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May 16, 2008
S'pore exports rebound in April
SINGAPORE'S key exports grew 5.4 per cent in April from the previous year, rebounding from a decline in March, driven by strong demand from the European Union, China and Indonesia, government data showed on Friday.

Non-oil domestic exports (NODX) rose to 14.02 billion Singapore dollars (10.17 billion US), reversing a 5.9 per cent annual contraction in March, the trade promotion body International Enterprise (IE) Singapore said.

While NODX to the United States fell 17 percent, exports to the EU rose 17 percent turning around a 24-percent drop in March, IE Singapore said.

Shipments to China and Indonesia expanded 19 percent and 20 per cent, respectively, also swinging back from declines.

'The top contributors to the NODX rise were the EU, China and Indonesia,' IE Singapore said in a statement.

Non-electronics exports such as petrochemicals, pumps, metal manufactures and parts for tractors and motor vehicles grew 9.8 per cent, while shipment of electronic products dipped 0.4 per cent on weaker global demand.

On a month-on-month seasonally adjusted basis, NODX gained 1.6 per cent, compared with the previous month's 2.6 per cent decline.

Total trade climbed 21 per cent to 82.30 billion dollars, faster than the 11 per cent expansion in March.

Mr Joseph Tan, a strategist at Fortis, commenting on the April exports, said: 'It's better than expected. I was looking for a negative number. Exports to the US continue to be in the doldrums but the EU and China are still strong. Singapore has been able to decouple from the US to some degree.

'People are talking about strength in the electronics cycle but you are not seeing it in the Singapore numbers. Singapore exports are getting their strength from petrochenmicals, which is not that surprising given the high oil price environment.'

Mr Vishnu Varathan, an economist at Forecast Ltd, added: 'It's probably a bit too early to call for a recovery. Electronics is still down year on year though not as bad as in March. While picking up quite a bit month-on-month, it doesn't point to a sustained recovery as yet.

'Overall the support is still in non-electronics, notably in petrochemicals. But the picture is still one of softness ahead.'

The Singapore dollar stood at 1.3736/48 against the US dollar versus 1.3737/49 before the announcement.

The benchmark FTSE ST Index was up 0.91 per cent at 3,236.48 points at the midday market break before the announcement. -- AFP, REUTERS.

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