Domestic trade grows 18.9% in Q3

MANILA, Philippines — Domestic trade grew both in terms of value and volume in the third quarter on greater movement of food and capital goods, the Philippine Statistics Authority (PSA) reported yesterday.

Preliminary results of the PSA’s Commodity Flow in the Philippines Third Quarter 2017  report showed total trade volume rose 18.9 percent to 4.86 million tons in the July to September period from 4.09 million tons in the same quarter a year ago. Food and live animals were the most traded in terms of quantity, making up 23.9 percent of all traded commodities.

In terms of value, domestic trade rose 3.3 percent to P153.99 billion in the third quarter from P149.14 billion posted in the same quarter the previous year. Machinery and transport equipment remain the most traded commodities in terms of value during the period with a total value of P53.09 billion or 34.4 percent of the total. Other top traded commodities were food and live animals, manufactured goods, mineral fuels, chemicals, and beverages and tobacco.

Among regions, trade activity — both inflow and outflow — was most vibrant in Central Visayas which posted the highest quantity of all traded commodities with 0.94 million tons during the third quarter of 2017. PSA noted that Central Visayas registered the highest value of inflows or goods entering the region.

Other regions which registered robust trade activity were Central Luzon and Northern Mindanao with 0.86 million tons and 0.79 million tons, respectively.

About 99.85 percent of the total value commodities that flow in the country were traded by means of water and the remaining 0.15 percent, through air.

In terms of favorable trade balance, however, Eastern Visayas registered the highest positive trade balance during the third quarter at P16.94 billion as outflows exceeded inflows. It was followed by NCR which registered a positive trade balance of P11.93 billion. Other regions that reported positive trade balances during the period were Central Luzon, Davao Region, SOCCSKARGEN and ARMM.

Ten regions, on the other hand, reported unfavorable trade balances during the third quarter of the year as inflows exceed outflows.

These were: Caraga (P23.92 billion), CALABARZON, (P4.96 billion), Zamboanga Peninsula (P3.81 billion), Central Visayas (P3.57 billion), MIMAROPA (P3.08 billion), Northern Mindanao (P2.18 billion), Ilocos Region, P1.09 billion, Western Visayas (P640 million), Cagayan Valley, (P10 million) and Bicol Region (P10 million).

PSA’s commodity flow statistics is a compilation of data of the transport of commodities through air and water transport systems in the country.  Rail mode of goods transport is not covered in the compilation.

This information enables policy-makers to monitor domestic trade and identify the growth areas in the country.