Consumer Price Index
CONSUMER PRICES UP 0.6% IN JULY 2017
ALL-ITEMS: For the month of July 2017, Belizean households saw
the prices of goods and services which they regularly purchase rise
by 0.6 percent, on average, when compared to the same month in
2016. The All-Items Consumer Price Index for the month stood at
104.4, an increase from 103.8 in July of 2016 (See Figure 1). For the
first seven months of 2017, a year-to-date inflation rate of 1.4 percent
was recorded.
TRANSPORT: The 'Transport' index was once again the major
driving force behind the overall rise in consumer prices for the month,
with prices within this category recording a 6.3 percent increase in
comparison to July 2016 (See Figure 1). This rise in transport costs
was attributed in large part to significantly higher airfare prices, which
experienced a spike in early 2017. The increase in bus fares, which
took effect in late 2016, was also a major contributing factor, as was an
increase in the prices for new motor vehicles. 'Fuels and Lubricants'
saw a relatively small increase of 0.7 percent when compared to
the same month of last year, with the most notable increase being
recorded for the price per gallon of Premium gasoline, which rose
from $9.51 in July 2016 to $11.04 in July 2017. Regular gasoline rose
from $9.56 to $10.10, while the price per gallon of Diesel was up from
$8.55 to $8.94 (See Table 1).
Food and Non-Alcoholic Beverages: On average,
consumers spent 0.7 percent less on 'Food and Non-Alcoholic
Beverages' (See Figure 2) as this category recorded decreases in
the prices of several food items including ground beef, beef steak,
whole chickens, onions, cabbage and limes (see Table 1). Moreover,
this decline in 'Food' prices served to offset a 9.6 percent increase
in the average prices for beer, the effect of the recent adjustment of
excise taxes.
On average, there was virtually no change across 'All Other Categories
of Goods and Services', as a 7 percent decrease in insurance
premiums was offset by a 3 percent increase in the sub-category of
'Communication'.
Housing, Water , Electricity, Gas and Other Fuels:
The 'Housing, Water, Electricity, Gas and Other Fuels' category
recorded a 0.4 percent increase in comparison to July of last year. A
slight decline in home rental prices was able to mitigate the effects
of a 20.9 percent increase in Liquefied Petroleum Gas (LPG), as
the average cost of a 100-pound cylinder of LPG rose from $82.44
in July 2016 to $99.67 in July 2017 (See Table 1
For the month of July 2017, Orange Walk Town, which recorded the
most significant decrease in home rental prices, saw the lowest rate
of inflation at negative 1.2 percent. Dangriga, on the other hand,
which experienced the greatest rise in home rental prices, had the
nation's highest inflation rate at 2.7 percent (See Figure 3).
Click here for the whole report!
External Trade Bulletin
IMPORTS DOWN 8.4%, DOMESTIC EXPORTS DOWN 5.3% IN JULY 2017
IMPORTS
July 2017: During the month of July 2017, Belize's imported
goods were valued at $154.1 million, down by 8.4 percent or
$14 million from the $168.1 million imported in July of 2016.
Falling imports of 'Machinery and Transport Equipment' were
the leading cause of the overall decline in total imports for
the month. That category went down by $11.7 million, from
$40.7 million to $29 million, as Belize imported fewer four
cylinder vehicles, diesel vehicles and front-end loaders in July
2017 than it did in July of 2016. Furthermore, the county's
imported food bill dropped by one third, from $22.9 million
to $15.2 million, with items such as wheat seed, coffee and
lard (shortening) being among the items seeing the greatest
decreases. Diminished imports were also noted within the
category of 'Other Manufactures', which fell by a marked
$4.5 million due to lowered purchases of prefabricated steel
buildings, books and laboratory equipment made of plastic.
'Manufactured Goods' were down by $2.8 million, driven
down by a plunge in imports of structures made of iron or
steel, steel sheet piles and carton boxes
On the other hand, the month saw increases in imports for
the categories of 'Mineral Fuels and Lubricants', 'Chemical
Products' and 'Crude Materials'. Belize spent $22.2 million on
'Mineral Fuels and Lubricants' in July 2017, a growth of $6.6
million over July 2016, owing to greater imported quantities of
diesel, premium and regular fuels. Importation of 'Chemical
Products' went up by $5.7 million, from $14 million in July
2016 to $19.7 million in July 2017, as purchases of fertilizers,
antibiotics and other medical supplies continued to trend
upward. Additionally, imports of 'Crude Materials' doubled for
the month, from $1.9 million to $3.9 million, as the country
saw a spike in pine lumber and pasture grass seed bought
from abroad.
JANUARY TO JULY 2017: Merchandise imports for the
seven months January to July 2017 amounted to $1.05 billion,
representing a 5.3 percent or an almost $59 million decrease
from the same period last year.
Consistent with what was recorded for the month of July 2017,
falling purchases of 'Machinery and Transport Equipment',
was the primary cause of the drop in total imports over the
period. That category fell substantially, by almost a quarter
or $68.1 million to the $211.6 million recorded for the period
January to July 2017, with telecommunications equipment,
vehicles and agricultural equipment observed to be the
goods in greatest decline. In contrast, the country spent
over 20 percent or $22.3 million more on 'Mineral Fuels and
Lubricants', as higher fuel prices, particularly for Regular,
Diesel, Butane and Premium fuels, drove that category up
from $106.7 million in 2016 to almost $129 million in 2017.
EXPORTS
July 2017: The total value of Belize's domestic exports for the month of July 2017 was $28.4 million, down 5.3 percent or $1.6
million from the $30 million recorded for July 2016.
