According to the Bank of Guyana, which monitors the growth and slump of the economy, it was found that the country’s merchandise trade deficit contracted by 24.3 percent or US$75.9 million to US$236.8 million from US$312.6 million as at the end of June 2014.
This outturn was due to a US$74.5 million reduction in imports and a US$1.4 million increase in export receipts. Total export receipts amounted to US$536.1 million, 0.3 percent more than the US$534.7 million recorded at end-June 2014. This upturn was as a result of higher earnings from rice, “other exports” and timber.
Also, it was revealed that the value of merchandise imports decreased by 8.8 percent or US$74.5 million to US$772.8 million. This outturn was on account of lower imports of intermediate goods. Imports in the “consumption goods” sub-category amounted to US$188.4 million, 0.8 percent or US$1.5 million more than the 2014 corresponding level.
This was mainly due to increases in other durable goods and food for final consumption by US$4.5 million and US$3.3 million respectively.
There were declines in beverages and tobacco, other non-durable goods, motor cars, clothing and footwear and other semi-durable goods by US$2.6 million, US$1.6 million, US$1.3 million, US$0.5 million and US$0.3 million respectively. In the “intermediate goods” sub-category, imports decreased by 18.7 percent or US$90.7 million to US$393.7 million.
This position was as a result of declines in the import value of fuel and lubricants, food for intermediate use, textiles and fabrics and other intermediate goods by US$101.0 million, US$3.5 million, US$0.7 million and US$0.4 million.
However, chemicals and parts and accessories recorded increases of US$13.2 million and US$1.6 million respectively. Additionally, imports in the sub-category “capital goods” increased by 8.6 percent or US$14.8 million to US$186.7 million.
Nearly all types of capital goods recorded an increase, with the most notable being an US$8.7 million increase in building machinery. However, imports for industrial machinery and agricultural machinery saw a decline of US$5.4 million and US$5.2 million respectively.
As for the year 2013, it was noted that the merchandise trade deficit narrowed by 2.3 percent or US$7.2 million to US$304.4 million from US$311.6 million at the end June 2013. This decline was due to a US$68.2 million reduction in imports which more than offset a US$61.4 million contraction in export receipts.
It was found too, that the value of merchandise imports decreased by 7.5 percent or US$68.2 million to US$839.0 million. This outturn was mainly on account of lower imports of consumption, intermediate, and capital goods.
Imports in the consumption goods sub-category amounted to US$186.9 million, 7.2 percent or US$14.5 million less than the 2013 corresponding level. All items within this subcategory decreased, with the most notable being a decline in other nondurable goods, and other durable goods of US$5.8 million and US$2.8 million respectively.
In the intermediate goods sub-category, imports declined by 3.3 percent or US$16.1 million to US$476.1 million. This position was mainly due to declines in chemicals, parts and accessories, and textiles and clothing by US$20.5 million, US$8.9 million, and US$0.1 million respectively. However, fuel and lubricants, other intermediate goods and food for intermediate use recorded increases of US$6.9 million, US$3.6 million and US$2.9 million respectively.
Importantly, imports in the sub-category of capital goods declined by 17.7 percent or US$37.0 million to US$171.9 million. Nearly all types of capital goods recorded a decline, with the most notable being a US$17.1 million reduction in agricultural machinery. However, imports for mining machinery saw an increase of US$3.6 million.
When compared to the prior year, statistics revealed that merchandise trade deficit narrowed by US$57.4 million to US$317.7 million from US$375.1 million at the end of June 2012. This was however, noted to be an improvement over 2011. It was due to a US$7.0 million increase in exports and a US$50.4 million decrease in imports.
It could be noted that the value of merchandise imports decreased by 5.3 percent or US$50.4 million to US$907.2 million. This outturn was mainly on account of lower imports of consumption, intermediate and capital goods.
Imports in the consumption goods amounted to US$201.4 million. All items except food for final consumption, motor cars, clothing and footwear, and other durable goods increased in value. For intermediate goods, imports decreased by 5.7 percent to US$492.1 million. This position was on account of a 9.6 percent or US$30.0 million decrease in the value of fuel and lubricants imported, as well as a decrease in the value of parts and accessories imported by 20.8 percent or US$11.9 million. Food for intermediate use and chemicals recorded increases of 9.4 percent or US$3.5 million and 43.8 percent or US$12.8 million respectively.