Despite the increase in revenue from exports, import of the top ten commodities surged to Nu 30 billion, nullifying the positive impact on the country’s overall trade balance
Bhutan generated about Nu 9.296bn in revenue during the first quarter of this year from the export of the country’s top ten commodities, which is an increase by about Nu 267mn as compared to the same period of 2022. However, the amount that Bhutan spend to import the top ten commodities rose to Nu 30bn during the first quarter of this year, an increase by Nu 7.16bn as compared to the top ten commodities in the first quarter of 2022. Due to this, the trade deficit of the country for the first quarter of this year stood at Nu 20.7bn, an increase by Nu 6.9bn as compared to first quarter of 2022. India still tops the country that Bhutan trades with. Italy stands at the third position in terms of exports from Bhutan and Hongkong became the second region that Bhutan imports goods from.
The top ten commodities include containing by weight more than 55% of silicon, Ferro-silico-manganese, dolomite, not calcined or sintered, chips, neither crushed nor ground, boulders, gypsum, anhydrite, oranges, pebbles, gravel, broken or crushed stone, of a kind commonly used for concrete, dolomite slabs and lumbs.
Meanwhile, with the export of silicon, Italy has become the third country that Bhutan exported goods to, while China comes next in line to India in relation to imports into Bhutan.
Amongst the top ten commodities, containing by weight more than 55% of silicon made the highest export worth Nu 3.7bn, ferro-silico-manganese with Nu 807mn, dolomite chips with Nu 636mn and by neither crushed nor ground made worth Nu 494mn followed by boulders with Nu 467mn.
About Nu 6.7bn worth of commodities were exported to India in the first three months of this year, and about Nu 1.3bn worth of commodities to Bangladesh. Italy came third with the country taking in commodities worth Nu 667mn; followed by Nepal and China with Nu 158mn and Nu 159mn each and the least export were made to South Korea and Australia with about Nu 2mn and Nu 1.8mn each.
The commodities that are exported from Bhutan to Bangladesh are mainly citrus fruits fresh or dried, nutmeg, mace and cardamoms, seeds of anise, badian, fennel, coriander, cumin or caraway; juniper berries, Ginger, saffron, turmeric (curcuma), thyme, bay leaves, curry and other spices. In addition, the exports include other vegetables prepared or preserved otherwise than by vinegar or acetic acid, not frozen, other than products of heading 20.06, sauces and preparations therefor; mixed condiments and mixed seasonings, mustard flour and meal and prepared mustard, sandstone, basalt, dolomite, gypsum and so.
On the other hand, the commodities exported from Bhutan to Nepal include tableware and kitchenware made of wood, gypsum, plasters, pre-shave or after-shave preparations, and ceramic articles.
Phuentsholing region made the highest export to India worth Nu 1.9bn of commodities, followed by Samtse with about Nu 4.9bn, Samtse with about Nu 1.5bn and Samdrup Jongkhar region with Nu 922mn worth of commodities.
However, the amount that Bhutan spends to import the top ten commodities rose to Nu 30bn during the first quarter of this year, an increase by Nu 7.16bn as compared to the top ten commodities in the first quarter of 2022. The increase in the import of the top ten commodities is mainly attributed to increase in the import of the other light oils and preparation (HDS) worth of Nu 2.44bn, followed by used postage, revenue or similar stamps of current or new issue in the country worth Nu 1.34bn, and motor spirit (gasoline) including aviation spirit (petrol) worth Nu 854mn and coke and semi-coke products worth of Nu 788mn.
The top ten imported commodities for the first quarter of this year include other light oils and preparations (HSD), unused postage, revenue or similar stamps of current or new issue in the country, motor spirit (gasoline) including aviation spirit (petrol), coke and semi-coke ferrous products obtained by direct reduction of iron ore, processing units other than those of subheading, semi-milled or wholly milled rice, whether or not polished or glazed Smartphones vaccines for human medicine.
While the country made the highest import of the commodities from India with import of commodities worth Nu 22.6bn, the second was from by Hongkong with goods worth Nu 945mn imported.
Bhutan also imported from Singapore and China goods worth Nu 856mn and Nu 849mn each.
Similarly, most of the imports from India were made through Phuentsholing region with Nu 16.7bn, followed by Samdrup Jongkhar region with Nu 2.4bn, Gelephu region with Nu 2.2bn and Samtse region with Nu 991mn worth of commodities.
Meanwhile, the trade deficit of the country for the first quarter of this year stand at Nu 20.7bn, an increase by Nu 6.9bn as compared to first quarter of 2022. The trade deficit is usually experienced when the value of the imports exceeds the value of the export.
The above figures were recently revealed in publications by the Department of Revenue and Customs (DRC) and Bhutan trade statistics 2022.
Tshering Pelden from Thimphu
