Commodity Flow in the Philippines : First Quarter 2008 (Preliminary Results)

Reference No.: 2008-364
Release Date: 02 September 2008

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 of domestic trade declines, value increases

The total quantity of domestic trade transactions in the first quarter of 2008 decreased by 12.6 percent, resulting to 4.14 million tons from 4.74 million tons reported during the same period of last year. The commodities were traded mostly through water comprising 99.9 percent and 99.8 percent in the first quarters of 2007 and 2008, respectively.

Figure 1

On the other hand, the total value of commodities flowed within the country increased by 3.9 percent from PhP80.68 billion in the first quarter of 2007 to PhP83.86 billion in the same period of 2008. Shipment through water was the major mode of transport with shares of 99.4 percent and 99.7 percent in the first quarters of 2007 and 2008, respectively.

Figure 2

Food and live animals dominates total domestic trade value

Among the commodities that were transacted throughout the country in the first quarter of 2008, food and live animals contributed the largest value amounting to PhP26.38 billion (31.5%). Mineral fuels, lubricants and related materials was next with PhP14.67 billion (17.5%). Manufactured goods classified chiefly by material followed with PhP13.03 billion (15.5%). Animal and vegetable oils, fats and waxes shared the least value of PhP927.58 million (1.1%) (See Table 1).

Figure 3

Food and live animals likewise dominated the domestic trade in the first quarter of 2007, with a share of 32.7 percent (PhP26.38 billion) of the total value. Mineral fuels, lubricants and related materials was second with a 16.2 percent share (PhP13.04 billion). Machinery and transport equipment followed with a share of 14.7 percent share (PhP11.89 billion). Contributing the least value of PhP345.42 million was animal and vegetable oils, fats and waxes (See Table 1).

Figure 4

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

Most of the traded commodities in the first quarter of 2008 came from NCR with value of domestic trade amounting to PhP18.85 billion (22.5%). Northern Mindanao came second with PhP15.91 billion (19.0%). Central Luzon was next with PhP12.73 billion (15.2%). Western Visayas followed with PhP11.63 billion (13.9%). Cagayan Valley�s domestic trade contributed the least share among the regions with only PhP340 thousand.

Figure 5

NCR also had the highest domestic trade share at PhP18.95 billion (23.5%) during the first quarter of 2007. Western Visayas was the second highest contributing region with PhP13.32 billion (16.5%). Central Luzon was next with PhP11.76 billion (14.6%). Northern Mindanao was fourth with PhP10.45 billion (13.0%). Cagayan Valley remained the least contributing region with only PhP31 thousand domestic trade share.

Figure 6

Central Luzon posts the highest favorable trade balance

In the first quarter of 2008, Central Luzon posted the most favorable balance of trade at PhP12.41 billion. Other regions which surpassed the billion positive trade balance were Northern Mindanao (PhP9.33 billion), Eastern Visayas (PhP2.20 billion), and SOCCSKSARGEN (PhP1.29 billion). On the other hand, Central Visayas suffered an unfavorable trade balance of negative PhP12.67 billion. Other regions with more than a billion negative trade balances were NCR (-PhP5.40 billion), CALABARZON (-PhP2.75 billion), Zamboanga Peninsula (-PhP1.81 billion), and MIMAROPA (-PhP1.44 billion).

Figure 7

For the same period in 2007, Central Luzon also realized the most favorable trade balance at PhP11.53 billion. Five other regions recorded more than a billion positive trade balances namely: Northern Mindanao (PhP5.04 billion), Western Visayas (PhP2.82 billion), Eastern Visayas (PhP1.79 billion), MIMAROPA (PhP1.50 billion), and Davao Region (PhP1.10 billion). On the other hand, Central Visayas suffered the most unfavorable balance of trade at negative PhP11.42 billion.

Figure 8


  1. DOMSTAT reports from the following provinces/cities were not yet received as of May 30, 2008, and were not included in this special release:
    1. Manila - Coastwise (March 2008)
    2. Occidental Mindoro - Coastwise (March 2008)
    3. Cebu - Coastwise (January to March 2008)
    4. Negros Oriental - Coastwise (January to March 2008) and Air (March 2008)
    5. Zamboanga del Sur - Coastwise (January to March 2008)
    6. Cotabato City - Coastwise (January to March 2008)
    7. Maguindanao - Coastwise (January to March 2008)
    8. Sulu - Coastwise (January to March 2008)
  1. There was still no rail transaction in the first quarter of 2008 due to the typhoons Milenyo and Reming that hit the country, which resulted to the stoppage of the operation of the Philippine National Railways (PNR).

Source:   National Statistics Office 
                Manila, Philippines

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