March imports surge 39% to $4.543 billion

MANILA, Philippines – The country’s merchandise imports climbed by 38.9 percent to $4.543 billion in March from $3.270 billion in the same period last year as payments for electronics surged by 35.4 percent during the review period, the National Statistics Office (NSO) reported yesterday.

The March growth rate was faster than the 27.6-percent rise in February, the government statistics office said.

The double-digit increase in imports in March alone also helped contribute to the growth in the quarter, NSO said. For the first three months of the year, total imports went up by 32.7 percent to $12.734 billion from $9.599 billion last year. Similarly, merchandise exports climbed by 42.9 percent to $11.330 billion from $7.926 billion during the three-month period.

Thus, the Philippines posted a trade deficit of $1.404 billion for the first quarter of 2010, much less than the $1.673 billion deficit in the same period of 2009.

Payments for electronic products – including consigned and direct importation – accounted for the biggest aggregate import bill.

Purchases of the country’s main import item, electronics, surged 35.4 percent to $1.505 billion in March from $1.112 billion in the same period last year.

In February, imports of electronics recorded a 33.8-percent growth. Electronics accounted for 33.1 percent of the aggregate import bill.

The surge in electronics bodes well for exports in coming months as these products are reassembled for shipment later.

Imports of mineral fuels, lubricants and related materials ranked second with 16.8-percent share and posted a growth of 63.4 percent to $763 million.

Purchases of cereals and cereal preparations came in third with $254 million followed by industrial machinery with $128 million.

Imports of organic and inorganic chemicals amounted to $105 million, up 12 percent from a year ago level while purchases of plastics in primary and non primary forms amounted $83 million.

Rounding up the list of top imports for March were: telecommunications equipment, $72 million and chemicals, $68 million.

Apart from electronic parts, the Philippines’ other top imports are fuel, electrical and industrial machinery, transport equipment, iron, steel and textiles.

Japan remained the country’s largest source of imports in March, recording payments worth $598.59 million, 13.2 percent of the total bill. This was a 59.2 percent increase from the March 2009 level of $375.91 million.

The United States came in second with $452.98 million or a 10 percent share of the import bill, followed by Singapore ($354.03 million), Korea ($339.27 million), and China ($310.58 million).

The central bank expects imports to grow 18 percet this year and in 2011. –-Rica D. Delfinado (The Philippine Star) with abs.cbn NEWS.com