Ukraine external goods trade deficit reaches USD 0.4 bln in November

Ukraine’s external goods trade deficit amounted to USD
412 mln in November as compared to USD 483 mln in October, the State Statistics
Service said in its preliminary report published on Jan. 14. The seasonally
adjusted goods trade deficit amounted to USD 417 mln (vs. a USD 323 mln deficit
in October) amid 2.4% m/m growth in adjusted exports and a 4.3% m/m increase in
adjusted imports.

Goods exports advanced 9.2% yoy in November to USD 4.7
bln (vs. 1.5% yoy growth in October). The growth was mostly driven by
increasing exports of mineral products (55.7% yoy), fats and oils (40.7% yoy),
machinery (5.9% yoy) and grains (3.4% yoy). At the same time, exports of
ferrous metals dropped 4.0% yoy.

Goods imports fell 2.1% yoy to USD 5.1 bln in November
(vs. a 14.7% yoy decline in October). In particular, imports of energy products
plummeted 36.6% yoy and machinery dropped 8.6% yoy. At the same time, imports
of chemicals surged 27.9% yoy, foods improved 16.5% yoy, and vehicles advanced
3.8% yoy.

In 11M20, the goods trade deficit amounted to USD 3.9
bln (vs. USD 9.4 bln in 11M19). Goods exports slid 3.5% yoy, while goods
imports dropped 12.9% yoy.

Evgeniya Akhtyrko: Goods
exports intensified significantly in November, as all the major items of
Ukraine’s goods exports – except ferrous metals – advanced. Ukrainian exporters
have benefited a lot from very high external demand for iron ore, as well as
oils and fats.

At the same time, the decline of goods imports slowed
down significantly in November. Food imports are growing fast, driven by high
consumer demand. In addition, Ukraine’s agricultural producers intensified the
purchase of imported fertilizers, while the ongoing pandemic is causing high
demand for imported pharmaceuticals.

The current trends in Ukraine’s external trade in
goods is likely to continue in the nearest months. The trend will be halted in
March amid a low comparative base of 2020.