Economy recovers from US trade deficit

ZIMBABWE recorded a trade surplus of $32 million in its trade with the United States in the first nine of the 2013, official data shows.
The figures show a recovery from a deficit of $8,7 million in the same period last year.
Relations between the two countries have been frosty over the years after they differed over land reforms undertaken by Zimbabwe in 2000.

The US opposed the reforms, and slapped Zimbabwe with illegal economic sanctions.
The embargo, coupled with that imposed by the European Union, has contributed to the decline in Zimbabwe’s economy.

Statistics from the US Department of Commerce for the first three quarters of the year show that Zimbabwe exported goods worth S$42,7 million.

In return, it imported goods worth S$11 million, leaving a surplus of $31,7 million.
Zimbabwe’s major exports to the US are minerals such as nickel and agricultural products including spices, coffee and tea, tobacco as well as hides and skins.

Imports on the other hand include machinery, pharmaceutical products, vehicles and medical equipment.
Zimbabwe was ranked the United States’ number 168 largest trading partner in 2012.

With Zimbabwe’s economy virtually at a standstill and production going down, the country has in the last few years relied on imports for its sustenance.

This has resulted in a widening negative balance of trade, estimated at $2,4 billion in the first half of the year – New Ziana.