Bern, Switzerland (GenevaLunch) – Swiss exports were up 3.3 percent in nominal terms (-0.6 in real terms) in February, to CHF13.9 billion, and for the first time since 2008 they rose for most business sectors. Imports slipped and trade for the first two months of 2010 shows opposite trends, with exports up 1.3 percent but imports down by 2.4 percent. The balance of trade at the end of February was positive, at CHF1.3 billion.
China now looks set to overtake Japan in 2010 as the world’s second largest exporter, with February figures well above even the optimistic forecasts: 45.7 percent over February 2009. Figures from a year earlier reflect the dip due to the economic crisis, but February figures were double the increase in January exports, up 21 percent. The Financial Times notes that Chinese authorities nevertheless intend to wait to lift stimulus measures because of an uncertain global economy.
Imports are also growing steadily, providing more evidence that the Chinese economy is rebounding.
Links to other sites: Financial Times, Xinhua
Elisabeth Pasquier, Francois Murisier, Vinea's director and president, 2010
Sierre, Switzerland (GenevaLunch) – Vinea, a Valais-based association that was created 15 years ago to showcase the wines of Switzerland’s largest wine-producing canton, has grown into a major player in the wine world, far beyond its original Valais borders. Tuesday evening the group gave itself a new structure to better place it to educate the world about Swiss wines.
The wine business accounts for 15 percent of agricultural products, about half that of Swiss dairy products, including cheese. Agriculture is 1 percent of Swiss GDP (gross domestic product) overall, well behind industry and the service sector, which includes banking. But wine remains an important part of Swiss society, especially in French-speaking areas where vineyards often dominate the landscape.
New statutes were approved for Vinea to reflect the growing number of activities and work it does outside canton Valais. One of the country’s best-known wine experts, François Murisier, was named president of the revised association, with Elisabeth Pasquier, the former managing director, named to the new post of director.
Murisier is the former head of wine grape growing and oenology at the Swiss federal centre, Agroscope Changins-Waedenswil. He is an expert with the OIV (International Organization of Vin and Wine) and president of the scientific committee of Cervim, a mountain wines organization.
Kenya in 2009 overtook Sri Lanka as the world’s largest producer of tea, according to the government of Kenya. It says it shipped 342 million kg to 47 markets, accounting for 22 percent of world tea exports, reports AllAfrica. Sri Lanka, long the world’s top exporter of tea, sold 280m kg, according to Kenya’s Tea Board figures. Sicily Kariuki, managing director of the African country’s Tea Board, told AllAfrica that research has played a key role in rising sales, with Kenya now producing some 50 varieties of tea in seven growing regions.
Emmental remains the favourite outside Switzerland (photo: ©2010 SCM)
Update 20:00 Bern, Switzerland (GenevaLunch) – The year 2009 is adding up to an odd one for Swiss consumption and exports: chocolate consumption was down, but the sale of Swiss cheese rose by 1.6 percent despite a 25 percent fall in the US market, and the sale of weapons also rose, by 0.8 percent.
The CHF727.7 million in weapons sales represents 0.39 percent of total exports and is a record high figure for Switzerland.
The Swiss ate a little less chocolate in 2009.
Bern, Switzerland (GenevaLunch) – You know the economy is in trouble when the Swiss cut back on their chocolate, and they did, in 2009: consumption fell by 700 grams per person. That’s the equivalent of seven of those 100 gram tablets for which the Swiss are particularly famous outside the country, the kind that fit neatly into the pocket of a ski jacket or backpack for Alpine and lakeside trips. The one growth area, up 3 percent, was small chocolate bars.
Domestic sales fell by 6.9 percent, says Chocosuisse, to 68,375 tons. An extended warmer than usual summer and a fall in the number of tourists played roles, but the Swiss were “cautious” and bought less chocolate, and cheaper products.
Domestic consumption was nevertheless 11.7kg per person, powdered chocolate and cocoa excluded, based on overall consumption of 91,330 tons of chocolate. Imports rose to one-third of total chocolate consumed: most imported chocolate is low-price products.
Chocosuisse, which is the association of the country’s 18 largest chocolate manufacturers issued its figures for 2009 Wednesday morning 10 February.
Domestic and export sales were both down in 2009, the first time in six years that chocolate-makers did not sell more than the previous year.
Chinese imports for January rose by 86 percent compared to the same month a year earlier, and exports rose by 21 percent, the second month showing an increase after a year’s stalemate. The overall trade increase of more than 44 percents comes as some figures are showing China to be the world’s largest exporter. The Chinese impact on the world economic rebound “may reinforce overseas calls for China to allow a stronger currency,” reports Bloomberg.
Exports, port of Basel
Update 11:40 Bern, Switzerland (GenevaLunch) – Switzerland officially moved out of recession in the third quarter of 2009, Bern announced Tuesday 1 December. Real GDP (gross domestic product) was up 0.3 percent compared to the previous quarter. Private consumption (+0.6 percent) and building investments both grew, and healthcare plus the financial and insurance industries also rose. Investments were up “massively”, with industrial goods investments rising by 5.5 percent.
