International Trade
International trade for such a small country as Lithuania is crucial. The ratio of foreign trade to GDP has always been at least 100%, and for the last several years exceeded it.
The EU is the biggest trade partner of Lithuania with a 58% of total imports and 64% of total exports during the first ten months of the year 2009. The Commonwealth of Independent States is the second economic union that Lithuania trades the most with, with a share of imports of 34% and a share of exports of 23% during the same period. The vast majority of commodities, including oil, gas and metals have to be imported, mainly from Russia. For this reason, Russia is the biggest import partner of Lithuania.
The import of mineral products has a significant share of 30%, as Lithuania has an oil refinery company owned by Polish concern PKN ORLEN, ORLEN Lietuva, with a refining capacity of 9 million tons a year. The revenues of the company were more than LTL 17 billion (EUR 4.9 billion) in 2008. Orlen Lietuva received 78% of its sales or LTL 13.7 billion (EUR 4 billion) from foreign markets in comparison with total export of Lithuania of LTL 55.5 billion (EUR 16.1 billion) in 2008.
Some sectors are directed mainly at export markets. Transport and logistics export 2/3 of their products and/or services; the biotechnology industry exports 80%; plastics export 52%; laser technologies export 86%; metal processing, machinery and electric equipment export 64%; furniture and wood processing export 55%; textile and clothing export 76%; and the food industry exports 36%.
The total value of natural resources in Lithuania reaches LTL 58 billion (EUR 16.8 billion) or 50% of Lithuania's GDP in 2008. The most valuable natural resource in Lithuania is subterranean water, which constitutes more than a half of the total value of natural resources.
| Country | Import | Country | Export |
|---|---|---|---|
| EU | 55.9% | EU | 61.4% |
| Russia | 32.8% | Russia | 16.6% |
| Germany | 9.7% | Latvia | 10.2% |
| Poland | 9.1% | Germany | 9.3% |
| Latvia | 6.6% | Poland | 6.9% |
| Netherlands | 4.9% | Estonia | 6.6% |
| Sweden | 3.3% | Netherlands | 6.1% |
| Italy | 3.2% | Belarus | 5.2% |
| Belgium | 3.1% | United Kingdom | 4.1% |
| Estonia | 2.8% | France | 4.1% |
| Belarus | 2.5% | Sweden | 3.6% |
| Combined Nomenclature | Export | Combined Nomenclature | Import |
|---|---|---|---|
| Mineral products | 21.6% | Mineral products | 29.7% |
| Machinery and mechanical appliances; electrical equipment | 9.8% | Machinery and mechanical appliances; electrical equipment | 12.6% |
| Products of the chemical industries | 9.3% | Products of the chemical industries | 12.4% |
| Prepared foodstuffs; beverages and tobacco | 7.1% | Vehicles and transport equipment | 6.4% |
| Plastics; rubber and articles thereof | 6.9% | Prepared foodstuffs; beverages and tobacco | 5.9% |
| Textiles and textile articles | 6.7% | Textiles and textile articles | 5.2% |
| Vehicles and transport equipment | 6.6% | Base metals and articles of base metal | 5.0% |
| Miscellaneous manufactured articles | 6.4% | Plastics; rubber and articles thereof | 4.6% |
| Vegetable products | 6.3% | Vegetable products | 4.3% |
| Live animals; animal products | 5.7% | Live animals; animal products | 3.6% |
Read more about this topic: Economy Of Lithuania
Famous quotes containing the word trade:
“I doubt if men ever made a trade of heroism. In the days of Achilles, even, they delighted in big barns, and perchance in pressed hay, and he who possessed the most valuable team was the best fellow.”
—Henry David Thoreau (1817–1862)