Tech Exports Implode as Trade Deficit Balloons

YERUSHALAYIM -
A scene at EMC2 company, an Israeli provider of storage hardware solutions that promote data recovery and improve cloud computing. The sector took a severe blow in exports. (Nati Shohat/Flash90)
A scene at EMC2 company, an Israeli provider of storage hardware solutions that promote data recovery and improve cloud computing. The sector took a severe blow in exports. (Nati Shohat/Flash90)

A steep drop in high-tech exports was the most unsettling part of a growing trade deficit, Globes reported, citing the Central Bureau of Statistics’ latest update on Israel’s import-export figures, issued Tuesday.

The Central Bureau of Statistics reports that there was a 15.5 percent decrease in high-tech exports, along with a 4.1 percent slump in imports of consumer goods in September–November this year, compared with the corresponding period last year. Israel’s trade deficit in November was NIS 2.7 billion.

The deficit in trade of goods (excluding ships, airplanes, diamonds, and energy materials) since the beginning of the year topped off at 28.9 billion shekels, versus a 4.5 billion deficit in the same period during 2015.

Trade in goods during November was buffeted by fluctuations in the exchange rate of the shekel against the currencies in which import and export deals are conducted.

The shekel fell 0.6 percent against the dollar and 1.4 percent against the pound sterling last month. On the other hand, the shekel rose 1.4 percent against the euro, 3.4 percent against the Japanese yen, and 0.6 percent against the Swiss franc.