Sugar exports for the month fell sharply by $5.2 million, from $6.7 million to $1.5 million, and was principal reason of the overall
downturn in domestic export earnings for the month. To a lesser degree, reduced exports of bananas and marine products also
contributed the decline, with decreases of $1.3 million and $0.7 million, respectively. Citrus products, however, performed positively
for the month, with an uptick in earnings from $5.6 million in July 2016 to $6.2 million in the same month of 2017, as most products
across the citrus category, particularly orange concentrate and orange oil, did well on the world market. The month's most marked
increase in earnings came from the country's crude petroleum exports, which brought in $5.1 million in earnings for July 2017. In
contrast, there were no exports of this commodity recorded for same month in 2016.
As a result of the strong performance recorded for crude petroleum during the month, exports to the CARICOM Region, the only
recipient of this product at this time, nearly doubled from $5.2 million for July 2016 to almost $11 million for July 2017. On the other
hand, exports to the European Union, less the United Kingdom, plummeted from $10.2 million to $3.4 million owing to the reduction
in sugar sales for the month of July 2017.
JANUARY TO JULY 2017: Merchandise exports for the period January to July 2017 totalled $304.7 million, up 16.4 percent or $42.9
million from the same seven months of last year.
Sugar was the most significant contributor to total export earnings over the period, with earnings from that commodity growing by
over 60 percent, from almost $68 million in 2016 to $109.1 million in 2017. Along with a 37 percent increase in exported volume,
sugar also benefited greatly from higher prices on the world market. Belize's other major exports, banana, crude petroleum and
marine products, also had positive showings over the period. Export revenues for bananas rose by $4.7 million to $46.7 million
over the seven months, while favourable prices drove crude petroleum earnings up by almost $4 million to $16.5 million. Sales from
marine products grew modestly over the period, from $19 million to $21 million. Notwithstanding the fact that shrimp exports doubled
over the period, from $3.2 million to $6.4 million, this industry remains far from recovered and lobster tail, with earnings of $7.6
million for the seven month period, has emerged as the most significant export within the marine products category. Citrus products,
Belize's second largest major export category, faced a 16.7 percent loss in export earnings over the period, falling from $75.4 million
to $62.8 million, despite recording a surge in orange oil earnings.
Click here for the whole report!
GROSS DOMESTIC PRODUCT
ESTIMATES FOR THE SECOND QUARTER OF 2017
The Statistical Institute of Belize's preliminary Gross Domestic Product
estimates for the second quarter of 2017 showed that, during the three
months from April to June of this year, the country's overall level of
economic activity increased by 1.1 percent when compared to the
same period in 2016. The total value of goods and services produced
in Belize was $737 million, up almost $8 million from $729 million in the
second quarter of 2016. For the first half of the year, the country's level
of production was 1.1 percent higher than in 2016.
PRIMARY ACTIVITIES: Production in the primary sector experienced
an increase of 4.1 percent during the second quarter when compared
to the same period last year, as most major industries recorded growth
during the quarter. 'Agriculture, Hunting and Forestry' recorded an
increase of 4.2 percent, while marine exports grew by 4.1 percent as
the shrimp industry, still struggling to recover, saw some expansion in
production. Sugarcane deliveries increased by 19.4 percent during the
quarter, attributable to growing production in the west, while a rise in
citrus fruit deliveries was caused by a late blooming of the fruit. Notably,
livestock production positively contributed to the growth in the primary
sector, with cattle production increasing by 20.8 percent in response to
favorable market prices, while pig production grew by 12.8 percent due
to increased market demand. These increases were partially offset,
however, by a decrease in poultry production. Banana shipments, on
the other hand, dropped by 34.4 percent, from 23 thousand metric tons
to 19 metric tons, as yields fell short of expectations during the quarter.
SECONDARY ACTIVITIES: Secondary activities recorded an increase
of 0.7 percent for the second quarter, primarily as a result of continued
strong performance in "Electricity and Water." Electricity generation
rose by 5.6 percent compared to the second quarter of 2016, as demand
increased and favourable weather conditions positively affected
hydroelectric power production. Water distribution, likewise, was up in
comparison to the second quarter of 2016, recording an increase of 0.6
percent due entirely to increased demand. Despite an increase of 18.3
percent in the production of sugar and a 30.1 percent increase in the
production of citrus concentrate, 'Manufacturing and Mining' recorded a marginal decrease of 0.3 percent. Beverage production dropped by
13.5 percent, with beer production falling due to reduced consumer
demand and an increase in excise tax. Soft drink production also saw
a reduction during the quarter, due to a rise in importation of soft drinks.
Crude petroleum extraction declined by 18.2 percent because of the
natural depletion of reservoirs.
TERTIARY ACTIVITIES: The tertiary sector, which accounts for over
half of the country's economic activities, grew by 1.7 percent during the
second quarter of 2017. 'Government Services' recorded an increase
of 2.2 percent, while 'Transport, Storage and Communication' saw
an increase of 4.4 percent due to an increase in freight. Conversely,
the 'Wholesale and Retail Trade' sector recorded a decrease of 2.3
percent, as reflected in a 10.2 percent decline in imports for the period.
'Accommodation and Food Services' recorded a decrease of 2.4
percent, despite an increase of 14.2 percent in overnight visitors, with
tourists more frequently opting for less costly accommodation options.
Cruise passengers recorded a decrease of 4.8 percent, due to the fact
that there were two less cruise ship calls in the month of June when
compared to the same period of last year.
Click here for the whole report!
You may download the entire series for both External Trade and CPI in Excel format from the Statistical Institute of Belize website: (http://www.sib.org.bz/statistics)
AmbergrisCaye.com 
