Philippines: Exports growth slows in September
November 12, 2013
In September, exports rose 4.9% over the same month last year. The increase marked a sharp deceleration compared to the 20.2% rise recorded in the previous month, but exceeded market expectations of a 2.0% rise.
The result reflects a contraction in the export of manufactures, which fell 4.3% in September (August: 8.8% year-on-year). Moreover, exports of agro-based products contracted 6.5% in September, down markedly from the 82.5% increase in August, which had marked the highest expansion since April 2011. In contrast, export of electronic products - which are classified as a sub-category of manufactures and account for 56% of exports - expanded 12.8% in September, up from the 0.4% decrease recorded in August. FocusEconomics Consensus Forecast panelists see exports falling 1.1% in 2013 and expanding 8.2% in 2014.
In August (the latest month for which data are available), imports rose 6.9% in annual terms (July: 8.7% year-on-year). Meanwhile, the trade deficit widened to USD 961 million in August (August 2012: USD 455 million deficit). FocusEconomics Consensus Forecast panelists expect the trade deficit to widen in the months ahead, reaching USD 12.2 billion in 2013 and USD 13.9 billion in 2014.
Author: Carl Kelly, Economist