Plant and equipment on top

Romania’s exports were worth more than $2.5bn in the first two months of this year, nearly 39% higher than in the same time last year.
Imports amounted to about three billion dollars, yet their 29% progress, slower than the export growth pace, pushed the trade deficit in FOB/CIF prices throughout January 1- February 28, 2003 slightly down from 2002 to $477 million.
February was the fourth month during which Romania exported more than $1.3bn’s worth, collecting $1.328bn, 39% more than in the same month in 2002 and about 15% more than the entire last year’s average.
The most significant export growth in the first two months was registered by mineral products (49.5%) and by plant and equipment (44.1%). Metallurgical product exports were 40.7% higher than in the corresponding period of last year.
Out of the $2.5bn in export-related revenues, more than one billion dollars was collected from sales of apparel ($672 million), which keep going up (29.2%), and of plant and equipment ($405 million).
In spite of the economic slowdown, the European Union market continued to absorb more and more of the commodities exported by Romania, that is 33.5% more than in 2002. EU has therefore come to account for nearly 70% of Romania’s exports.
Although the international conditions are not favourable at the moment, the upward export trend seems consolidated, so that this year’s revenues might reach about $16bn if the current dynamic maintains.
Romania last year exported some $13.9bn’s worth in commodities, therefore exceeding all estimates. Exports keep growing for the time being, in spite of the doubling in the profit tax the exporters have to pay as of this year to 12.5%, and of the reluctance of the banks to directly finance export operations.
Exporters benefited from the 2.3% ROL loss against the euro early this year.
The chance of maintaining export growth is to enter new markets besides the EU; the exports to developing countries in the first two months of this year were 64.7% higher than in 2002, accounting for 15% of the total.