Same although Bosnia and Herzegovina (BiH), like many other countries, is still facing the consequences of the coronavirus pandemic, the country achieved a significantly better export balance in 2021 than in previous years, reports the Anadolu Agency (AA).
According to the Statistical Agency of Bosnia and Herzegovina, during the period January-November 2021, BH exported goods worth about 12.9 billion BAM, i.e. 34.8% more than at the same time last year.
In this period, imports amounted to 19.4 billion BAM, 26.5% more than in the first 11 months of last year. The coverage of imports by exports was 66.3%, while the foreign trade deficit amounted to 6.55 billion BAM.
Imports are also increasing
During the last decade, BH has experienced a steady increase in exports, but also imports of many products from other countries.
According to data from the Statistics Agency of Bosnia and Herzegovina, exports of Bosnia and Herzegovina in 2012 amounted to 7.8 billion BAM, whileimports were about 15.2 billion BAM. Coverage of imports by exports amounted to 51.5% and the foreign trade deficit to 7.4 billion BAM.
The next year, BH goods exported worth about 8.4 billion BAM and realized imports of 15.2 billion BAM, thus the coverage of imports by exports amounted to 55.2%, while the foreign trade deficit was around 6.8 billion BAM.
In 2014, BiH exports amounted to 8.7 billion BAM, and imports 16.2 billion BAM. Coverage of imports by exports amounted to 53.6%, and the foreign trade deficit to 7.5 billion BAM.
In 2015, the value of goods exported by BiH 8.9 billion BAM and imported 15.8 billion BAM, bringing the coverage of imports by exports to 56.7%, while the foreign trade deficit amounted to 6.8 billion BAM.
In the following years, the growth of exports increased, as did imports into Bosnia and Herzegovina. According to official data, in 2016, BiH exports amounted to 9.4 billion BAM, and imports amounted to 16.1 billion BAM. The coverage of imports by exports amounted to 58.3%, while the deficit of foreign trade has been 6.7 billion BAM.
The following year, BiH exported goods worth 11.05 billion BAM and imported about 18.2 billion BAM, thus the coverage of imports by exports amounted to 60.8 percent, and the foreign trade deficit amounts to 7.1 billion BAM.
In 2018, BiH exports amounted to 11.9 billion BAM, and imports to 19.2 billion BAM. Coverage of imports by exports was 61.7%, and the foreign trade deficit was around 7.3 billion BAM.
In 2019, BiH exported goods worth around 11.5 billion BAM and realized imports of 19.5 billion BAM, which covered the coverage of imports by exports was 58.9%, while the foreign trade deficit amounted to about eight billion BAM.
In a decade, exports have increased by about five billion BAM
Corn, in 2020, due to the coronavirus pandemic, BH recorded a decline in exports and imports. According to data from the Statistics Agency, last year BiH achieved exports of 10.5 billion BAM and imports of 16.9 billion. The coverage of imports by exports was 62.3% and the foreign trade deficit was about 6.3 billion. BAM.
Although in previous years, outraged exports, imports in BiH also increases, the fact that the foreign trade deficit amounted to 6.5 billion BAM is encouraging, which is for example significantly lower than in 2012, when it was around 7.4 billion BAM.
Moreover, if we only look at exports, it is clear that exports have increased significantly over the last decade, since BiH achieved exports in 2012 worth 7.8 billion dollars. BAM, in 2015 8.9 billion BAM, in 2018 11.9 billion BAM, and during this year more than 12.8 billion BAM.
As a result, BiH’s exports increased by around five billion BAM over the past ten years. In contrast, imports into Bosnia and Herzegovina increased by 4.2 billion BAM in the same period.
Experts to believe that several factors led to a significant increase in exports from BiH to a number of countries, including overcoming the crisis in the European Union (EU), after the pandemic hit many countries.
Ahmet Egrlic, President of the Chamber of Foreign Trade of BH, told AA that the end of the crisis caused a strong demand in the euro zone, after which BiH took market share in the EU, where it exports more than 72 percent of its total exports.
“In addition, the building of national capacities, the competitiveness of national companies have allowed us to rank among the priorities of the supply chains, of course., we speakon what we have, and that generated more than 3.2 billion BAM increased exports in the first 11 months of this year compared to the same period last year. I hope that by the end of the year we will have to be nearly 15 billion BAM, which shows that this is a record year compared to all previous years and this Actually surpassed the 2019 record ”, Egrlic underline.
Competitiveness of companies
He noted that the fact that more than 72 percent of BiH’s exports go to EU countries speaks volumesthe competitiveness of companies in Bosnia and Herzegovina.
“BiH’s products are first competitive in terms of quality, they are of very high quality, then the price can be imposed on the world market and certainly BiH can be proud of our metal, wood sector, because the BiH furniture regularly receives gold medals. and plates at fairs in Germany. Our leathers, textiles, and the footwear industries are developing steadily, our processing capabilities are fully export oriented and this is what gives us chance and hope and I urge the authorities to invest more in reforms and create a more favorable business environment to increase our competitiveness ”, he declaresD.
He underlined that in this sense it is very important to work even more on the development of roadss and any other infrastructure within BiH.
It is more expensive to reach the border than it is from the border to a destination for the delivery of goods. Very risky transport, expensive transport leads to certain difficulties, but also excessive charges, taxes, and employee contributions are slowing us down because higher net wages must be expected in companies. It is expected that the economy will be relieved Next year so that workers are satisfied with their income, ” has mentioned Egrlic.
As he explained, the metals sector is traditionally the sector in which BH has the largest exports to the world.
“About 40 percent of total exports come from the metals sector. It is also the most promising sector, but I would not ignore all the other sectors, which are also very promising, such as the wood industry, the production of furniture where we do better results, then textiles, leather, shoes. These are companies spread throughout BiH and registering excellentresults. What would be very important for us is to create an environment, to look to the economy, to see How? ‘Or’ What pThe politicians to try build a better image of BH in the world, at See how beautiful messages Are sent from here, ”Egrlic underline.
In addition, hea added that it is possibleable to work on reducing importsso that BiH citizens have turned more to the purchase of national products.
A chance for BiH
“Our manufacturing industry imports a lot of raw materialserals. What is important to mention do cars are in the first place, new, used, and that we cannot compensate with Domestic production. But we also import a lot of quality products that we have sufficient quantities of BiH. We import more than 130 million BAM water, and we have excellent water, etc. In this sense, it is a good message for our consumers of buy domestic, ”said Egrlic, noting that it is necessary to molast the capacities and that the BH the economy needs more incentives and soft loans.
“Now we have to seize the opportunity when supply chains are disrupted, when shipments from the Far East have increased fivefold, when Europe looks to itself.f and its neighbors, BiH and the area should now look for a chance to jump in this supply chain, to increase competitiveness and take a more important place in the market for 500 million inhabitants. I believe it’s time to turn to ourselves and what we’re living on. If we don’t, we will find that people will leave BiH ”, stress Egrlic, adding that he expects 2022 to be an important year in terms of the implementation of reforms in order to further increase exports and thus further strengthen the national economy.