Executive summary
- Namibia’s total exports earnings amounted to N$ 7.1 billion for August 2021 down from N$ 7.3 billion that was recorded for the same period last year. (See figure 1 below)
- China emerged as the main export market for the country for August 2021, absorbing 29.6% of all goods exported, ahead of South Africa in the second place whose market share of Namibia’s exports stood at 17.9% of total exports.
- Imports bill amounted to N$10 billion for August 2021 up from N$ 8.9 billion that was recorded during the same period last year. (See figure 1 below)
- During the month of August 2021 Namibia sourced the majority of imports mainly from South Africa, Zambia, D.R.C, Oman, and China
- Copper was Namibia’s largest export and import commodity for August 2021, accounting for 34.6% and 22.2% respectively. (See figure 3&4 below)
- The county’s trade balance stood at N$ 2.9 billion for August 2021, up from N$ 1.3 billion recorded for August 2020. (See figure 2 below)
- SACU economic region took up the largest percentage share of exports by economic region accounting for 30.3% followed by BRIC, accounting for 29.7% and the EFTA took up the least percentage of exports of 0.2%
- The majority of the products exported during the month of August 2021 reached their destination using the sea as a mode of transport accounting for 56.6% and the majority of the imported products reached the country by road which accounted for 69.8% of total products imported
Analysis
- Namibia’s total export earnings increased by 41.5% for August 2021 in relation to the previous month. This came as a result of an increase in the export of copper, pearls , and precious or semiprecious stones, unworked or worked and gold, non-monetary (excluding gold ores and concentrates), and the export of ores and concentrates of base metals
- On an annual basis total exports earnings declined by 6.2%. This was mainly attributed to a decline in the exports earnings recorded for pearls and precious or semiprecious stones, unworked or worked and uranium or thorium ores and concentrates. This was due to the negative impact of Covid-19 on global commodity prices
- Namibia’s import bill increased by 18.5% for August 2021 when compared to July 2021. This was influenced by an increase in the import of petroleum oils and fuels, copper, and the import of motor vehicles
- On an annual basis total imports increased by 12.1% as a consequence of an increase in the importation of petroleum oils and fuels, precious or semiprecious stones (Diamond), and motor vehicles. (See figure 1 below)
Figure 1: Export and Import value (N$), (August 2020- August 2021)
Figure 2: Trade Balance (August 2020 – August 2021)
Figure 3: Top 5 Export products % share of total exports, Namibia (August 2021)
Figure 4: Top 5 Import products % share of total imports, Namibia (August 2021)
Outlook
Given the current economic environment, aggressive vaccine rollouts to caution the negative impact of covid-19 on commodity prices and investment in value addition for the main commodities that Namibia exports will help to boost exports for Namibia in the short to medium term. This will improve the country’s trade balance and lead to economic growth.