Kirk LaughlinCaribbean countries exported almost a quarter less in products in 2009 and imports declined even more significantly, all because of the global economic crisis.
According to new estimates released by the Economic Commission for Latin America and the Caribbean (ECLAC), the value of total exports for that entire region fell 24 percent when compared to the previous year, while the value of imports also decreased 25 percent.
But for the Caribbean alone, the study ‘International Trade in Latin America and the Caribbean 2009: Crisis and Recovery’ pointed out that exports diminished by 22 percent, while the drop in imports into regional countries fell by 35 percent.
The contraction in the value of Latin America and the Caribbean’s exports represents a combined 15 percent drop in value and nine percent in volume.
“This simultaneous decrease in price and volume is unprecedented in recent history. The last similar situation took place in 1937,” the report said.
In terms of sectors, mining and oil exports fared the worst, with an average fall of-42.3 percent, while manufactured products dropped 25.4 percent and agricultural and livestock exports decreased 18.4 percent.
However, ECLAC said the signs of economic recovery during the last quarter of 2009 indicate there will be greater regional trade this year.
It said that the economic recovery in the last quarter of 2009 was due, among other reasons, to the partial rise in the price of several commodities, such as copper, zinc, oil, wheat and soya, and the strong demand from China as of the second quarter of last year.
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