Exports speed up, but price increase of raw materials is also a factor

The exports increase remained robust in February, but the faster rise is partly accounted for by the increase in the price of raw materials, not just by the rise in the volumes exported, according to analysts.

In February exports totalled 3.5 billion euros, 36.4% higher than in February of last year, after the rise amounted to 47.8% in January. Imports neared 3.9 billion euros, up 20.9% against February 2010.

“The rapid increase of exports lately also has to do with the increase in the price of raw materials. Therefore, the share of mineral fuels in the structure of exports has increased by 1.4% in the last two months, while cars and transportation equipment, as well as other manufactured products, are on a downward trend,” commented Melania Hăncilă, chief economist of Volksbank.

The price of Brent crude oil hit the highest level in two years and eight months on Friday, exceeding 124 dollars/barrel, after attacks on Libyan oil fields caused fears that deliveries from Libya could be suspended for a long time.

The prices of raw materials pursued an overall positive trend amid expectations that the recovery of the global economy would fuel demand.

The highest share of Romania’s exports, 42.2%, is accounted for by cars and transportation equipment in the first two months of the year. Second-ranking are other manufactured products, with 33.1%. Raw materials, mineral fuels and chemical products had similar shares of around 6-7%.