Merchandise exports dropped 4.5 percent February to $4.31 billion from $4.51 billion a year ago on weak global demand for the country’s articles of apparel and clothing accessories and chemicals, the Philippine Statistics Authority said Tuesday.
The drop marked the 11th consecutive month of decline in the country’s exports bills since April last year.
Exports also fell 4.2 percent in the first two months to $8.498 billion from $8.87 billion year-on-year.
The National Economic and Development Authority said the global economic slowdown continued to weigh on the country’s export bill.
“The export performance of most of the trade-oriented economies in East and Southeast Asia continues to reel from weak global demand that is largely influenced by the global economic slowdown,” Economic Planning Secretary Emmanuel Esguerra said.
“For the Philippines, we see this continuing only within the near term but it remains important for us to set up short-term measures that will support some of our export products,” he said
Only Vietnam and Thailand posted positive export gains while China recorded the steepest decline at 25 percent during the period.
“As softer external demand is expected over the near term, the Philippines should at least aim for a 5.4-percent growth in merchandise exports, which is the low-end projection of the Export Development Council. Short-term measures may include providing government support to export products for which demand is growing faster relative to other export segments and where the Philippines has an increasing market share,” Esguerra said.
Electronic products, the country’s top export, grew 8 percent to $2.131 billion in February from $1.97 billion on year.
Exports of manufactured goods declined 2 percent to $3.740 billion from a year ago.
Shipments of chemical products and articles of apparel and clothing accessories slumped 38.5 percent and 44.9 percent to $128.36 billion and $82.97 billion, respectively.
Exports of petroleum products also declined 60 percent to $6.1 million in February due to low global oil prices.
Japan remains the country’s top export destination with receipts of $939.61 million, or 21.8 percent of the total shipments in February. Exports to Japan decreased 0.3 percent from $942.32 million a year ago.
About 48 percent of the country’s merchandise exports in February 2016, or $2.084 billion, went to countries in East Asia. They were down 3.9 percent from $2.170 billion a year ago.
Commodities exported to Asean member countries comprised 16 percent of the total or $667.25 million, also down 7.8 percent from $723.89 million on year.
“While current global growth conditions remain tilted to the downside and will continue to affect exports in the short term, the Philippines must take advantage of the opportunity presented by an expected improvement in the economic growth of the Asean region,” Esguerra said.