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The volume of foreign trade in Moldova in 2021 overcame the milestone of $10 billion

Moldova (bbabo.net), - Exports of goods from Moldova in 2021 for the first time exceeded $3 billion. Imports and trade deficits also reached record levels. In addition, the entire volume of foreign trade has overcome the psychological threshold of $10 billion. According to the National Bureau of Statistics, the export of goods from the Republic of Moldova increased by 27.5% in 2021, reaching $3.144 billion, logos.press.md reports.

The share of exports to the EU market last year decreased from 66.5% to 61.1% ($1919.4 billion), and to the CIS countries - from 15.3% to 14.8% ($466.2 million). The increase was in the so-called. "other countries" of the world, their share has grown quite significantly - from 18.2% to 24.1%. In absolute terms, deliveries to these markets reached $758.4 million. Experts assess these shifts as a very favorable trend, indicating a decrease in Moldova's attachment to certain markets and providing greater room for maneuver.

In the total volume of exports, 77.4% were goods produced in the country, the rest is re-export. In total terms, exports of domestic goods in 2021 amounted to $2.43 billion, an increase of 28.9% compared to 2020.

The re-export of foreign goods (after processing and classic re-export) in 2021 amounted to $711.2 million (22.6% of total exports), which is 22.7% more than in 2020.

In the structure of exports in 2021, food and live animals account for the largest share (25.8%); machinery and equipment for transport (20.2%); various manufactured goods – 18.8%.

It should be noted that last year, compared to 2020, the top three product groups remained, but the share of food products increased by 4.5 percentage points, while the other two positions decreased by 2 percentage points each.

This is followed by non-food raw materials (11.6%), (simple) manufactured goods (7.7%), beverages and tobacco products (6.7%).

According to the NBS, the main country of destination for Moldovan exports in the reporting period was Romania (26.5% of total Moldovan exports). They are followed by: Turkey (10%), Russia (8.8%), Germany (7.8%), Italy (7.6%).

At the same time, Moldova increased exports to Turkey by 1.8 times, Romania (+17.9%), Russia (+27.3%), Switzerland (1.9 times), Spain (1.8 times), Italy (+12.3%), Ukraine (+33.5%), Great Britain (1.5 times). And reduced supplies to Georgia (-14.5%), Jordan (-63.6%), Czech Republic (-1.8%), Poland (-1.1%).

Imports grew by 32.5% and amounted to approximately $7.18 billion. At the same time, the volume of imports to Moldova of products from EU countries in 2021, compared to 2020, increased less than from other geographical areas - by 27.5 %, reaching a volume of $3,149.1 billion. Most of all, imports increased from the CIS countries - by 44.6%, to $1,905.3 billion. Imports of goods from other countries increased by 30.4% - to $2,122.2 billion.

Accordingly, the share of EU countries in the total volume of Moldovan imports decreased from 45.62% to 43.88%, the share of CIS countries increased from 24.33% to 26.55%, and the share of other states decreased from 30.05% to 29.57%.

Most of all goods were imported to Moldova from Russia (14.7% of total imports), China (11.7%), Romania (11.6%), Ukraine (9.3%), Germany and Turkey (7, 6%), Italy (6.2%).

An increase in supplies to Moldova was observed from Russia (1.7 times), Romania (+31.3%), China (+29.5%), Turkey (+40.1%), Ukraine (+26.5%) . In turn, there is a drop in imports of goods from Kazakhstan (-72.8%), Serbia (-13.3%) and Azerbaijan (-65.2%).

In the structure of imports in 2021, approximately 95.4% of the total volume fell on six commodity items: machinery and equipment for transport (25.4%); manufactured goods (18.3%); mineral fuel (15%); chemical products (14.4%); various manufactured goods (11.6%); food and live animals (10.7%).

In general, the volume of Moldova's foreign trade in 2021 amounted to $10.3 billion, which is 2.4 billion more than in 2020, and significantly higher than the previous record in 2019, when the mutual trade turnover of $8.6 billion was recorded.

The trade balance deficit increased by more than a billion dollars (+36.5%), amounting to a total of about $4.03 billion. This is 128% of total exports and also a new anti-record.

In 2021, the trade balance with the EU countries developed with a deficit of $1,229.7 million, and with the CIS countries - $1,439.1 million, having increased by $399.3 million compared to the values ​​recorded in the previous year and, respectively, $498.3 million .

“The growth of import and export indicators is largely associated with an increase in average prices for goods, not only energy, but many others,” economist Mikhail Poisik commented on the record foreign trade indicators.At the same time, the expert believes that the main problem is not a huge imbalance, but the chronic diseases of the Moldovan economy, which last year not only persisted, but also worsened. “Half of the goods that we export to the EU are products made from customer-supplied raw materials with minimal added value: clothing, footwear, cables, etc.,” says Mikhail Poisik. - Of the second half, two-thirds are primitive raw materials: fodder wheat, corn, sunflower, rapeseed, nuts. The share of products with high added value (wine, sugar, concentrated juice, oil) is constantly decreasing. Because we sent it mainly to Russia, and we are gradually but steadily losing this market.”

As a result, highly qualified personnel cannot find employment in the country, which leads to intellectual depopulation. Every year, the population decline is growing by 40 thousand people, including those who left. The most qualified, active and ambitious leave the country. Therefore, even if someone wants to open a new production with high added value in Moldova, the investor simply will not find workers for him. This is the main problem of the economic course, which has been carried out for more than twenty years, the expert believes.

“Human resources are built up over decades and we lose them,” says Poysik. “This is the biggest problem of an underdeveloped country and it gets worse every year.”

He considers the way out to attract investors who not only build factories, but also organize personnel training.

The volume of foreign trade in Moldova in 2021 overcame the milestone of $10 billion