- May 30, 2022
- Posted by: medium
- Category: National
Non-oil, non-mining sales to China grew by more than 100% in the first quarter of 2022. The shrimp sector says that its current situation is very different.
Ecuadorian exports increased by 30% in the first quarter of 2022: total exports reached $8,085 million and non-oil, non-mining exports reached $4,530 million, driven by shrimp, which continues to break records, and because China bought much more.
With $1,756 million in shrimp sales in the first three months of the year, this sector already has 35% of the foreign exchange generated in all of 2021, when it reached the record of $5,078 million in exports. Although the sector indicates that April and so far in May show a very different situation.
Shrimp shipments abroad have generated an increase of 95% in dollars until March and 44% in pounds, placing this product as the main product in the non-oil, non-mining basket. In the case of bananas, there is a 2% increase in exported value and a 7% decrease in volume, reports the Ecuadorian Federation of Exporters (Fedexpor).
The statistics recorded by the National Chamber of Aquaculture also show great growth, but of 81%. Their figures indicate that exports were $1,545 million; Of them, China represents $828,705,914, since in relation to the first quarter of 2021 it has now increased its purchases of Ecuadorian shrimp by 199%. And it has a 56% stake.
Unlike the first quarter of 2021 in which whole shrimp remained a growing product, in 2022 the fastest growing products are tails and added values.
“Despite all this, unfortunately, given that these are not current figures since we are already in mid-May; These do not reflect the difficult situation that the sector is going through as it experiences very low prices, close to those perceived during the peak of the pandemic in 2020. Therefore, what was recorded in the first quarter of this year, which is the result of investments in added value and the post-pandemic recovery, has been clouded by the hit to our April and May sales, especially which will be lower than the first quarter of this year,” indicates the executive president of the Chamber, José Antonio Camposano.
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In April the union had shown its concern about the resurgence of the pandemic and city closures in China, which affect consumption; and inflation in the United States, which deteriorates the purchasing power of consumers, which could have an effect on the reactivation of restaurants and events that generate demand for products such as Ecuadorian shrimp.
The United States has increased its import of shrimp from Ecuador by 51% in these first months and compared to the same period in 2021: they add up to $315,413,817, and its share has dropped from one year to the next from 23% to 19%. according to the data managed by the Chamber.
After China and the United States, the main markets for Ecuadorian shrimp are Spain, France, Italy, Vietnam, Russia, South Korea, the United Arab Emirates and England.
Fedexpor indicates that until March, China was the first destination for Ecuador's non-oil, non-mining supply, and that during this period, non-oil, non-mining exports to the Asian country grew by more than 100%. The United States, as the second commercial destination, registered an increase of 17% in the same period. Together with the European Union, these destinations accounted for 65% of non-oil non-mining exports.
These are the eight main non-oil non-mining export products that had the highest income:
- Shrimp
- Banana and plantain
- Canned fish
- natural flowers
- The United States is their main destination. This product registered a growth of 7% compared to the same period of the previous year and its sales value is $684 million.
- Vegetable extracts and oils
- Leather, plastic and rubber articles
- Chemicals and drugs
This is despite the fact that six of these products: bananas, flowers, tuna, leather manufactures and chemicals, had a drop in exported volumes. While two other main export products: cocoa and processed products and wood and manufactures, had a decrease in foreign currency and volume.
On the other hand, all the top ten import products register growth, especially fertilizers coming from Russia, with an increase of 145%, according to Fedexpor statistics. The most imported are machines and mechanical devices, vehicles and parts, electrical machines and devices, plastic and its manufactures, animal feed, pharmaceutical products, iron and steel foundry, cereals and chemical products.
Non-oil imports increased by 38%, mainly due to an increase in purchases of raw materials of 49% and capital goods by 31% during the first quarter of 2022.
Thus, the trade balance presents a surplus of $933 million, the product of a favorable oil trade balance of $1,305 million and a deficit balance of $373 million in the non-oil sector.