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Siromashenko D.Y.
2-d year student faculty of international economic
relations
Savytska L.V.
Associated Professor, Doctor of Philosophy
Kharkiv national university of economics
UKRAINE AND INTERNATIONAL TRADE
It is difficult to
underestimate the importance of international trade. Since time immemorial every country tried to expand
their trade routes, to develop relations with other
countries signing various agreements sand treaties and thus
taking an advantageous position at the international level.
International trade doesn’t lose its importance
nowadays. No one country can exist
economically without it. International trade allows selling
excess goods not absorbed by the domestic market and, vice versa,
getting deficit goods and services; using efficiently world resources, expanding their own
material and resource base.
Ukraine is still quite young country and it is only taking the first
steps in getting into the global economic system, so international trade is
life issue for Ukrainian ecomony. The problem of international trade is discovered by
Ukrainian economists as E. Kanischenko, M.A.
Dudchenko, R.A. Zabolotskaya, E.F. Rostov,
N. Kiriyenko and others.
The aim of this publication is to analyze volume of export and
import of goods and services in Ukraine from 2011 until January 2013 and
indentify its position in international trade.
It’s difficult to argue that Ukraine has a great potential in export
opportunities because of significant resource base, rich mineral deposits,
favorable geographical position and relatively developed industry. Ukraine also
has potential in science and technology but no funds for its further
development. Ukraine is net exporter of goods and services to large number of
countries, which are both in Europe and in remote countries such as America,
Australia and other countries of the East.
According to the State Statistics Service of Ukraine, international
trade in goods was made with partners from 215 countries in 2012 and with 180
countries only in January 2013. Export figures to CIS countries are amounted to
36.8 % of total export, Asia – 25.7 % Europe – 25.3 %, including countries of
European Union – 24.8 %, Africa – 8.2 %, America – 3.8 %, Australia and Oceania
– 0.1 % [3, 4, 5].
Diagram1.The main
partner countries in export of goods [4]
Having analyzed this diagram, it is possible to
identify the main export country and the export list. Thus, significant export
was made to Russian Federation – 25.6 % of total export (railway locomotives,
ferrous metals, mechanical machines), Turkey –
5.4 % (ferrous metals, fats and oils of animal or vegetable origin,
fertilizer), Egypt – 4.2 % (cereals,
ferrous metals, fats and oils of animal or vegetable origin), Poland – 3.7 % (ferrous metals, ores, slag and ash,
oil seeds and fruits of plants), Italy (ferrous metals, seeds and oleaginous
fruits, cereals) and Kazakhstan (railway locomotives, ferrous metal products,
mechanical machinery) – 3.6 %, India –
3.3 % (fats and oils of animal or vegetable origin, mineral fuel, oil
and distillation products, fertilizers).
According to international trade data in January 2013, it may be noted
that significant export was made to Russian Federation – 21.9 % of total
export, Turkey – 6 %, Italy – 4.9 % India – 4.7 %, China – 4.3 %, Poland – 3.9
%, Egypt – 3 % [3].
Diagram 2. The main partner countries in export of goods [3]
Having analyzed this diagram, it is possible to state that
Ukraine exports goods to the same countries annually. It should also be mentioned that agro-food complex, which
includes agriculture and food industry, occupies an important place in domestic
export. Comparing to data in 2009, total trade amounted to 45 400 million [1],
it had increased to 68 809 million in 2012 [4]. It is worth noted that
the limited range is a weakness side of structure of agricultural products
export, comparing to the countries (the U.S.A., France and the Netherlands),
which occupy the first position in the world market and trade with surplus. 357
types U.S. export of goods are represented at the total range, Netherlands –
381, France – 384, Ukraine – 231. Generally,
Ukraine has positive trend in exporting goods at the international market and
under favorable conditions, step by step Ukraine will be able to reach the
level of world standards.
According to the State Statistics Service of Ukraine, international
trade in services was made with 230 countries in the world. The structure of
export of services remained unchanged for a long period till 2012. The volume
of export of services was amounted to 13,527.6 million USD during 2012. It is
98.1% comparing to the same period of last year. The volume of import of
services was amounted to 6,706.3 million USD. It is increased by 7.6% comparing
to the same period of last year. The surplus was amounted to 6,821.3 million
USD (in 2011 – 7557 million USD). Such an important contribution to formation
of surplus was made by the following types of services: transport services
(surplus 3,247.3 million USD), among them: sea – (1040.8 million USD), railway
– (945.1 million USD), air – (872.1 million USD); various business,
professional and technical services (821.3 million USD), auxiliary transport services
(510.2 million USD) and computer services (497.8 million USD) [3].
