PHILIPPINE DAILY INQUIRER - January 12, 2010

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Exports rose in November after 13 months of decline

MANILA, Philippines--PHILIPPINE EXPORTS GREW FOR THE first time after 13 months of continuous contraction, increasing by 5.1 percent year-on-year to $3.69 billion in November.

With major markets of Philippine goods hobbling in the global slump, the value of shipments have been shrinking since October 2008, diving as deep as 40.6 percent in January 2009.

The National Statistics Office yesterday reported that total exports surged mainly due to a rebound in electronics shipments, the country’s biggest dollar earner.

This put total exports in the first 11 months of 2009 at $35 billion, dipping by 24.6 percent from the $46.2 billion in the same period in 2008.

In November, electronics—which accounted for 58.2 percent of total outbound cargoes—rose 6.9 percent year-on-year to $2.15 billion due to the continuing decrease in shipments of components and devices.

But compared to receipts in October, electronics slid by 0.7 percent from $2.16 billion, although this was better than the previous’ month’s 3.9-percent decline.

The Semiconductor and Electronics Industries of the Philippines Inc.(Seipi) expects exports to improve more steadily in the coming months after a hiccup in October due to devastating typhoons.

Seipi president Ernesto B. Santiago said fourth-quarter export earnings were expected to be better than the $6.22 billion posted in the third quarter.

Santiago said quarterly export bills have been improving sequentially from $4.32 billion in the first quarter and $5.41 billion in the second quarter in 2009.

Even then, the industry group expects full-year outbound shipments to dip by 20 percent although this has been revised from a higher figure set early last year.

NSO documents showed that receipts from the country’s second top export—articles of apparel and clothing accessories—decreased by one percent year-on-year to $131.8 million.

Automotive wiring sets were third, dropping by 10 percent to $96.96 million.

The fourth top exports were woodcraft and furniture, which fell 11.8 percent to $87.54 million.

Manufactured goods represented 88.3 percent of export receipts and went up in aggregate value by 6.8 percent to $3.05 billion in November.

Agro-based products earned $145.43 million or a decrease of 22.7 percent. Receipts from mineral products reached $143.01 million, rising by 11.4 percent.

In November, the three biggest markets for Philippine goods showed increasing orders for shipments.

Cargoes sent to the United States made up the biggest batch at 17.7 percent of total outbound traffic and the value increased by 7.5 percent to $654.17 million.

Exports to Japan followed at 16.2 percent of the total, going up by 2.7 percent to $597.57 million.

Shipments to The Netherlands were third with 10.3 percent of the total, rising by 56 percent to $378.43 million.