THE country’s merchandise trade deficit declined by 26.65 percent in the first semester
of 2014 on the back of the Philip-pines’s strong export performance in May and June, according to data released by the Philippine Statistics Authority (PSA).
The PSA data showed the country’s balance of trade in goods (BOT-G) declined to $1.64 billion in the January-to-June period from the $2.24 billion recorded in the same period last year.
Data also showed the country’s total external trade in goods for the first semester of 2014 reached $61.264 billion, representing an increase of 7 percent from $57.267 billion for the same period in 2013.
“The growth of the external trade was due to the increase of both inward and outward trading of goods,” the PSA said.
The PSA added that the decline in the deficit was partly due to the improvement in the BOT-G in May and June, when the country recorded surpluses of $423 million and $625 million, respectively.
Total imports increased by 5.7 percent to $31.45 billion in 2014 from $29.75 billion in 2013, while total export receipts grew by 8.3 percent to $29.81 billion in 2014 from $27.52 billion in 2013.
Meanwhile, the PSA said the country’s top-10 exports in 2014 contributed $24.24 billion to the export bill, or 81.3 percent of total receipts. It increased by 10.4 percent from $21.95 billion reported in the same period of 2013.
The top 10 imports for the first semester of 2014, on the other hand, accounted for 74.6 percent, or $23.470 billion, of the total imports.
The PSA said the country’s top -10 imports registered a positive growth of 6.6 percent from $22.024 billion during the first semester of 2013
The country’s top-traded commodity group is Electronic Products, including those traded on consignment basis.
Electronic products accounted for 40 percent of exports and 22.3 percent of the country’s total import bill.
Total electronic products exports reached $11.924 billion in 2014, a 4.8-percent growth from $11.378 billion in 2013.
In terms of imports, electronic products amounted to $7.01 billion in the January-to-June 2014 period, a 1.3-percent decline from $7.1 billion in the same period in 2013.
The country’s top-10 trading partners accounted for 76.6 percent, or $46.95 billion, of the total trade value in the first semester of 2014.
This comprised a total export receipt of $24.92 billion, or 83.6 percent of the total exports, and total import bill of $22.04 billion, or 70.1 percent of the total imports.
The top-3 trading partners of the Philippines in the first semester were Japan (including Okinawa), which accounted for 15 percent; People’s Republic of China, 14.3 percent; and the US (includes Alaska and Hawaii), 11.5 percent.
Total trade with Japan amounted to $9.21 billion of the total external trade, while total trade with China reached $8.78 billion. Total trade with the US amounted to $7.07 billion.
The country’s primary traded commodities with Japan are woodcraft and furniture, electronic products and transport equipment.
Top-traded commodities with China are electronic products; other mineral products; mineral fuels, lubricants and related materials; and iron and steel.
The top commodities traded with the US are electronic products; articles of apparel and clothing accessories; and feeding stuff for animals.