Focus on foreign trade

 
By The Ministry of Commerce, Industry and Tourism
Department of Trade
1421, Nicosia, Cyprus
 
 

 

Cyprus, due to its small domestic market and the open nature of its economy, considers access to international markets as of utmost importance. As a result, trade has always been one of the main sectors of the Cyprus economy, contributing considerably to the economic growth of the island. During 2001, exports accounted for about 11 % of the Country’s GDP.



The value of foreign trade in 2001 was recorded at 3.157 m., experiencing an increase of 5,4% from the previous year. This development was mainly due to the rise in imports, which have shown an increase of 5,3% reaching in 2001 2.529 m., in comparison with 2.402 m. in 2000. Total exports increased by 6%, reaching 628 m., compared to 592 m. in 2000. (Table 1 ).

EXTERNAL TRADE 1997- 2001
Table 1 
1997
1998
1999
2000
2001
2000-2001
Change %
Domestic Exports(1)
219.754
221.337
215.212
240.762
246.990
2,6
Re-exports (2)
420.260
329.797
327.707
351.102
381.039
8,5
Total Exports
640.015
551.134
542.919
591.864
628.029
6,1
Total Imports
1.899.339
1.904.710
1.970.905
2.401.926
2.528.720
5,3
  
Total Trade
2.539.354
2.455.844
2.513.824
2.993.790
3.156.749
5,4
Source: Imports and Export Statistics. Department of Statistics and Research. Ministry of Finance.
Notes:

(1) Including shipstores of domestic produce

(2) Including shipstores of foreign produce

(3) Because of rounding there may be slight discrepancies between the totals shown and the sum of constituent items.

 

Total imports in 2001, reached 2.529 m., as compared with 2.402 m. in 2000, showing thus an increase of 5,3%.


Imports of consumer goods and intermediate inputs (raw materials), make up for most of total imports, accounting for 31,4% and 29,1% of total imports, respectively. They are followed by transport equipment (13,0%), fuels and lubricants (12,0%), and capital goods (10,7%). In 2001, imports of raw materials (intermediate inputs) reached 737 m. in comparison with 710 m. in the previous year. The overwhelming majority of the 2001 imports of intermediate inputs were raw materials for the manufacturing sector. Imports of consumer goods have risen slightly to 793,2 m, from 793,1 m. in the previous year. Imports of capital goods have also risen, reaching 269,6 m., from 254,8 m. in 2000.



Imports of transport equipment and parts increased and reached 329 m. in 2001 compared to 302,4 m. in 2000. Passenger motor vehicles accounted for nearly half of total transport equipment imports, followed by parts for transport equipment and motor vehicles for the transport of goods. Finally, imports of fuels and lubricants declined to 302,5 m. from 310,3 m. in 2000. (Table 2 ).


TABLE 2: TOTAL IMPORTS BY GROUP OF PRODUCTS 1997- 2001
     (CYP000) 
 
1997
1998
1999
2000
2001
%
Consumer Goods
704.410
650.679
689.089
793.111
793.223
31,4
Itermediate Inputs
603.849
655.689
611.385
710.257
736.688
29,1
Transport Equipment
173.689
245.150
251.713
302.433
328.866
13,0
Fuels and Lubricants
157.279
125.826
173.532
310.252
302.471
12,0
Capital Goods
164.381
213.116
199.684
254.771
269.550
10,7
Unclassified
95.731
14.254
45.506
31.106
97.922
3,9
   
Total Imports
1.899.339
1.904.714
1.970.909
2.401.930
2.528.720
100,0
Source: Imports and Export Statistics. Department of Statistics and Research. Ministry of Finance.
TABLE 3: TOTAL IMPORTS BY COUNTRY GROUPS 1997- 2001
     (CYP000) 
 
1997
1998
1999
2000
2001
%
European Union
903.161
1.042.465
1.036.700
1.239.206
1.284.576
50,8
Asia
303.001
384.787
404.231
503.918
510.399
20,2
North and Central America
367.924
250.474
223.639
259.075
246.388
9,7
Other European Countries
153.814
137.605
136.527
192.249
205.558
8,1
Arab Countries
44.370
47.377
91.394
132.276
134.600
5,3
Other
127.069
42.006
78.418
75.206
147.199
5,8
Total Imports
1.899.339
1.904.714
1.970.909
2.401.930
2.528.720
100,0
Source: Imports and Export Statistics. Department of Statistics and Research. Ministry of Finance.

The European Union countries continued in 2001 to be the biggest suppliers of goods to Cyprus, providing 50,8% of total imports, or goods valued at 1.1285 m. as compared with 1.239 m. in 2000. The major European Union countries exporting to Cyprus were the United Kingdom, Greece, Italy, and Germany.

The second most important group of suppliers in 2001 were the Asian countries, that supplied Cyprus with goods valued at 510,4 m. or 20,2% of the total. Japan, Israel, China, Thailand, Taiwan and South Korea were the most important suppliers. Imports from Japan, the biggest supplier from the Asian countries increased to 154 m. in 2001 from 139 m. in 2000.

Imports from North and Central America declined from 259 m. in 2000 to 246,4 m. in 2001 (9,7% of the total). Imports from the U.S.A., one of the biggest suppliers of Cyprus, and the main in this group, declined to 238 m. as compared to 249 m. in the previous year.

Imports from other European countries, including the former socialist countries represented in 2001 8,1% of total imports. They increased slightly from the previous year, reaching 206 m., from 192 m. in 2000. The major supplier from this group was Russia followed by Ukraine and Switzerland.

Imports from the Arab countries represent about 5,3% of Cyprus΄ total imports. During 2001, they increased, reaching 134,6 m. from 132,3 m. in 2000. Egypt, Syria and Saudi Arabia were the major suppliers.

Imports from the rest of the world, account for 5,8% of total imports. They have also increased in 2001, almost doubling, to 147 m. compared to 75 m. in 2000. Argentina, Brazil and South Africa are the most important suppliers in this group.
(Table 3 Above).

 


During 2001 domestic exports reached 234 m.
 They have registered an increase of about 4,5% from the previous year.

Source: Imports and Export Statistics. Department of Statistics and Research. Ministry of Finance.

Cyprus Trade ]