Diagram 3. The structure
of export of services [5]
Export of transport
services can be probably the most profitable in the world today. Moreover one
of the advantages for Ukrainian transport services is its geographical
position. If Ukraine uses it successfully, it will have good prospects to take
leading position in the field of exporting transport services [2]. Ukrainian
network of railways occupies one of the leading positions in the CIS but
integration into the European railway system has to be urgent. Because of
EURO-2012 a range of new airports were build but Ukrainian Airline network also
needs to be integrated into the European airway system. Thus, export of
transport services can reach in Ukraine the same level as developed countries
but they need proper investing, effective management and support at the
national level. There was also an increase even in export of auxiliary
transport services by 118 million USD (22.3%) and travel services by 116.7
million USD (25.6%) comparing to the same period of last year.
Volume of export of computer services was also growing, including
services related to software development and data processing services. They were
increased by 262.2 million USD (49.3%) comparing to the same period of last
year.
At the same time the volume of export of pipeline transportation
services were reduced by 506.8 million USD (13.5%), the railway service – by
195.8 million USD (11%), financial services – by 64 million USD (20.5%) and
maintain services – by 50.6 million USD (8.2%). The main partner country in
exports of services is still Russia left. It takes 5365.4 million USD (39.7% of
total exports) [5].
In
2012 Ukraine imported goods mostly from Russian Federation – 32.4 % (mineral
fuels, mineral oils and products of its distillation, mechanical machinery,
ferrous metals), China – 9.3 % (electrical and mechanical machinery, footwear),
Germany – 8 % (mechanical machinery, means of ground transport vehicles, except
railway, pharmaceuticals), Belarus – 6 % (mineral fuels, mineral oils and
distillation products, ground transport vehicles, except railway, fertilizer),
Poland – 4.2 % (mineral fuels, mineral oils and distillation products, plastics,
polymers, paper and cardboard), USA – 3.4 % (mineral fuels, mineral oils and
distillation products, mechanical machinery, means of ground transport
vehicles, except railway) and Italy – 2.6 % (mechanical and electrical
machines, plastics, polymeric materials) [4].
Diagram 4.The main partner
countries to import goods [4]
Having analyzed data on import of goods in
Ukraine, it is possible to identify the main imported goods.
They are: mineral products, mechanical and electrical machinery, chemical and
related industries, ground transport, aircrafts, floating equipment, base
metals and their products and others.
Structure
of import of services remained unchanged in recent years. The main partner
countries in import of services were Russia,
Cyprus, Great Britain, Germany, USA, Switzerland,
Austria, Belgium, Virgin Islands (UK), France, Poland
and Turkey [5].
In 2012
the largest share
of total import of services was
transport services –
25 % (air and
railway transport services), various business, professional and technical services – 16 % (legal and accounting services, services in
agriculture and mining), financial – 14.1 %,
government services, non elsewhere classified – 9.2 %,
and travel services – 8.5 % [3].
Diagram 5. Structure of import of services [5]
Thus,
due to carried analysis in modern position in international trade and volume of
export and import of goods and services from 2011 until January 2013, we made
the conclusion that Ukraine is a full participant in the international market
of goods and services. It should also be noted that although Ukraine is young
country, but it has potential to take a decent position in the economic area.
References translated
and transliterated
1. Nelep V. Assessment of export potential of agriculture of Ukraine // Economy
of Ukraine. – 2011. – ¹ 9. – 2011. – P.
54-63. 2. Stepanov V.V. Prospects for increasing
Ukrainian export of transport services // Economy finance and law. – 2011. – ¹3. – P.
14-17. 3. International trade of Ukraine in
January 2013 ¹ 08.2-27/36 [Electronic
resource].
– Access mode: www.ukrstat.gov.ua/
4. Osaulenko O.G. Express-issue International
trade of goods of Ukraine in 2012 ¹
08.2-27/16 [Electronic resource]. – Access mode: www.ukrstat.gov.ua/ 5. Osaulenko O.G. Express-issue International trade of
services of Ukraine in 2012 ¹
08.3–22/85 [Electronic resource]. – Access mode: www.ukrstat.gov.ua/