Zambia’s trade deficit has decreased by 42.5% (about 43%) from K786.2 million in July 2019 to K451.9 million in August 2019 meaning that the country imported more that it exported in nominal terms.The Central Statistical Office – CSO has stated although an an increase was observed in both imports and exports, the increase in exports outweighed that of imports.
However, a review of Cross boarder traders import and export activities are still largely unreported by the CSO but remains the most viable and applicable to local Zambian businesses. This import and export activities need to be streamlined with specific policies and support given if exports are to have a real impact on local markets.
Presenting the CSO monthly bulleting in Lusaka on September 26,2019, CSO Intermin Statitian General Mulenga Musepa desclosed that exports incraesed by 16.3 percent from K6,795.4 million in July 2019 to K7,903.6 million in August 2019 adding that the increase was mainly attributed to the 10.1 percent and 36.2 percent increase in exports earnings of intermediate goods and consumer goods categories.
Meanwhile, imports increased by 10.2 percent from K7,581.6 million in July 2019 to K 8,355.5 million in August 2019 and the outturn was mainly attributed to the increase in imports of intermediate goods and consumer goods by 22.9 percent and 12.4 percent, hence the net effect of the dynamics in trade was descreased in the trade deficit.
Musepa further desclosed that Asia was the largest market for Zambai’s total exports, accounting for 36.7 percent in August 2019, while in the same group China was the dominant market with 67.8 percent adding that other notable markets were Singapore, Hong Kong, India and United Arab Emirates.
In addition, he said Switzerland, home of Mopani Copper Mines parent company Glencore, was the second largest market for Zambia’s total exports in August 2019 accounting for 31.7 percent.
“Asia was also the main source of Zambai’s imports, accounting for 39.8 percent in August 2019. Within this regional grouping, China was the min source of Zambai’s import accounting for 35.8 percent. Other notable markets were United Arab Emirates, India, Malaysia and Hong Kong.
And SADC exclusive grouping was the second main source of Zambai’s imports accounting for 36.8 percent in August 2019.
CSO has been challenged to start gathering statistics on import and export for local businesses as most of the statistics reported are important but mostly cover large foreign owned multinationals, most of which externalization their proceeds.
