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The value of the global merchandise exports of the Least Developed Countries (LDCs) dropped by 4.60 per cent to US$ 256 billion last year from US$ 269 billion in 2022.
The drop made the share of LDCs in world exports at 1.10 per cent last year which was almost similar in 2022.
Merchandise imports of LDCs also dropped to $316 billion from $355 billion during the period under review. Thus merchandise imports of the LDCs declined by 11.0 per cent.
As a result, the share of LDCs in world imports dropped from 1.45 per cent in 2022 to 1.30 per cent in 2023.
Global Trade Outlook and Statistics, released by the World Trade Organization (WTO) in the second week of this month, unveiled the statistics.
It also showed that the rate of decline in LDCs goods exports in value terms in the last year was roughly equal to the decline at the world level.
The value of world merchandise trade, measured by exports, declined by 5 per cent to US$ 23.78 trillion in 2023.
As merchandise imports of LDCs declined more than their exports, the collective goods trade deficit of LDCs dropped to $60 billion in the last year from $87 billion in 2022.
“The impact of the 2023 trade slump on LDCs is a matter of concern since these countries have limited resources to deal with global economic shocks,” said the WTO report.
“The drop in merchandise exports of LDCs last year was in 19 line with the decline at the world level, but the contraction on the import side was larger, limiting consumption possibilities for LDCs,” it added.
The preliminary estimate of the WTO also showed that the LDC oil exporters recorded large merchandise trade surpluses in both 2022 (US$ 24 billion) and 2023 (US$ 14 billion). Other groups of LDCs experienced trade deficits last year, ranging from US$ 36 billion for countries that mostly export agricultural products to US$ 4 billion for ones that primarily export non-fuel minerals.
Meanwhile, Bangladesh was the top merchandise exporter in the LDC group in the last year as like 2022 when it covered 20 per cent of all LDCs' exports.
The country’s merchandise exports increased by only 2 per cent to $55.80 billion in the last year from $54.70 billion in the previous year. Merchandise imports dropped by 24 per cent in 2023 to $67 billion from $88 billion in 2022.
Thus the overall trade in goods of Bangladesh dropped to around $123 billion in the last year, a fall by 14 per cent from $143 billion in 2022, according to the statistics available with the country’s central bank.
Again, The volume of the global merchandise exports of the LDCs, increased by 2.7 per cent in the last year, after posting a higher 4.10 per cent growth in the earlier year of 2022.
The combined merchandise imports of the LDCs in terms of volume also posted a higher 6.0 per cent growth in 2023 after a decline of 3.50 per cent in the earlier year.
There are 45 LDCs of which 35 are now WTO members. Again, 15 of the 45 LDCs are now at various stage of graduation from the United Nations (UN) defined category. Bangladesh is set to be graduated from the category by the end of 2026.