PH exports diversify to offset weakness in Japan
MANILA, Philippines—With the Japan crisis hitting the country’s top merchandise export—electronics—other sectors have stepped up by registering double-digit growth in the first quarter, giving the country a shot at breaching its 10-percent export growth target for 2011.
In a briefing Friday, Trade Secretary Gregory Domingo said the 7.8-percent growth in exports in the first three months was still relatively good, considering the country’s dependence on the electronics sector, which was badly hurt by the March 11 earthquake in northern Japan.
He said that the electronics sector usually accounts for around 75 percent of the country’s export receipts. In the first quarter, however, the sector accounted for just more than 50 percent of total merchandise exports.
“Electronics (declined) in the first quarter, but our total growth during that period was 7.8 percent. This means that our non-electronic exports grew by double digits,” he said. “Our exports are diversifying and growing strongly. There’s strong growth coming from sectors other than electronics.”
In the January-March period, he said the country’s coconut oil exports almost doubled to $467 million and became the second-largest merchandise export.
While this development also caused local cooking oil prices to spike, he said this would be good for the country in the long run as it would generate more jobs and revenues for the coconut industry.
Garments exports, he said, went up by almost 17 percent to $465 million, while the woodcrafts and furniture sector jumped by almost 53.5 percent to $386 million.
These double-digit growth rates were indicative of the country’s growing strength in sectors other than electronics, he said.
