SA records a R430m trade surplus for April

South Africa recorded a second consecutive trade surplus in April even as exports of precious metals and stones and other mineral products fell.

The surplus narrowed to R430 million from a revised R2 billion in March, the SA Revenue Service (Sars) said yesterday. The cumulative deficit for this year is R18.7bn, 42 percent less than the R32bn shortfall in the first four months of last year.

Slow growth and waning demand in South Africa’s main export markets led to a slump in shipments, even as the rand fell 27 percent in value to the dollar since the start of 2015.

Elna Moolman, an economist at Macquarie Group, said while a trade shortfall could continue to put pressure on the current account, the broadest measure of trade in goods and services, the surplus should add support to the currency.

The trade surplus was “to some extent a reaction to rand weakness”, Moolman said. “Looking at the general trend, which has improved, it should be positive for the rand.”

Exports fell by 3.2 percent to R92.2bn in April as the shipments of precious metals and stones fell by R1.7bn, or 9.5 percent, and exports of mineral products, which include iron ore and coal, fell R527m, or 3.1 percent. Imports dropped 1.5 percent to R91.8bn after purchases of vegetable products slumped 34 percent, or R1.2bn, and imports of mineral products, which include oil, fell by 2.6 percent, or R334 million.

Including trade data with Botswana, Lesotho, Namibia and Swaziland (BLNS)

The R0.43 billion surplus for April 2016 is due to exports of R92.22 billion and imports of R91.79 billion, decreasing from a revised surplus of R2.03 billion in March 2016. Exports decreased from March 2016 to April 2016 by R3.02 billion (3.2%) and imports decreased from March 2016 to April 2016 by R1.42 billion (1.5%).

On a year-on-year basis, the R0.43 billion surplus is an improvement from the deficit recorded in April 2015 of R2.50 billion. Exports of R92.22 billion are 10.1% more than the exports recorded in April 2015 of R83.74 billion. Imports of R91.79 billion are 6.4% more than the imports recorded in April 2015 of R86.24 billion.

The cumulative deficit for 2016 of R18.67 billion is 41.7% less than the deficit for the comparable period in 2015 of R32.01 billion.

The month of March 2016 trade balance surplus was revised downwards by R0.89 billion from the previous month’s preliminary surplus of R2.92 billion to a revised surplus of R2.03 billion.

Trade highlights by category

The month-on-month export movements (R’ million):

The month-on-month import movements (R’ million):

Trade highlights by world zone

The world zone results from March 2016 to April 2016 are given below.

Africa:

Trade surplus: R16 116 million – this is a 0.5% increase in comparison to the R16 032 million surplus recorded in March 2016.

America:

Trade deficit: R2 175 million – this is a 49.1% increase in comparison to the R1 459 million deficit recorded in March 2016.

Asia:

Trade deficit: R13 940 million – this is a 36.6% increase in comparison to the R10 206 million deficit recorded in March 2016.

Europe:

Trade deficit: R8 220 million – this is a 27.6% decrease in comparison to the R11 347 million deficit recorded in March 2016.

Oceania:

Trade surplus: R 229 million – this is an improvement in comparison to the R 110 million deficit recorded in March 2016.

Excluding trade data with Botswana, Lesotho, Namibia and Swaziland (BLNS)

The trade data excluding BLNS for April 2016 recorded a trade deficit of R9.12 billion. This was a result of exports of R80.28 billion and imports of R89.40 billion.

Exports decreased from March 2016 to April 2016 by R3.16 billion (3.8%) and imports decreased from March 2016 to April 2016 by R1.09 billion (1.2%).

The cumulative deficit for 2016 is R52.63 billion compared to R65.06 billion in 2015.

Trade highlights by category

The month-on-month export movements (R’ million):

The month-on-month import movements (R’ million):

Trade highlights by world zone

The world zone results for Africa excluding BLNS from March 2016 to April 2016 are given below.

Africa:

Trade surplus: R6 561 million – this is a 5.5% decrease in comparison to the R6 940 million surplus recorded in March 2016.

Botswana, Lesotho, Namibia and Swaziland (Only)

Trade statistics with the BLNS for April 2016 recorded a trade surplus of R9.55 billion. This was a result of exports of R11.94 billion and imports of R2.39 billion.

Exports increased from March 2016 to April 2016 by R0.14 billion (1.2%) and imports decreased from March 2016 to April 2016 by R0.33 billion (12.0%). The cumulative surplus for 2016 is R33.96 billion compared to R33.05 billion in 2015.

The month-on-month export movements (R’ million):

The month-on-month import movements (R’ million):