Trade surplus rises by 33%

Exports climbed in February, gaining 11 per cent, while imports fell by 3 per cent in the month, new data showed today.

The Central Statistics Office said preliminary figures for the month showed exports totalled €8.1 billion, while imports were almost €4.3 billion.

As a result the seasonally adjusted trade surplus rose by 33 per cent year on year to €3.83 billion for the month. This compares to €2.9 billion in January, and €3.6 billion in December.

The value of exports on an unadjusted basis rose 14 per cent compared with a year earlier, while the value of imports was up by 18 per cent.

Provisional figures for January also showed a slight decline in exports of 1 per cent to €6.96 billion, led by a fall in the export of medical and pharmaceutical products of 11 per cent. Organic chemicals rose by 7 per cent during January. Ireland's exports to Belgium fell by 28 per cent, while Switzerland declined 55 per cent.

This was offset by a 25 per cent rise in goods sent to Britain, and a similar rise in exports to France.

The US continued to play an important role in Ireland's export business, accounting for some €1.5 billion. Exports to Britain totalled €1.1 billion, while Belgium accounted for €889 million.

Imports for the month were up 26 per cent to €4.2 billion, with Britain accounting for the largest proportion in value.

Analysts said monthly data has shown to be a poor leading indicator.

"Today's data provide some tentative evidence that Irish goods exports expanded in the first quarter," Davy analyst Conall Mac Coille said. "We expect Irish exports to expand in the first quarter following a surprise decline in the fourth quarter given robust global demand and the positive purchasing managers index survey data for the export sector."