Petroleum and Mineral Products Keep September Exports Afloat

Exports of petroleum as well as mineral products contributed significantly to the increase in total export receipts in September this year. This is despite the drop in the exports of electronic products that triggered the slowdown of the total merchandise exports to 1.2 percent in the said month from the revised 6.6 percent growth in August and the revised 5.1 percent increase posted in the same period last year.

Merchandise export receipts reached US$4.4 billion in September bringing them to US$38.9 billion for the first three quarters of 2008 or a 4.0-percent growth from the same period last year.

In his memorandum to President Gloria Macapagal Arroyo, Socioeconomic Planning Secretary and NEDA Director General Ralph G. Recto said that both value and volume of petroleum exports posted positive growth rates at 102.6 percent and 16.0 percent, respectively.

“The bulk of outward shipments of petroleum products were brought to Singapore, Taipei ROC and Indonesia,” Recto said.

Likewise, Recto said that despite the 30.5 percent contraction in volume, exports of mineral products continued to post double-digit growth at 17.9 percent. This, he said, was attributed to the 40.4 percent surge in the value of exports of copper metal which comprised two-thirds of the total outward mineral shipments in September. Chromium ore and other minerals also contributed to the boost in mineral exports.

“About 75.5 percent of the total mineral exports in September went to South Korea, Japan and Thailand,” the socioeconomic planning secretary added.

Aside from electronic products exports, garments also suffered a significant reduction in volume of shipments.

“This would be due to decline in demand at the onset of the September global financial turmoil and the continuing slowdown in major economies,” Recto said.

Meanwhile, the United States regained its post as top export destination in September registering an 18.2-percent share from 14.9 percent in the previous month, with electronic data processing equipment, garments and semiconductors as the main exports.

Japan, which was the top destination in August, slid to second place with a 14.4-percent share. Other top export markets were China PRC (11.1%), Hong Kong SAR (9.9%), and the Netherlands (7.7%). The combined exports to China PRC, Hong Kong SAR and Taipei ROC accounted for 25.2 percent of the total merchandise exports in September.

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