Analyst: Estonian exports picture getting better
Exports, a major driver of any economy, are in some ways improving in Estonia, though in any case are often looked at on a year-on-year basis. This means that improvements in 2024 are based on a low bar set in 2023.
Swedbank's chief economist, Tõnu Mertsina, noted that Estonia's largest export decline occurred last year, but the situation has improved since.
In August this year, exports fell on year by 1 percent, mainly thanks to a 3-percent decline in trade with the EU27.
This was offset in part by exports to non-EU nations growing by 6 percent over the same period.
Mertsina told "Aktuaalne kaamera": "In fact, when broken down by country, the picture is quite uneven."
"The biggest decline or negative impact came from Singapore, followed by Finland and Sweden. On the flip side, the strongest positive impact was found from from the U.S., the UK, and the Netherlands," Mertsina added.
"In Singapore, the greatest drop came in mineral oils, while in Finland it was in various mechanical products, electronic products, different types of furniture, and prefabricated buildings. In Sweden, things were mainly the same," he said.
Inission Eesti, a Tallinn-based subsidiary of a Swedish electronics and manufacturing company, saw steady exports in the first half of this year, though faced a 15 percent decline in the metals sector, largely due to reduced demand from Germany.
The company's director, Nadežda Dementjeva, said: "In the two different sectors we operate in, we are feeling things more in the metals industry."
"In metals there has been overall around a 15 percent decline. The reasons essentially stem from the German market; most of the drop derives from there. Customers are canceling or halting projects, or, in some cases, abandoning them," she went on.
Nevertheless the company is actively seeking new clients, with promising prospects in both electronics and mechanics, Dementjeva added.
Mertsina stressed that while the base of last year's low export levels continue to affect comparisons, the current outlook is still better than in 2022.
--
Follow ERR News on Facebook and Twitter and never miss an update!
Editor: Andrew Whyte
Source: 'Aktuaalne kaamera,' reporter Toomas Pott.