The government’s own “consumption expenditure” rose by 1.3 percent.
Exports of goods and services both climbed, by 2.2 and 0.3 percent respectively, for the first time “after a considerable one-year slide” the government statement reports.
Zurich, Switzerland (GenevaLunch) – Economiesuisse has revised upwards its forecast for the Swiss economy for 2010. In June 2009 the umbrella organization for Swiss business had predicted a 2.9 percent drop in Swiss GDP (gross domestic product) for 2009 with a further drop of 0.8 percent in 2010. The group published revised figures Monday 23 November, saying it expects to see growth of 0.7 percent next year, and export growth of 3.8 percent after a year that has proved very difficult for some exporters.
Background: Economiesuisse lowers growth forecast, unemployment to climb, GenevaLunch, 15 June 2009
Japan’s trade surplus reached 521 billion yen in September, about 472 percent more than a year ago, but it still disappointed analysts. Exports were down 30.7 percent compared to a year earlier, but in August that figure reached 36 percent, according to figures released by the Japanese Finance Ministry Thursday 22 October.
The Japanese yen has increased in value against all major currencies this year, making Japanese goods more expensive for foreigners.
Imports were down almost 37 percent in the month, with crude oil imports down 2.4 percent over the year, reflecting depressed demand at home. Bloomberg, Romandie News
The Japanese yen eased slightly on currency markets after hitting a high of JPY88.24 against the US dollar in New York trading 28 September. Japanese central bank governor Hirohisa Fujii said the bank may intervene to push the yen down. The yen declined against all major Asian currencies. Japan’s export-dependent economy favours a weaker yen. The yen has strengthened about 16 percent this year, making Japan’s exports more expensive. But the new Japanese government has said that a stronger yen favours Japanese consumers by making imports cheaper.
China has begun supplying oil to Iran in the past month and already accounts for one-third of the country’s fuel imports, the Financial Times reports. Oil imports are not part of a United Nations sanction and the supplies are legal, but the move comes as G20 world leaders, meeting in New York Wednesday 23 September, discuss enforcing sanctions against Iran to discourage it from further developing its nuclear programme. Iran insists the nuclear programme is for peaceful purposes, as a source of energy, and that it is not building bombs. The country is one of the world’s largest oil producers, but its aging system is inefficient and it imports 120,000 barrels a day, according to the FT. China agreed in 2004 to purchase oil from Iran and to invest in its system. The $100 billion deal in 2006 prompted concern in the US, with observers saying that China appeared to be rushing to sign the deal ahead of sanctions. In the latest twist to the story China’s oil replaces that from companies such as BP which have stopped supplying Iran. Washington Post, 2006, Brookings Institution editorial, July 2009
Source: Swiss customs office (click on image to view larger)
Bern, Switzerland (GenevaLunch) – Several economic indicators published by the Swiss federal government Tuesday 21 September show an economy still in the doldrums, but with the outlook slightly more optimistic than in August 2009. Exports are down and imports are down by an even larger percentage, the economy is stabilizing but will remain “sluggish” in 2010 and unemployment is high. The good news: while the picture is still gloomy, it’s getting a little brighter.
GDP growth positive, if only slightly, in 2010
The government’s economic advisory “Expert Group” released its latest quarterly projections, which include a “weaker decline” of GDP (gross domestic product), from -2.7 percent expected in June to -1.7 percent forecast now. The group now expects positive GDP growth in 2010 of 0.4 percent rather than the -0.4 percent projected earlier. Private consumption and building investment are holding relatively steady, which is helping Switzerland to have a recession less dramatic than in many countries, although 2009 will go down as the worst year since 1975 for GDP decline.
China’s industrial output grew by 12 percent in August, a 12-month high and better than forecast by the government, which was looking for 10 percent growth. Foreign trade – exports and imports combined – were $91.7 billion, down 20.6 percent compared to August 2008 but a 2.3 percent increase from July.
Other key economic data published by the government’s statistics office Friday included:
- urban fixed asset investment is up 33 percent for the first eight months of the year
- new loans in yuan in rose from Yuan36 billion in July to Yuan410b in August
- the consumer price index fell by 1.2 percent and the producer price index fell by 7.9 percent, both as compared to a year earlier, but the rate of decline is slowing.
Geneva, Switzerland (GenevaLunch) – World trade rebounded sharply in the second quarter, according to World Trade Organization (WTO) figures just released. World exports (which are also world imports) increased by 7.7 percent in the second quarter of 2009, compared with the first quarter, and reached $2.88 trillion in the second quarter, up 6.6 percent overall.
The answer to the question of who is the world’s leading exporter was announced 8 September by the German Federal Statistical Office (Destatis). China’s export figures for July are $105,420 billion, an increase of 10.4 percent over June’s figures. Germany announced that exports were € 70.5 billion, or $102,155b. This is an unadjusted increase of 6.6 percent from June 2009. Both countries were neck-and-neck in June.
