Latvian Exports Continue To Slow In August

The total turnover in Latvian foreign trade at current prices was 952.0 mln lats in August 2008 – down 60.4 mln lats or 6.0% over July and down 59.6 mln lats or 5.9% than in August last year, according to Central Statistical Bureau data. The reduction is largely the result of falling imports, although the rate of increase in exports steadily reduces.

Exports were down month on month by 1.9% and year on year they were up by 4.1%, but these are current, non inflation corrected prices. Imports were down 8.3% on the month and 11.1% on the year.



Latvia's monthly foreign trade deficit stood at 226.2 million Lats in August, down from the 272.6 million Lats registered in July, although the change here is really the product of the substantial decline in imports which is taking place as a result of the recession.




Month on month the most rapid decrease at current prices was in exports of inorganic chemical products – by 92.6%, of wheat and meslin – by 53.3%, of pharmaceutical products – by 23.1%, of perfumery and cosmetics – by 16.3%, machinery and mechanical appliances – by 8.0%, of sawn wood – by 7.0%, but there was an increase in exports of articles of apparel and accessories knitted or crocheted – by 25.0%, of prepared or preserved fish, crustaceans, molluscs – by 21.1%, of iron and non-alloy steel – by 20.0%, of articles of iron or steel – by 12.7%.

Compared to August 2007, the most notable increase was in exports of wheat and meslin (exported to Morocco, Norway and Estonia) – up by 320% times, of iron and non-alloy steel – by 69.3%, of articles of iron or steel – by 32.7%, of electrical machinery and equipment – by 8.7%, but the exports of wood in the rough decreased by 43.4%, of sawn wood – by 43.2%, of semi-manufactures and articles of plastics, scrap – by 6.7%, of articles of apparel, not knitted or crocheted - by 3.5%.