NSCB - Third Quarter 2007 GNP - Imports of Goods and Services

Third Quarter 2007
Gross National Product &
Gross Domestic Product by Expenditure Shares

Merchandise Imports pull down Total Imports

Total imports contracted to negative 6.3 percent from 1.2 percent in the previous year, largely attributed to the lackluster performance of merchandise imports complemented by the peso appreciation starting fourth quarter of 2006.

Total Merchandise Imports declines

Total Merchandise Imports showed signs of weakening partly because of the effects of the appreciation as it reversed its growth to negative 7.9 percent from a minimal growth of 0.8 percent in the previous year. Growth was driven by: Cereal and Cereal Products, Mineral Fuels, Lubricants and Related Materials, Chemical elements and compounds and Feeding Stuff.

The top five contributors to the growth of Merchandise Imports were: Mineral Fuels, Lubricants and Related Materials, which recovered to a modest growth of 6.4 percent from negative 11.1 percent; Cereals and Cereal Products, up by 11.1 percent from negative 8.7 percent; Dairy Products, which grew by 24.4 percent from 31.7 percent; Chemical elements and compounds, expanded by 3.4 percent from negative 0.7 percent; and Manufactures of metals which grew by 2.3 percent from 28.1 percent in the previous year.

These, however, were offset by the downtrends in growth that was registered in Electrical Machinery, Apparatus and Appliances, which slipped to negative 14.6 percent from 2.1 percent; Base Metals, down by negative 27.5 percent from negative 11.5 percent; Machinery other than Electrical Machinery, down to negative 8.3 percent from negative 6.0 percent; Textile Yarns negative 11.0 from negative 5.3 percent; and, Transport equipment negative 16.9 from a growth of 23.2 percent.

Imports of Non-Factor Services post gains

Imports of non-factor services continues to gain strength with a higher growth of 26.0 percent in the third quarter of 2007 from 8.4 percent in the previous year. This high growth was attributed to the expansions in Miscellaneous and Travel Services, which showed a hefty growth of 42.5 percent from 4.9 percent and 25.5 percent from 11.3 percent, respectively. Meanwhile, Government Services slowed down a bit at 27.3 percent in 2007 compared to 32.0 percent in the same period in 2006 as effected by the appreciation of the peso.

On the other hand, the decline in Other Transportation Services which dipped to 5.5 percent from a growth of 10.8 percent in 2006 was because of the lower prices in foreign air travel.

Trade Balance posts deficit

In the third quarter of 2007, Total Imports (Merchandise and Non-factor Services), valued at P739.7 billion pesos exceeded Total Exports (Merchandise and Non-factor Services), valued at P693.7 billion pesos at current prices, resulting in a trade deficit of P46.0 billion pesos. This was higher than the trade deficit of P20.2 billion pesos registered in the same period last year.

Hence, the current trade deficit stood at negative 2.6 percent of GNP compared to last year’s negative 1.3 percent.

Trade Index still unfavorable

During the quarter, the terms of trade posted an unfavorable Trade Index of 85.9 percent as the price index of imports (i.e., 464.80) exceeded the price index of exports (i.e. 399.44). Trading Losses during the quarter amounted to P25.2 billion pesos.

GNP Implicit Price Index (IPIN) stood at 487.3 percent from 477.1 percent in the previous year or a 2.1 percent growth from 2006.

TOP TEN MERCHANDISE IMPORTS
3rd Quarter 2006 and 3rd Quarter 2007
IN MILLION PESOS

At Constant 1985 Prices

ITEMS	Q3 2006	Q3 2007	Growth Rate (%)
PRINCIPAL MERCHANDISE IMPORTS	101,472	94,164	-7.2
1. Mineral fuels,lubricants and related materials	15,399	16,382	6.4
2. Machinery other than electrical machinery	16,090	14,747	-8.3
3. Base metals	5,002	3,626	-27.5
4. Electrical machinery, apparatus & appliances	33,072	28,242	-14.6
5. Cereals & cereal products	4,781	5,311	11.1
6. Transport equipment	3,978	3,305	-16.9
7. Chemical elements and compounds	4,153	4,294	3.4
8. Manufactures of metals	2,027	2,075	2.3
9. Textile yarns	6,358	5,662	-11.0
10. Artificial resins and plastic materials	1,965	1,983	0.9
11. Dairy products	1,426	1,774	24.4
12. Textile fibers	912	788	-13.7
13. Fertilizers	1,739	1,613	-7.2
14. Feeding stuff	2,937	2,982	1.5
15. Paper products	1,632	1,381	-15.4

Note: Estimates of Merchandise Imports (2004-2006) were revised to reflect the NSO revised Imports figures released in August 2005. Note that imports figures released prior to May 2003 are not linked to the above-cited estimates.

At Current Prices

ITEMS	Q3 2006	Q3 2007	Growth Rate (%)
PRINCIPAL MERCHANDISE IMPORTS	476,238	455,634	-4.3
1. Mineral fuels,lubricants and related materials	113,519	123,410	8.7
2. Machinery other than electrical machinery	80,215	74,951	-6.6
3. Base metals	27,170	21,827	-19.7
4. Electrical machinery, apparatus & appliances	138,785	120,224	-13.4
5. Cereals & cereal products	16,529	19,687	19.1
6. Transport equipment	31,442	26,285	-16.4
7. Chemical elements and compounds	14,275	16,035	12.3
8. Manufactures of metals	5,736	6,056	5.6
9. Textile yarns	12,617	10,805	-14.4
10. Artificial resins and plastic materials	13,560	13,430	-1.0
11. Dairy products	5,789	7,288	25.9
12. Textile fibers	1,597	1,501	-6.0
13. Fertilizers	3,465	3,366	-2.8
14. Feeding stuff	4,861	4,387	-9.8
15. Paper products	6,679	6,384	-4.4

Note: Estimates of Merchandise Imports (2004-2006) were revised to reflect the NSO revised Imports figures released in August 2005. Note that imports figures released prior to May 2003 are not linked to the above-cited estimates.

IMPORTS OF GOODS AND SERVICES
3rd Quarter 2006 and 3rd Quarter 2007
IN MILLION PESOS

At Constant 1985 Prices

I T E M S	3rd Qtr 2006	3rd Qtr 2007	Growth Rate (%)
Imports	169,869	159,134	-6.3
A. Merchandise Imports	161,962	149,175	-7.9
B. Non-Factor Services	7,907	9,959	26.0

At Current Prices

I T E M S	3rd Qtr 2006	3rd Qtr 2007	Growth Rate (%)
Imports	749,548	739,658	-1.3
A. Merchandise Imports	712,098	696,870	-2.1
B. Non-Factor Services	37,450	42,788	14.3

IMPORTS OF GOODS AND SERVICES
2005 and 2006
IN MILLION PESOS

TYPE OF EXPENDITURE	AT CURRENT PRICES			AT CONSTANT PRICES
TYPE OF EXPENDITURE	2005	2006	Growth Rate (%)	2005	2006	Growth Rate (%)
Imports	2,816,243	2,873,562	2.0	643,839	655,791	1.9
A. Merchandise Imports	2,649,311	2,697,819	1.8	610,256	618,767	1.4
B. Non-Factor Services	166,932	175,743	5.3	33,583	37,024	10.2

Source: National Statistical Coordination Board (NSCB)

Posted November 29, 2007.


E-mail the webmaster	Terms of Use	Home • Top of Page
	1997-2008, National Statistical Coordination Board Makati City, Philippines