at $283.73 million in the third  quarter of 2017. It rose by 25.4 percent from the $226.23 million posted in the same period of 2016. The product came mostly from Malaysia with a share of 47.1 percent valued at $133.50 million.

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

  • Dairy produce; birds’ eggs; natural honey; edible products of animal origin, not elsewhere specified or included, $268.32 million went up 27.1 percent;
  • Beverages, spirits and vinegar, $140.56 million, increased by 2.9 percent;
  • Fish and crustaceans; molluscs and other aquatic invertebrates, $115.57 million, contracted by 4.7 percent; 
  • Preparation of cereals, flour, starch or milk, pastrycooks’ products, had an import value of $109.91 million contributing 3.9 percent
  • Sugars and sugar confectionary, $95.01 million, decelerated by 40.4 percent     (Table 5 and 6).

MALAYSIA AND INDONESIA LEAD TOP TRADING PARTNERS AMONG ASEAN MEMBER COUNTRIES

The country’s agricultural exports to the ASEAN-member countries for the third quarter of 2017 comprise 5.5 percent amounting to $135.09 million. On the other hand, total agricultural imports from ASEAN-member countries reached $882.70 million or 13.3 percent share of the total imports. Among the ASEAN-member countries, Malaysia was the top destination for export with a share of 32.7 percent valued at $44.20 million. On the other hand, Indonesia was the top supplier of agricultural products reaching $279.64 million representing a 31.7 percent share. 

 

Major agricultural commodities exported to the ASEAN-member countries in the third quarter of 2017 were: Tobacco and manufactured tobacco substitutes $40.13 million; Cocoa and cocoa preparations pastrycooks’ products, $19.93 million; Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes, $14.02 million; Miscellaneous edible preparations, $10.21 million; Sugars and sugar confectionary, $9.38 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, $268.06 million; Miscellaneous edible products and preparations, $239.13 million; Preparation of cereals, flour, starch or milk; pastrycooks’ products, $80.19 million; Beverages, spirits and vinegar, $51.49 million and cereals, $50.18 million    (Table7 and 8).

 

NETHERLANDS IS THE COUNTRY’S MAJOR TRADING PARTNER FOR THE THIRD QUARTER OF 2017

Exports of agricultural goods to EU member countries in 2017 reached $386.60 million accounting for 15.3 percent of the country’s total exports. On the other hand, agricultural imports from EU member countries amounted to $358.83 million or a share of 20.3 percent of the total imports.  Netherlands was the country’s top trading partner of agricultural commodities among the EU member countries with exports reaching $176.17 million and imports amounting to $78.54 million.

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

  • Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes, $194.75 million;
  • Preparation of vegetables, fruit, nut and other parts of plants, $54.55 million;
  • Preparation of meat, of fish, or of crustaceans, molluscs and other aquatic invertebrates, $51.14 million;
  • Edible fruit and nuts; peel of citrus fruits or melons, $31.59 million
  • Fish and crustaceans, molluscs and other aquatic invertebrates, $22.55 million.

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

  • Meat and edible meat offals, $122.96 million;
  • Dairy products; bird’s eggs; natural honey; edible products of animal origin, not elsewhere specified or included, $75.93 million;
  • Residues and waste from the food industries; prepared animal fodder, $45.27 million;
  • Beverages, spirits and vinegar, 22.99 million
  • Miscellaneous edible preparations, $18.07 million

 

 

 

 

TECHNICAL NOTES

 

This Special Release (SR) features the Agricultural Foreign Trade Statistics of the Philippines for the third quarter of 2017.  The total agricultural exports and imports stated in this report are generated from the final tables of the monthly Merchandise Export and Import for the country for the period July to September 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.

 

 

(Sgd.)  ROMEO S. RECIDE

Assistant Secretary
Deputy National Statistician
Sectoral Statistics Office 

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