Montenegro's trade deficit never gets worse

The foreign trade exchange of Montenegro for ten months of this year is the worst for the last six years for which there are comparable data on the Monstat website.

Imports for ten months amounted to one billion and 533 million euros, while exports amounted to only 245 million. The trade deficit was one billion and 288 million euros and is the largest for this period since 2010, for which there are data.

Before this, the largest deficit was in 2012, when it was 1,242 billion euros for this period. The smallest deficit was in 2010, 1,1 billion.

Total exports decreased from 271 to 245 million. The "culprit" for the decline is weaker aluminum exports due to lower prices and a reduction in production to 44 million, while in the same period last year it was 56 million. Food exports decreased from 54 million to 20 million, this decrease coincides with the ban on exports to the Russian and Belarusian markets due to accusations that Montenegro is re-exporting meat products from countries sanctioned by Russia to this market. The export of meat and meat products fell from 39 million to seven million, while the import of meat and meat products decreased from 103 million to 71 million.

The export of electricity was significantly reduced from 30 to 23 million, as well as of mineral ores from 28 to 24 million.

The only significant increase in exports was in the category of iron and steel, from 2,6 to 18,8 million, because the Turkish investor significantly started production in Nikšić's Željezara Toš čelik. However, the import of iron and steel is still 34 million, significantly higher than the export.

Imports increased by 42 million from 1,491 billion in the last year's period to 1,533 billion. The most significant growth was in the item machinery and transport devices from 275 to 334 million euros. The reason for the increase in the import of machinery may be the start of preparations for the construction of the highway.

The drop in the prices of oil derivatives on the world stock exchanges also affected the decrease in imports from 156 to 127 million. The import of medicines and medical devices increased from 47 to 51 million, as well as scientific and control instruments from 11 to 16 million euros.

The export of beverages increased from 12,4 to 14,3 million, while the export of tobacco products remained at 4,2 million.

At the same time, the import of beverages increased from 44 to 47 million, while the import of tobacco products decreased slightly from 10,05 to 9,9 million euros.

The export of wood as a raw material increased from 18 to 23 million, while the export of wood products decreased from 840 million to XNUMX thousand euros.

The deficit is greater than foreign investments and income from tourism

The government boasts that Montenegro is a record holder in terms of attracting foreign direct investments, as well as with a large increase in income from tourism. However, when the official figures are added up, it turns out that the foreign trade deficit for ten months is greater than the net income from foreign direct investments of 550 million for that period and the expected total income from tourism of 700 million.

Food imports of 316 million more than the entire export of 245 million

That something serious needs to be done to reduce dependence on food imports, as well as that we need some other more competitive export product than aluminum, is shown by the fact that the total export of 245 million euros is significantly less than the food import itself of 316 million euros. Food imports were one million euros per day.

In ten months, Montenegro imported meat and meat products for 71 million euros, milk, dairy products and eggs for 42 million, as well as fruits and vegetables for 47 million, which recorded an increase of six million compared to the same period last year. Cereals and flour were imported for 47 million, fish for 11 million, coffee, cocoa and spices for 25 million...