The International Merchandise Trade Index (IMTI) measures the changes in the levels of unit values and volume of merchandise exports and imports between Brunei Darussalam and trading partners to assess the factors contributing to the country’s trade performance.
The terms of trade registered an increase of 62.8 per cent in the second quarter (Q2) of 2022 compared to Q2 2021, which mainly contributed by the growth of crude materials inedible index at 66.0 per cent.
The increase in the term of trade reflected that the unit value of exported goods was higher compared to the unit of imported goods.
Terms of trade is a measure of the purchasing power of Brunei Darussalam’s exports and imports to and from abroad.
Total exports increased by 61.2 per cent in Q2 2022 compared to Q2 2021, which was from BND3,261.9 million to BND5,258.0 million. This increase was due to a rise in the exports unit value index by 63.0 per cent, which was contributed by crude materials inedible (+68.0 per cent), mineral fuels (+65.4 per cent), and chemicals (+41.8 per cent).
Rising prices of these commodities in the world market was the key driving force towards the increase in exports unit value index.
The exports volume index fell by 23 per cent compared to Q2 2021, contributed by the decline in the exports volume index of mineral fuels (-24.6 per cent), which consists of natural gas and manufactured; petroleum products and related materials.
The total imports in Q2 2022 also increased by 59.9 per cent compared to the Q2 2021 due to the rise in the imports unit value index and the imports volume index by 0.2 per cent and 8.1 per cent, respectively.
The rise in the imports unit value index was mainly contributed by mineral fuels (+52.8 per cent), chemicals (+30.6 per cent) and animal and vegetables oils and fats (+19.5 per cent).
Meanwhile, the increase in the imports volume index was attributed by an increase in the imports volume index of machinery and transport equipment (+29.5 per cent); miscellaneous manufactured articles (+12.0 per cent); and food (+3.1 per cent).
The IMTI reflects the trends of unit value and quantity of import and export commodities in Brunei Darussalam within a certain period of time. The index can also be used in the analysis of competitiveness, measurement and forecasting of inflation and compilation of national accounts.
The full report of the IMTI Q2 2022 is available from https://deps.mofe.gov.bn/