Exports fell for a 17th month in August, despite the rebound in electronics shipments during the month, the Philippine Statistics Authority said Tuesday.
Data from PSA showed merchandise exports dropped 4.7 percent in August to $4.9 billion from $5.1 billion a year ago. The drop was slower than the 13-percent slump in July.
“Given the sluggish external environment, the country should focus on diversifying its export markets and improving productivity and competitiveness of industries. With traditional export markets such as Japan and the United States still showing weak appetite for Philippine exports, new markets should be explored,” said National Economic and Development Authority deputy director-general Rosemarie Edillon.
Exports in the first eight months also went down by 7.8 percent to $36.4 billion from $39.5 billion a year ago.
Edillon asked exporters to tap new markets such as Russia and Kazakhstan, which are being eyed as potential destinations for agriculture and industrial products. She also urged them to tap emerging markets such as Kuwait, Mongolia and Malaysia.
“We also need to shift to high-value crops as potential agricultural exports. This can be done if we improve agricultural productivity through investments in modernization efforts, infrastructure, and research,” said Edillon.
Neda said total merchandise trade increased 4.7 percent to $11.8 billion in August, following a 6.6-percent decline in July.
The growth was pushed up by the 12.2-percent surge in imports to $6.926 billion.
“Strong domestic activity is expected to underpin demand for imports for the latter part of this year. The government should maintain a conducive environment for growth and continue addressing logistical bottlenecks to ensure the smooth flow of trade,” said Edillon.
The double-digit growth of merchandise imports was attributed to hefty increases in consumer goods, which grew 59 percent and capital goods which surged 29.9 percent.