Quarterly world merchandise export developments, 2005-09 (2005Q1=100, in current US dollars), WTO
All of the WTO reporting regions show a rebound in the first quarter.
Geneva, Switzerland (GenevaLunch) – China pulled slightly ahead of Germany as the world’s leading exporter by value in the first six months of 2009, WTO (World Trade Organization) figures show. China’s exports were worth $521.7 billion whereas Germany exported $521.6b worth of goods, the Financial Times reports 25 August.
Both countries’ exports were seriously dented by the economic downturn that followed the financial crisis in late 2008, but both have recovered strongly. Germany’s exports surged seven percent in June compared to May, the latest data available, but are still 22.3 percent lower than the previous year.
The numbers are gathered monthly for internal purposes, since the WTO does not publish individual country forecasts and generally releases trade figures at the end of the year, an economist at the WTO told GenevaLunch. “But this year, because of the economic crisis, there has been a lot of interest in the first half of the year.”
Bern, Switzerland (GenevaLunch) – Switzerland’s foreign trade in July remained in the doldrums after a sharp drop in the first half of the year. Imports were down 14 percent in real terms, compared to last year, and a little lower than in June 2009. Exports too were lower than in 2008 by 15.1 percent, an improvement on June’s 22.3 percent drop year-on-year drop. Overall the trade balance was slightly positive in July at CHF 2.35 billion, an increase of 0.1 percent over July 2008. The figures were released by the Swiss Federal Customs Administration (SFCA).
Japan has reported modest signs of growth that have technically pulled it out of recession, with a 0.9 percent increase in GDP in the second quarter of 2009, for an annual rate of 3.7 percent. Stronger exports and substantial government spending to stimulate the economy were credited with the boost, which comes after a 3.1 percent drop in GDP in the first quarter. Japan officially entered recession in 2008.
Two days of talks billed as a “strategic and economic dialogue” between China and the US concluded Tuesday 28 July in Washington DC, with nothing concrete but with broad agreement on ways to combat the world recession and on climate change. The two say they are now closer on a variety of issues, among them US strategic concerns on Iranian and North Korean nuclear ambitions. On the economic front, the Chinese government worries about the value of its massive holdings of US treasury debt, given huge US budget deficits and the resulting danger of inflation, and very low US savings. The US wants China to increase domestic spending to reduce its reliance on the export market, and to show flexibility on its exchange rate. Both remain committed to open trade and say they vowed to resist protectionism. US President Obama has called for a concerted effort to reduce carbon emissions, but developing economies like China hesitate because they fear this will cramp their growth. BBC, CNN, Le Temps (Fre), NZZ (Ger)
Bern, Switzerland (GenevaLunch) – Swiss exports will be given the same treatment as EU member countries’ goods when they enter the European Union, the government announced 24 June. The agreement goes into effect 1 July 2009.
Bern, Switzerland (GenevaLunch) – The Swiss government said Tuesday 23 June in announcing trade figures for May that there is “not a glimmer of hope on the horizon” with both exports and imports down by one-fifth. Seven out of 10 export businesses showed drops of 22 to 39 percent. Imports of energy, raw materials and semi-finished products all fell by one-third, reflecting the decline in orders. The May figures confirm the downward trend for the first four months of the year.
The world’s economy is set to shrink 2.9 percent this year, and the recovery, when it comes, will be less marked than hoped for, states the World Bank’s Global Development Finance 2009: Charting a Global Recovery, which is published today, 22 June. The forecast shows the economy slowing more than the World Bank predicted in March, when it said 1.7 percent. Poor countries especially are affected. With the economic downturn in richer countries, poorer ones depend more than ever on exports, remittances and foreign direct investment. The funding gap for these countries in 2009 is expected to be between $350 billion and $635b. The bank also revised downwards its predictions for growth in the US to a 3 percent contraction in 2009, while Japan’s economy will shrink 6.8 percent. Bloomberg, World Bank
Zurich, Switzerland (GenevaLunch) – The outlook for the Swiss economy is gloomier than initially believed, says economiesuisse in its latest forecast, published Monday 14 June, which predicts a fall of 2.9 percent in GDP (gross domestic product) for 2009 and another drop of 0.8 percent in 2010. It expects prices to remain stable but internal consumption to be weak, with unemployment growing to 4 percent in 2009 and 5.3 percent in 2010.
Bern, Switzerland (GenevaLunch) – Switzerland’s foreign trade, both exports and imports, in February continued the slump that began in December 2008. The trade balance fell to half the figure of a year ago, down to a positive balance of CHF731 million.
All industries were hit by the slump, with imports and exports down by double-digit numbers: 17.3 percent and 13.7 percent respectively. Even the watch industry, which has withstood slumps seen earlier in other industries, was hit hard by a 22.4 percent fall in exports.
Bern, Switzerland (GenevaLunch) - The Swiss trade balance in January was positive, CHF2 billion, but it continued its “downward spiral,” the federal government in Bern announced Thursday 19 February. Trade with the European Union in particular suffered, with flat trade, both imports and exports.
