Last updated: November 2, 2017 at 09:34 am
A new study released by the Economic Commission for Latin America and the Caribbean (ECLAC) is predicting that the region will this year will achieve a 10% growth in the value of exports.
If confirmed, it will end half a decade of declines in the price of their export basket and a weak increase in exported volume.
ECLAC’s annual report also noted that the region’s imports will recover after four years of declining values, since they are projected to grow 7% in 2017.
ECLAC said although there is great uncertainty in macroeconomic, technological and geopolitical arenas at an international level, various factors have contributed to the trade recovery in Latin America and the Caribbean.
These include greater dynamism in aggregate demand in some of its main trading partners and a return to economic growth in the region itself, which is expected to grow 1.2% in 2017 and 2% in 2018.
Higher prices for several of its basic export products and the dismantling of tariff and non-tariff barriers in some of its countries also helped.
According to the International Trade Outlook for Latin America and the Caribbean, 2017 document, the recovery in regional exports in 2017 will be led by shipments to China and the rest of Asia.
Sales to the European Union will be less dynamic, increasing at an etaimted 6%.