Sector for Macroeconomic System FOREIGN TRADE EXCHANGE OF BOSNIA AND HERZEGOVINA WITH THE WORLD FOR 2018/2017 Sector for Macroeconomic System

Overview of the foreign trade in 2018/2017 in 000 BAM: increase % EXPORT 11.384.774 12.258.275 7,67 IMPORT 18.447.340 19.593.468 6,21 VOLUME 29.832.114 31.851.743 6,77 BALANCE -7.062.566 -7.335.193 3,86 E/I RATIO 61.71% 62,56% 1,37 Sector for Macroeconomic System

Overview of the foreign trade in 2018/2017 in 000 BAM: Sector for Macroeconomic System

Leading countries in the total volume of B&H exchange in 2018 Sector for Macroeconomic System

The most important foreign trade partners in export for 2018 Sector for Macroeconomic System

The most important foreign trade partners of B&H in import for 2018 Sector for Macroeconomic System

Leading partners by export/import ratio in 2018 Sector for Macroeconomic System

Sector for Macroeconomic System GRAPHIC DISPLAY OF EXPORT AND IMPORT (EU, CEFTA, EFTA, OTHER COUNTRIES) 2018 Sector for Macroeconomic System

Sector for Macroeconomic System The volume of foreign trade with the Republic of Croatia in 2018 was 4.649.091.000 BAM, of which export amounted 1.51 billion BAM and the import 3.13 billion BAM. The most exported values are: Electricity 306,68 mil BAM Raw Aluminum 136,71 mil BAM Wood 72,91 mil BAM Seats 53,14 mil BAM Fabrics 45,88 mil BAM The most imported values are: Petroleum oils and oils obtained from bituminous minerals 892,82 mil BAM Chocolate and other food products that contain chocolate 77,37 mil BAM Malt beer 66,40 mil BAM Petroleum gases and others 55,53 mil BAM Portland – cement 53,65 mil BAM Sector for Macroeconomic System

Sector for Macroeconomic System We exported goods to the market of Serbia worth around 1.32 billion KM, which is 14.61% more than last year. From the territory of Serbia, we imported goods worth around 2.65 billion BAM and thereby increased the import by 4.20% compared to the previous year. The most exported values are: Coke and semi-coke of charcoal, brown coal 267,62 mil BAM Electricity 168,55 mil BAM Hot-rolled iron wires 98,33 mil BAM Wood (processed) 59,57 mil BAM Rods of iron or non-alloy steel 43,52 mil BAM The most imported values are: Petroleum oils and oils obtained from bituminous minerals 198,30 mil BAM Oil from sunflower seeds 71,82 mil BAM Corn 67,39 mil BAM Bread, buns, cakes, biscuits and other 65,64 mil BAM Electricity 52,26 mil BAM Sector for Macroeconomic System

Sector for Macroeconomic System In 2018, the volume of trade with Turkey was around 1.07 billion BAM. Export to Turkey amounted over 325 million BAM and was lower by 24.66% compared to the previous year. Import from Turkey increased by 14.78% and amounted around 753 million BAM. Export/import ratio was reduced to 43.2%.   From Russia, import increased by 30.23% compared to the previous year. Foreign trade deficit with Russia amounts around 618 million BAM, export/import ratio was 17.7%, while in 2017 we realized surplus and export/import ratio amounted 101.5%. The reason for the drastic increase is the import of petroleum and oils obtained from bituminous minerals (tariff 2709) in the amount of over 594 million BAM during 2018. The structure of export to the Russian Federation is dominated by medicines (tariff 3004) in the amount of 96.08 million BAM and products of tariff code 0808 - apples, pear, pears in the amount of 21.99 million BAM. Sector for Macroeconomic System

Sector for Macroeconomic System   IMPORT EXPORT INCREASE % Agro-industry sector 3.150.393.873 1.057.182.562 3.122.605.306 879.919.061 -0,88 -16,77 Mineral fuels (coal, coke, gas, oil) and electricity 2.602.438.449 943.154.368 2.872.151.988 1.193.845.225 10,36 26,58 Chem. farm. production. , fertilizer, plastic, caoutchouc, rubber .. 2.896.623.242 1.345.992.307 3.083.352.382 1.440.427.008 6,45 7,02 Stone, calx, cement, concrete, ceramics and products 460.392.840 142.367.582 493.710.857 164.803.734 7,24 15,76 Leather, fur, textiles and products 2.052.266.419 1.495.058.673 2.058.484.214 1.596.557.831 0,30 6,79 Wood, paper and furniture 923.473.897 2.221.903.787 1.022.909.399 2.255.285.205 10,77 1,50 Ores, metals and products 1.981.659.256 2.065.401.216 2.255.282.047 2.376.401.839 13,81 15,06 Machines, appliances, mechanical devices, boilers, vehicles, weapons 4.177.398.149 2.011.963.694 4.457.167.056 2.216.784.770 6,70 10,18 Other various products 202.693.919 101.750.192 227.804.701 134.249.941 12,39 31,94 TOTAL: 18.447.340.042 11.384.774.382 19.593.467.949 12.258.274.614 6,21 7,67 Sector for Macroeconomic System

Sector for Macroeconomic System Despite of the increase, export of B&H is still insufficient compared to developed economies which large part of their consuption satisfy through their own production, as well as below the levels of Central and Eastern European countries. Export is limited to products of low added value that are placed mainly on the EU market. The intensification of the foreign trade of commodity exchange with the world and the increase in exports and imports of goods resulted in foreign trade deficit of 7.33 billion BAM. By industrial branches, the highest growth was recorded in capital production, respectively the production of machines, devices, parts and work resources; then intermediate production; production of electricity, and the smallest percentage is achieved in the production of durable and non-durable consumer goods. Sector for Macroeconomic System

Sector for Macroeconomic System Conclusion: In the structure of foreign trade by sectors, traditionally, the largest volume of trade is realized in the wood and metal sector. Due to the modest production base of mostly resource and labor intensive industrial branches, B&H does not have a sufficiently developed processing industry and becouse of that there is no higher added value of the product. Export growth in recent years, B&H has been realized thanks to the increased growth of export demand and the growth of world prices, rather than a significant structural change within the B&H economy. In 2018, foreign trade with the world continued with a positive pace of export growth. Sector for Macroeconomic System

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