International Merchandise Trade Index

FBoS Release No: 88, 2016
29th December 2016


The Terms of Trade [TOT] is a ratio of two price indexes: one for exports and the other for imports. A rise in the index means that Fiji can buy more imports from the same amount of exports.

Key facts

The following movements occurred in the September quarter of 2016 when compared with the June quarter of 2016:

  • The international merchandise terms of trade price index shows no change.
  • Export prices for goods rose by 0.5 percent and
  • Import prices for goods rose by 0.4 percent.

Table 1: Summary

imtiSep16a

imtiSep16b

Commentary

The seasonally unadjusted international merchandise TOT index for the September quarter of 2016 stood at 103.0. This is an increase of 0.2 percent over the September quarter of 2015.
The export price index increased by 0.5 percent and the import price index rose by 0.2 percent.

Export Price Index

imtiSep16c

There were significant price changes in the following export and import items when comparisons were made to the June quarter of 2016 and September quarter of 2015 periods:

Changes over the June quarter of 2016

The overall Export Price Index [XPI] for the September quarter of 2016 stands at 104.8, an increase of 0.5 percent when compared to the June quarter of 2016 [104.3]. Contributing to this increase were higher prices recorded for the following categories and specific items:

  • Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes increased by 1.8 percent due to high export prices of soya bean oil and copra;
  • Live animals; animal products increased by 0.9 per cent due to high export prices of fish, milk and eggs; and
  • Footwear, headgear, umbrellas, sun-umbrellas, walking-sticks, seat-sticks, whips, riding-crops and parts thereof; prepared feathers and articles made therewith; artificial flowers; articles of human hair increased by 0.8 per cent due to high export price footwear.

Changes over the September quarter of 2015

Compared to the September quarter of 2015 [104.3], the XPI for the September quarter of 2016 increased by 0.5 percent. Contributing to this increase were higher prices recorded for the following categories and specific items:

  • Live animals; animal products increased by 2.3 per cent due to high export prices of fish, milk and eggs;
  • Animal or vegetable fats and oils and their cleavage products; prepared edible fats; animal or vegetable waxes increased by 2.1 percent due to high export prices of soya bean oil and copra; and
  • Vegetable products increased by 1.2 percent due to high export prices of cassava and dalo.

Import Price Index

imtiSep16d

Changes over the June quarter of 2016

The overall Import Price Index [MPI] for the September quarter of 2016 stands at 101.7, an increase of 0.4 percent when compared to the June quarter of 2016 [101.3]. Contributing to this increase were higher prices recorded for the following categories and specific items:

  • Wood and articles of wood; wood charcoal; cork and articles of cork; manufacturers of straw, of esparto or of other plaiting materials; basketware and wickerwork increased by 1.8 percent due to high import prices of hardboard and fire resistant board;
  • Vehicles, aircraft, vessels and associated transport equipment increased by 0.9 per cent due to high import prices of motor vehicles and ships boat and floating structures;
  • Live animals; animal products increased by 0.6 percent due to high import prices of lamb, fish baits;
  • Plastics and articles thereof; rubber and articles thereof increased by 0.6 per cent due to high import prices of preforms, tubs and lids, plastic buckets, PVC table sheets and tyres; and
  • Natural or cultured pearls, precious or semi-precious stones, precious metals, metals clad with precious metal and articles thereof; imitation jewellery increased by 0.6 per cent due to high import prices of gold jewellery and imitation jewellery.

Changes over the September quarter of 2015

Compared to the September quarter of 2015 [101.5], the MPI for the September quarter of 2016 increased by 0.2 percent. Contributing to this increased were higher prices recorded for the following categories and specific items:

  • Wood and articles of wood; wood charcoal; cork and articles of cork; manufacturers of straw, of esparto or of other plaiting materials; basketware and wickerwork increased by 4.2 percent due to high import prices of hardboard and fire resistant board;
  • Natural or cultured pearls, precious or semi-precious stones, precious metals, metals clad with precious metal and articles thereof; imitation jewellery increased by 1.6 per cent due to high import prices of gold jewellery and imitation jewellery; and
  • Vehicles, aircraft, vessels and associated transport equipment increased by 0.8 per cent due to high
    import prices of motor vehicles and ships boat and floating structures.

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For further enquiries, please contact Ms. Uma Reddy on email or telephone 331 5822 (ext. 386 239) or direct line 323 0839.

The International Merchandise Trade Indexes (Prices) release for the December quarter of 2016 will be released in March, 2017.