International Merchandise Trade Statistics - November 2017

This is an informative publication, sponsored by The Fiji Sun, Fiji Bureau of Statistics and HFC Bank. All views expressed or implied are purely of the Financial Markets Analyst at the HFC Bank, Shoran Devi.

International merchandise trade statistics record all goods which add to or subtract from the stock of material resources of our country.

Also called “net exports”, it reflects the seasonally adjusted imports and exports data and are considered as one of the most important economic statistics.

Imports are foreign goods and services bought by a country whereas exports are the goods and services produced in one country and sold to another country.

When a country’s import exceeds it exports, the country is said to have a trade deficit, while a trade surplus occurs when the value of a country’s exports exceeds that of its imports.

The rise in the international trade is essential for the growth of globalisation.

It allows for domestic competitiveness, enabling domestic traders to extend sales potential of the existing products in the international markets, reduce dependence on existing markets and hence increase sales and profits.

International trade encourages the establishment of newer industries to cater for global demand and creates employment in the process.

International trade also brings about closer ties between nations.

Latest provisional data released by the Fiji Bureau of Statistics put the total value of goods imported in November 2017 at $423.2 million while the value of total exports was $152.4 million.

Imports

Compared to November 2016, the import category recording a notable increase was:

• Vehicles, aircraft & associated transport equipment, thereof:

up $15.7 million (28.7 per cent) to $70.7 million due to increased imports of aircrafts.

Compared to November 2016, the import categories recording notable decreases were:

•  Mineral products :

down $28.1 million (32.2 per cent) to $59.2 million due to decreased imports of aviation or turbine fuel.

•   Base metals & articles thereof:

down $10.7 million (28.6 per cent) to $26.7 million due to decreased imports of articles of iron and steel.

• Machinery & mechanical & electrical appliances & parts thereof :

down $6.7 million (8.1 per cent) to $75.2 million due to decreased imports of brewery machine

• Textiles & textile articles :

down $6.1 million (26.7 per cent) to $16.9 million due to decreased imports of articles of textiles.

• Wood pulp, paper & paperboard, & articles thereof :

down $5.0 million (34.0 per cent) to $9.8 million due to decreased imports of corrugated paper and paperboard.

For the month of November 2017, Fiji’s major sources of imports:

•  Australia:

down $3.5 million (3.8 per cent) to $87.5 million due to decreased imports of bank and currency notes

• New Zealand :

up $7.1 million (9.5 per cent) to $81.6 million due to increased imports of lamb.

• Singapore:

down $23.1 million (25.5 per cent) to $67.4 million due to decreased imports of gas oil (diesel)

• China - People’s Republic: down $18.1 million (28.1 per cent) to $46.5 million due to decreased imports of fresh fish
• United States of America :

up $15.2 million (119.5 per cent) to $28 million due to the import of an aircraft.

Domestic Exports

Compared to November 2016, there were no notable increases and decreases for domestic export categories.

For the month of November 2017, Fiji’s major domestic export destinations were:

• United States of America :

up $3.0 million (12.8 per cent) to $26.7 million due to increased exports of mineral water

• Australia:

up $1.6 million (8.1 per cent) to $21.4 million due to increased exports of garments

• New Zealand :

up $3.2 million (58.0 per cent) to $8.7 million due to increased exports of dalo (taro)

• Vanuatu:

up $1.5 million (31.4 per cent) to $6.3 million due to increased exports of corned meat

• Samoa:

down $0.1 million (2.2 per cent) to $3.5 million due to decreased exports of folding cartons, boxes and cases

Re-Exports

Compared to November 2016, the re-export category recording a notable increase was:

•  Prepared foodstuffs, beverages, spirits & tobacco :

up $5.6 million (920.3 per cent) to $6.2 million due to increased re-export of cigarettes containing tobacco.

Compared to November 2016, the re-export category recording a notable decrease was:

• Machinery & mechanical & electrical appliances & parts thereof  :

down $5.2 million (46.3 per cent) to $6.0 million due to decreased re-exports of television cameras, digital cameras, and video camera recorders.

For the month November 2017, Fiji’s major re-export destinations were:

• China - People’s Republic  :

up $1.1 million (25.5 per cent) to $5.7 million due to increased re-exports of fresh fish

• New Zealand  :

down $1.8 million (28.3 per cent) to $4.6 million due to decreased re-exports of container for compressed or liquefied gas, of iron or steel

•  Tonga :

down $0.6 million (14.1 per cent) to $3.7 million due to decreased re-exports of gas oil (diesel.

•  New Caledonia  :

up $2.8 million (5,468.6 per cent) to $2.8 million due to increased re-exports of cigarettes containing tobacco; and.

• China – Taiwan  :

up $1.2 million (114.5 per cent) to $2.2 million due to increased re-exports of fresh fish.

Trade statistics are compiled to serve the needs of many users including the policy makers, importers, exporters, manufacturers as well as active investors.

They use these statistics for purposes such as monitoring performance of import and exports as well as to monitor commodity prices.

For our country, positive impacts of increasing trade flows are eminent through our strong foreign reserve levels.

If foreign reserve levels decline, that means we are paying more to the rest of the world than inflow and vice versa.

In this regard, it is interesting to note that Fiji’s foreign reserves are currently holding sturdy at approximately $ 2,181.8 million.

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