Commodity Flow in the Philippines : Second Quarter 2010 (Preliminary Results)

Reference No.: 2010-540
Release Date: 06 October 2010

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 and value of domestic trade decreases

The total quantity of domestic trade transactions in the second quarter of 2010 decreased by 3.0 percent, resulting to 4.24 million tons from 4.37 million tons reported during the same period of last year. The commodities were traded mostly through water comprising 99.8 percent and 99.7 percent recorded in the second quarter of 2009 and 2010, respectively.

Figure 1

On the other hand, the total value of commodities flowed within the country decreased by 6.6 percent from PhP111.19 billion in the second quarter of 2009 to PhP103.91 billion in the same period of 2010. Trade transaction through water was the major mode of transport comprising 99.2 percent in the second quarter of 2009 and 99.3 percent in the same period of the current year.

Figure 2

Machinery and transport equipment contributes over one-fourth of total domestic trade value

Machinery and transport equipment contributed the largest among the commodities that were transacted throughout the country in the second quarter of 2010, with value amounting to PhP29.86 billion (28.7%). This was followed by food and live animals with PhP25.48 billion (24.5%) and manufactured goods classified chiefly by material followed with PhP14.45 billion (13.9%). Animal and vegetable oils, fats and waxes shared the least value of PhP1.68 billion (1.6%). (Table 1)

Figure 3

Food and live animals dominated the domestic trade in the second quarter of 2009, with a share of 31.8 percent (PhP35.38 billion) of the total value. This was followed by machinery and transport equipment with 19.3 percent share (PhP21.41 billion), manufactured goods classified chiefly by material with a share of 15.0 percent (PhP16.70 billion). Contributing the least value of PhP1.20 billion (1.1 percent) was animal and vegetable oils, fats and waxes. (SeeTable 1)

Figure 4

National Capital Region (NCR) accounts for the largest value of domestic trade

In the second quarter of 2010, most of the traded commodities came from National Capital Region with value of domestic trade amounting to PhP22.22 billion (21.4%). Northern Mindanao was the second with PhP16.21 billion (15.6%). Eastern Visayas was next with PhP15.79 billion (15.2%), followed by Central Visayas with PhP14.59 billion (14.0%). Cagayan Valley�s domestic trade contributed the least share among the regions with only PhP219 thousand.

Figure 5

Likewise, NCR had the highest domestic trade share at PhP30.84 billion (27.7%) during the second quarter of 2009. Northern Mindanao was the second with PhP19.96 billion (18.0%). Western Visayas was next with PhP17.63 billion (15.9%), followed by Central Luzon with PhP10.50 billion (9.4%). Cagayan Valley's domestic trade contributed the least share among the regions with only PhP84 thousand.

Figure 6

Eastern Visayas leads in favorable trade balance

In the Second quarter of 2010, Eastern Visayas posted the most favorable balance of trade at PhP8.49 billion. Other regions which surpassed the billion positive trade balance were Central Luzon (PhP8.35 billion), Northern Mindanao (PhP6.25 billion), and Bicol (PhP2.42 billion). On the other hand, Central Visayas suffered an unfavorable trade balance of negative PhP7.96 billion. Other regions with more than a billion negative trade balances were Western Visayas (-PhP7.28 billion), Caraga (-PhP6.86 billion), Zamboanga Peninsula (-PhP3.22 billion), and CALABARZON (-PhP2.65 billion).

Figure 7

For the same period in 2009, Northern Mindanao posted the most favorable balance of trade at PhP11.04 billion. Other regions which surpassed the billion positive trade balance were Central Luzon (PhP10.29 billion), National Capital Region (PhP4.07 billion), and Eastern Visayas (PhP2.41 billion). On the other hand, Central Visayas suffered an unfavorable trade balance of negative PhP15.06 billion.

Figure 8

Notes:

  1. DOMSTAT reports from the following provinces/cities were not yet received as of September 25, 2010, and were not included in this special release:
    1. Bataan - Coastwise (May 2010)
    2. Negros Occidental - Coastwise (April to June 2010)
    3. Negros Oriental - Coastwise (April & June 2010)
    4. Northern Samar - Coastwise (June 2010); Air (April & June 2010)
    5. Western Samar - Coastwise (May & June 2010); Air (April to June 2010)
    6. Zamboanga Del Sur (Pagadian City) - (April & June 2010)
    7. Davao Oriental - Coastwise (April to June 2010)
    8. Sulu - Coastwise (April to June 2010)
    9. Tawi-tawi - Coastwise (April to June 2010)
  1. As of Second quarter of 2009 Philippine National Railways (PNR) still not resume its operation.

Source:   National Statistics Office 
                Manila, Philippines

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