Commodity flow or domestic trade refers to the flow of commodities through the water, air and rail transport systems in the country. Data on the inflow and outflow of commodities in the different regions of the country are used to construct interregional and inter-industry relation tables. These serve as bases in the formulation and implementation of various regional development programs like countryside development and port planning.

Quantity and value of domestic trade increases

The total quantity of domestic trade transactions in the fourth quarter of 2011 increased by 26.3 percent, from 4.37 million tons reported during the same period last year to 5.52 million tons. The commodities were traded mostly through water transport systems comprising 99.9 and 99.8 percent in the fourth quarter of 2011 and 2010, respectively.

On the other hand, the total value of commodities flowed within the country increased by 4.6 percent from PHP119.33 billion in the fourth quarter of 2010 to PHP124.84 billion in the same period of 2011. Trade transaction through water was the major mode of transport comprising 98.9 percent in the fourth quarter of 2010 and 99.4 percent in the same period of the current year.

Food and live animals dominates total domestic trade value

Food and live animals contributed the largest among the commodities that were transacted throughout the country in the fourth quarter of 2011, amounting to PHP35.33 billion (28.3%). This was followed by machinery and transport equipment with PHP26.97 billion (21.6%) and manufactured goods classified chiefly by materials with PHP17.15 billion (13.7%). Animal and vegetable oils, fats and waxes shared the least value of PHP1.31 billion (1.1%). (See Table 1)

Likewise, food and live animals dominated the domestic trade in the fourth quarter of 2010, with a share of 29.1 percent (PHP34.73 billion) of the total value. Machinery and transport equipment was second with a 22.5 percent share (PHP26.85 billion). Mineral fuels, lubricants and related materials followed with a share of 13.7 percent (PHP16.33 billion). Contributing the least value of PHP1.37 billion (1. 2%) was animal and vegetable oils, fats and waxes. (See Table 1)

National Capital Region (NCR) leads in the value of domestic trade share

In the fourth quarter of 2011, most of the traded commodities originated from NCR with value of domestic trade amounting to PHP29.55 billion (23.7%). Central Visayas was second with PHP22.07 billion (17.7%). Western Visayas was next with PHP16.41 billion (13.1%), followed by Northern Mindanao with PHP12.71 billion (10.2%). Cagayan Valley�s domestic trade contributed the least share among the regions with only PHP65 thousand. (See Table 2)

Central Visayas had the highest domestic trade share at PhP17.81 billion (14.9%) during the fourth quarter of 2010. Western Visayas was second with PhP16.64 billion (13.9%) followed by Eastern Visayas with PhP16.62 billion (13.9%), NCR with PhP16.40 billion (13.7%). Cagayan Valley�s domestic trade contributed the least share among the regions with only PhP156 thousand.

Central Luzon posts the highest favorable trade balance

In the fourth quarter of 2011, Central Luzon posted the most favorable trade balance at PHP11.73 billion. Other regions which surpassed the billion positive trade balance were NCR (PHP4.77 billion) and Eastern Visayas (PHP2.12 billion). On the other hand, Caraga suffered an unfavorable trade balance of negative PHP7.40 billion. Other regions with more than a billion negative trade balances were Zamboanga Peninsula (PHP3.26 billion), CALABARZON (PHP2.83 billion), Northern Mindanao (PHP1.13 billion), SOCCSKSARGEN (PHP1.04 billion).

Likewise, Central Luzon posted the most favorable balance of trade at PHP11.59 billion during the fourth quarter of 2010. Other regions which surpassed the billion positive trade balance were Eastern Visayas (PHP8.51 billion), Northern Mindanao (PHP4.32 billion), SOCCSKSARGEN (PHP3.69 billion) and Western Visayas (PHP3.13). On the other hand, NCR suffered an unfavorable trade balance of negative PHP10.86 billion.

Notes:

1. DOMSTAT reports from the following provinces/cities were not yet received as of March 19, 2012, and were not included in this special release:
   
   1. Occidental Mindoro - Coastwise (December 2011)
   2. Masbate - Coastwise (October to December 2011)
   3. Negros Oriental - Coastwise (October to December 2012);  Air (October to December 2011)
   4. Northern Samar - Coastwise (December 2011)
   5. Western Samar - Air (November 2011)
   6. Davao Oriental - Coastwise (October to December 2011)
   7. Surigao Del Sur - Coastwise (December 2011)
   8. Basilan - Coastwise (October to December 2011)
   9. Sulu - Coastwise (December 2011)
   10. Tawi-tawi - Coastwise (December 2011)

2. Philippine National Railways (PNR) still no operation in the fourth quarter of 2011.

Source:   National Statistics Office 
                Manila, Philippines