Export and import trends
Kosovo is a small open economy which has a share of exports and import to the GDP estimated to be approximately 0.56 for the year 2012. This foreign trade is significantly dominated by the imports EUR 2,492 million, compared to EUR 319 million. As such, it represents a challenge resulting in a high trade deficit, however, in the mean time it is a great opportunity for investors to engage in exports as it is a priority of the government as well. As the state building was undertaken, the trade sector including both imports and exports has shown constant increasing trends. Even though, at this time the exports cover only a small portion of imports, the aim of the government is to develop this sector through incentives and help the exporters overturn this large gap.
|Year||Export||Import||Trade Deficit||Percentage of export to imports||Yearly increase in percentage for exports||Yearly increase in percentage for imports|
For the past ten years, exports have shown a constant increase, with an average per annum during this period of around 48.5%. Compared to the imports which have a 14.01% average annual increase, this shows a catching up trend. The global financial crises has placed a large burden in the exports for 2009 since the decrease of prices in international markets has caused a drop of around 16.7% for goods and services exported from Kosovo.
As the statistics confirm, for the period 2005 – 2011, it can be observed a consistent increasing trend for exports, as well as imports. Based on the analysis of data during the period 2005-2011 it is noted that there is a consistent increase both in exports and imports.
The below table illustrates the development across different sectors when it comes exports and imports. Despite the fact that some of the goods are produced locally, there still exists a large demand for goods in the same industry for local market, as well as regional and international ones.
EXPORT AND IMPORT BY CATEGORY FOR 2010 and 2011 (in thousands)
|Food and live animals||18,710||17,552||354,396||413,054|
|Beverages and tobacco||5,368||8,097||102,099||114,472|
|Animal and vegetable oils||100||45||17,346||19,292|
|Machinery and transport equipment||9,745||16,162||439,861||422,316|
|Miscellaneous manufactured articles||8,735||6,902||202,580||226,544|
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