|
Trade Balance.
In 1998, Palestine exported US$444 million and imported US$2.7 billion, for a total trade deficit of approximately US$2.2 billion. As shown on the table below, Palestine has experienced a chronic trade deficit since the signing of the Oslo agreements. The trade deficit in 1997 represents as much as 48% of the GDP and it is clearly a burden for the Palestinian economy.
Development of Palestinian External Trade (West Bank & Gaza)
Item |
1990 |
1991 |
1992 |
1993 |
1994* |
1995 |
1996 |
1997 |
1998 |
Exports million $ |
231 |
247 |
292 |
234 |
243 |
326 |
340 |
381 |
444 |
Imports million $ |
843 |
1139 |
1260 |
1173 |
1075 |
1690 |
2017 |
2164 |
2723 |
Exports % of Imports |
27 |
22 |
23 |
20 |
22 |
19 |
17 |
18 |
16 |
Trade balance million $ |
-612 |
-892 |
-968 |
-939 |
-832 |
-1364 |
-1677 |
-1763 |
-2279 |
Exports as % of GDP |
10.3 |
11.4 |
10.7 |
9.0 |
9.2 |
10.4 |
10.0 |
10.5 |
n.a. |
Imports as % of GDP |
37.5 |
52.7 |
46.1 |
45.2 |
41.0 |
54.3 |
59.1 |
58.0 |
n.a. |
Trade deficit as % of GDP |
27.2 |
41.3 |
35.5 |
36.2 |
31.7 |
43.8 |
49.0 |
48.0 |
n.a. |
Sources: For 1990-1991, Axel J. Halbach, “New potentials…” op. cit.; For 1992-1995, UNCTAD secretariat estimates (see UNCTAD/GDS/SEU/2); For 1996-1997, PCBS – foreign trade statistics; For 1998, current account data series from PCBS and PNA, Ministry of Finance - General Directorate of Customs, excise and clearance Dept.
* Data estimates for 1994 are the most reliable for the period prior to availability of PCBS data
1. Main Trading Partners
As of 1998, 94.2% of Palestinian exports were to Israel . The other central trading partner for Palestine ’s exports is Jordan with 4.9%. The year 1998 witnessed a substantial decrease of the proportion of Palestine ’s imports from Israel , to the rest of the world’s advantage (excluding Egypt and Jordan ). While on average, from 1994 to 1997, 86% of Palestine ’s imports were from Israel , that number fell to 69% in 1998. Imports from Egypt and Jordan are still very limited, accounting for 0.9% and 1.4% respectively. In 1996 and 1997 an average of 7% of Palestine ’s imports were from Europe . The Figures I and II show Palestine ’s trading partners from 1994 to 1998 regarding exports and imports.
2. Exports/Imports by Commodity
Commodity Structure of Palestinian Exports and Imports
Commodity |
Commodity Imports (%) |
Commodity Exports (%) |
1999 |
2000 |
1999 |
2000 |
Food, Agricultural Produce & Live Animals |
23.6 |
21.5 |
16.4 |
16.0 |
Beverages & Tobacco |
3.1 |
3.4 |
4.0 |
5.1 |
Crude Materials |
2.5 |
3.8 |
4.0 |
4.0 |
Mineral Fuels |
14.8 |
14.1 |
1.0 |
2.0 |
Animal & Vegetable Oils & Fats |
0.6 |
1.0 |
1.0 |
1.4 |
Chemicals |
6.7 |
7.3 |
8.1 |
7.0 |
Manufactured Goods |
20.7 |
23.2 |
40.6 |
42.0 |
Machinery & Transport Equipment |
18.0 |
15.0 |
5.6 |
5.4 |
Classified & Unclassified products |
10.0 |
7.7 |
19.3 |
17.1 |
Total |
100% |
100% |
100% |
100% |
Top |
|
|
