CBS graphic
SABA/ST. EUSTATIUS--All three islands of the Caribbean Netherlands recorded a year-on-year decrease in their goods trade deficit in 2020. St. Eustatius saw the sharpest decline, followed by Bonaire and Saba, the Central Bureau for Statistics (CBS) in the Netherlands reported based on newly-released figures.
The islands of the Caribbean Netherlands have structural trade deficits. This means more goods are imported than exported.
In comparison with the European part of the Netherlands, manufacturing is relatively low in the Caribbean Netherlands. Most of the islands’ income stems from tourism services.
Statia’s trade deficit has decreased by one-quarter over a three-year period, the CBS said. In 2020, goods imports exceeded exports by US $39 million. The trade deficit was 11 per cent down on the previous year. The import value lost 10 per cent and fell for the third consecutive year and stood at $41 million in 2020. However, goods exports at $1 million, were 13 per cent up on 2019.
Saba’s trade figures in 2020 were similar to those in 2019. The value of imported goods remained more or less the same at $21 million, while exports increased by three-quarters. On balance, Saba’s trade deficit declined by one per cent to $21 million last year.
Bonaire ran a trade deficit of $236 million last year, which is a two per cent decrease on 2019. It is the first time in six years that the island’s trade deficit has shown a year-on-year decline, according to the CBS.
Bonaire imported goods to a total of $244 million last year, while exports stood at $8 million. Both imports at minus four per cent and exports at minus 33 per cent were down compared with 2019.
The decline in imports was on account of machinery and transport equipment. On the export side, the decline was mainly due to fewer incoming raw materials.
There are no indications that the decrease in Bonaire’s trade deficit, as well as Statia’s and Saba’s deficits, are a direct result of the COVID-19 crisis, the CBS stated. In fact, Bonaire had larger deficits for most goods categories in 2020 compared to the previous year. These categories also included goods that were used to deal with the crisis.
The decline in Bonaire’s trade deficit last year is entirely on account of machinery and transport equipment. In this goods category, a 24 per cent lower import value resulted in a smaller trade deficit of $58 million. In 2019, this was still $76 million. The only other category with a decrease in trade deficit in 2020 was mineral fuels at minus 23 per cent. As for raw materials, the deficit “notably” doubled from $4 million to $8 million compared to 2019.
https://www.thedailyherald.sx/islands/drop-in-import-value-lowers-trade-deficits
