SI trade balance reverts to $221.1 million deficit in June
SI trade balance reverts to $221.1 million deficit in June
The Solomon Islands (SI) International Merchandise Trade (IMT) balance shifted back to a deficit of $221.1 million after a surplus of $75.7m in the previous March quarter, 2019.
Government Statistician, Douglas Kimi confirmed this while releasing the statistical report on trade this week.
“A similar shift (towards a deficit) is recorded, compared to the same period a year ago, although the extent of the deficit has widened by about 6 times,” Mr. Kimi stated.
He said that during the June quarter, imports exceeded exports by 21.9 per cent driven by major increases in imports of food by +33.5, machinery and equipment by +32.4 per cent and chemical and related products +34.1 per cent whilst riding on the decline in timber-logs exports -12.7 per cent.
“Increases in exports such as fish +18.7 per cent and agricultural products +17.2 per cent was dominated by rising exports during the quarter.
“By the year-ended June 2019, compared to the same period a year ago, the trade deficit doubled from a deficit of $274.6m to $572.0m, and further widened, recording the highest annual deficit since 2011,” he stressed.
Merchandise trade balance with major trading
partners in the second quarter of 2019 compared to the
previous quarter recorded the following:
• Total
timber exports comprising of log and sawn timber declined by
$99.5m (-12.0%) to $733.0m. This was driven by a drop
(-12.7%) in sawn timber.
• Total of fresh/frozen,
canned and smoked fish rose by $21.0m (+18.7%) to $133.6m.
This was attributed to an increase (+17.7%) in tuna loins
(smoked).
• Total agricultural products increased
moderately by $10.6m (+17.2%) to $72.5m as copra exports
resumed, and cocoa more than doubling (+138.9%) including
rises in Palm Kernel oil/meal (+31.4%); these discounted
declines in coconut oil (-3.9%) and Palm oil
(-6.4%).
• Gold exports more than doubled by $1.1m
(+118.7%) to $2.0m.
• Food imports increased by $63.0m
(+33.5%) to $251.2m driven by increases in rice (+86.6%) and
flour (+109%) offsetting declines in meat (-46.7%) and fish
((-47.0%) preparations, and sugar (-13.7%).
• Beverages
and Tobacco decreased by $372 (-1.5%) to $24.1m driven by a
decrease in unmanufactured tobacco (-25.5%), and beer
(-25.0%).
• Mineral fuel and lubricants increased by
$27.3m (+11.0%) to $275.6m. This was attributed to an
increase in distillate fuels (+4.2%) and motor spirits
(+26.4%).
• Machinery and transport equipment increased
by $77.2m (+32.4%) to $315.7m at the back of a surge in
vehicle imports (goods and special purpose (+4839.3%) and
passenger vehicles (+13.6%)) outweighing decreases in
outboard motors (-29.1%).
Merchandise trade balance with
major trading partners in the June quarter of 2019 compared
to the previous quarter records the following:
• Trade
deficit with Singapore, the main origin for fuel imports
increased by $123.9m (-.95.4%) to $-253.8m.
• Trade
deficit with Australia decreased by $1.6m (-0.8%) to
$-206.1m.
• Trade deficit with Papua New Guinea reduced
slightly by $2.3m (-12.0%) to $-17.3m.
• Trade surplus
with China, the main destination of exported logs, declined
slightly by $32.1m (-6.0%) to $505.9m.
• Trade surplus
with Italy, the main destination of fish-loin exports
declined by $2.5m (-3.3%) to
$73.3m.