Despite the global slowdown, Israeli exports are expected to grow by 10% in 2008 to $78 billion, the Israel Export and International Cooperation Institute announced on 29 December. The Export Institute added that exports of goods grew by 24% in H1/08, driven by chemicals and fertilizers, whose prices rose sharply. However, export growth slowed to 7% in H2/08. Exports are expected to be 20% lower in Q4/08 than in Q4/07 because of the sharp drop in prices for raw materials and a 40% plunge in diamond exports. The US accounted for 33% of Israeli exports in 2008, down from 38% in 2006, although it remains Israel's largest export market. High-tech exports are expected to grow by 7% in 2008 to $17 billion. Fourth quarter high-tech exports are expected to fall by 4%.
Israel's foreign trade in goods and services is expected to grow by 13.5% in 2008 to $164 billion. The goods and services trade deficit is expected to total $7.7 billion, 185% more than in 2007 because of a 17% increase in imports of goods and services to $86 billion. The Export Institute added that despite high economic growth rates in Asian countries, the continent accounted for only 20% of Israel's total exports of goods. The Export Institute expects Israel's exports to fall by 3% in 2009, after growing by an average of 12% a year over the past five years. It also expects the proportion of exports to the US to fall below 30% of total exports, the second annual decline in the past 20 years. (IE&ICI28.12)
This information is in courtesy of ATID E.D.I. (www.atid-edi.com)
