Business

Philippines reports 14.6% decline in October exports

workers assemble micro motor fans
Image caption Shipments of electronics goods account for almost half of the total exports from the Philippines

Exports from the Philippines fell in October, with sales of electronic goods dropping due to weak demand.

Shipments declined by 14.6% compared to October 2010.

But compared to the previous month of September, export shipments grew by 4.9%.

Exports of electronic goods slumped by an annual 36.5% in October, according to the latest data of the census department.

Overseas sales of electronics are a key driver of the Philippines economy.

'Modest recovery'

Radhika Rao, an economist with Forecast in Singapore, said the figures were broadly what she had expected.

She attributed the 4.9% monthly growth to an acceleration in holiday orders.

"Despite the modest recovery in the headline and electronic shipments, we expect exports to return to moderation mode," she said.

"Philippines' external sector has remained under pressure this year due to flagging demand for electronics and related products."

The country's export shipments have been falling for several months this year, as demand from the US and Europe wanes.

Sales to developing countries in Africa and Asia have picked up some of the slack, but not entirely.

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