Reduction of Greek exports in August

Reduction of Greek exports in August


By Spiros Sideris – Athens

As expected, the positive trends in exports was halted for August, the month in which the Russian embargo was imposed on European products.

According to the announcement of the Panhellenic Exporters Association, beyond the agricultural sector, the negative international environment had a negative effect on almost all export sectors of the greek economy, resulting in a decline in the total value of exports by 5.9% to 2.05 billion Euros (from 2.18 billion euros in August 2013).

Indeed, excluding the oil products, there is an even bigger reduction of 6.1%, according to initial estimates of EL-STAT. From an analysis of the Panhellenic Exporters Association and the Centre for Export Research and Studies (KEEM), the figures whow a decline in almost all the main categories of exported products, except machinery (+0.2%) and confidential products (+6,9% ).

More specifically, the negative impact of the Russian embargo disrupted the positive climate in the food industry (-1.8%), while intensified pressures on olive oil exports (-39.2%), which were the last one year stocks of very small total production. Of the remaining products, there was a marked drop in chemicals (-3.3%) and various industries (-7.8%) and raw materials (-2.1%), indicative of the drop in industrial production of the major trading partners of Greece.

The further decline in the total value of exports has strengthened the downward pace of exports for the 12-months period, at 6.4%, compared with the period of September 2012-August 2013. Especially for last August, the data show that Greek exports decreased by 8.8% in the EU and by 3.5% in third countries.

A similar picture can be drawn with the exclusion of oil products, as exports dropped by 7.7% in the EU and by 3.4% in third countries. As a result of these movements, the share of exports to EU countries stood at 43.7%, versus 56.3% in Third countries.

When one excludes oil products, the relationship formed gives a clear advantage on European markets with 62.2% share, versus 37.8% to Third countries, but the difference is significantly restricted in favor of countries outside the EU.

There has also been a reduction in imports. Regarding imports, there is also a change in the trend, with high rates of decline, both in total value (-16.4%) and in the value excluding oil products (-13%). This drop was mainly due to the low imports from Third Countries of oil products and machinery for ships. In a 12-month basis, the large decline in August resulted in enhancing the rates of decline to 2.1% over the period September 2012-August 2013.