Imports rose 27% in 2010

Philippine imports surged 26.9 percent in 2010 from a year earlier on strong demand from local manufacturers of electronic inputs, raw materials and other intermediate goods, government data show Friday.

The National Statistics Office said total imports hit $54.7 billion in 2010 from $43.09 billion in 2009, exceeding the government’s 20-percent growth projection.

Imports in December expanded 25.2 percent to $4.93 billion from $3.93 billion year-on-year. Import growth slowed month-on-month from a 35.3-percent expansion in November.

Total foreign trade for the whole of 2010 reached $106.13 billion, up 30 percent from $81.53 billion in 2009. Exports hit $51.43 billion in 2010, resulting in a trade deficit of $3.27 billion, down from the $4.66-billion gap in 2009.

The trade deficit in December hit $729 million, up from $615 million a year ago.

The government expects imports to grow 18 percent in 2011 and exports to expand 10 percent because of the slower-than-expected global economic recovery.

Electronic products accounted for a third of the total import bill in December with $1.71 billion, up 35.3 percent from $1.26 billion on year. They rose 5.1 percent month-on-month from $1.624 billion in November. Semiconductors had the biggest share of nearly 29 percent at $1.42 billion from just $902.97 million in December 2009.

Imports of mineral fuels, lubricants and related materials in December ranked second with a 19-percent share with a total bill of $941 million from $760.54 million on year.

Transport equipment was the country’s third top imports for the month with a 7.6-percent share at $373.6 million.

Industrial machinery and equipment contributed 4.8 percent to the total import bill at $236.45 million, while iron and steel, accounted for 2.4 percent at $116.83 million.

Imports of raw materials and intermediate goods amounted to $1.96 billion, which was nearly 40 percent of the total imports for the month.

Imports of capital goods, which comprised 28.6 percent of total imports, hit $1.41 billion, while purchase of consumer goods amounted to $545.46 million. –Elaine Ramos Alanguilan, Manila Standard Today