The value of exported goods from Iceland amounted to 61.4 billion ISK fob in October 2020 and the value of imported goods amounted to 68.6 billion ISK fob (74.2 billion ISK cif). Thus, there was a trade deficit, calculated on fob value, of 7.1 billion ISK as compared with a trade deficit of 0.8 billion ISK in October 2019 at current rates of exchange. The trade balance in October 2020 was therefore ISK 6.3 billion less favorable than the same time last year. Trade in ships and aircraft had a negligible impact on the trade balance in October 2020. There was also a deficit in balance of trade is goods for the period January-October 2020 of 89.8 billion or 9.4 billion lower than for the same period the year before.
Decrease in exports revenue
The total value of exports of goods in the first ten months of 2020 was 510.6 billion ISK, 36.2 billion ISK lower (6.6%) than in the same period the year before at current rates of exchange.1 This decrease in exports is mainly due to transactions with ships and aircrafts in January 2019. Manufacturing products contributed 48.2% of the total exports and their value was 4.8% lower than in the same period in 2019. Marine products contributed 43.9% of total exported goods which value was 0.1% higher than in the same period in 2019.
Value of imports 45.6 billion ISK lower
The total value of imports of goods was 600.4 billion ISK in the first ten months of 2020, 45.6 billion ISK lower (7.1%) than in the same period in 2019 at current rates of exchange. Imports decreased in nearly every category, except for consumer goods.
Revision of external trade statistics
Statistics Iceland has changed the procedure of revisions of external trade statistics in such a way that, in addition to the traditional publication of preliminary and final data for trade in goods and services, that time series will undergo benchmark revision every fifth year. Changes due to improved data, newer or revised estimation methods or classifications, will be implemented as necessary. In this publication the results of the first major revision are published. In order to be in line with other European countries the next major revision is planned for 2024 and every five year thereafter.
Trade in goods
The goal of the revision of trade in goods was to implement corrections to older series and update data according to the IMTS 2010 manual and older versions. Correction to older series included an increase of exports by 22.1 billion ISK because of lack of customs declarations (2018-2019), of errors in customs declarations (1999-2019) and because of custom declarations that Statistics Iceland did not receive (2014-2019). These additions affected marine products the most. New customs declaration was implemented by the Customs Authorities in 2019. Preliminary data from the new customs declarations was implemented, 4.3 billion ISK in 2019 and 24 billion ISK in 2020. An update is expected as more complete data becomes available.
Regarding the update of data according to manuals, imported or exported waste and scrap is now included in trade in goods (1999-2020). That change has effects in weight but less in value. Also, undersea communication cables were added to imports in 2004 and 2009 of total value of 16.1 billion ISK. Incomplete information in customs declarations resulted in the fact that other goods that should be included, for example migrants effects and gifts, could not be included this time.
| The value of exports and imports in January-October 2019 and 2020 | |||
| Million ISK at current exchange rate | Change on prev. year at current exchange rates % January-October | ||
| January-October | |||
| 2019 | 2020 | ||
| Exports fob, total | 546,778.5 | 510,558.4 | -6.6 |
| Marine products | 223,780.0 | 224,083.5 | 0.1 |
| Agricultural products | 23,959.7 | 27,496.3 | 14.8 |
| Manufacturing products | 258,666.7 | 246,126.3 | -4.8 |
| Other products | 40,372.1 | 12,852.3 | -68.2 |
| Imports fob, total | 646,040.8 | 600,405.2 | -7.1 |
| Food and beverages | 61,602.7 | 62,408.7 | 1.3 |
| Industrial supplies n.e.s. | 186,142.5 | 177,222.3 | -4.8 |
| Fuels and lubricants | 81,051.7 | 47,056.3 | -41.9 |
| Capital goods (except for transport) | 142,514.1 | 132,457.7 | -7.1 |
| Transport equipment | 87,505.9 | 82,142.8 | -6.1 |
| Consumer goods n.e.s. | 86,849.6 | 98,591.1 | 13.5 |
| Goods n.e.s. | 374.3 | 526.3 | 40.6 |
| Balance of trade | -99,262.4 | -89,846.8 | |
1 Statistics Iceland does no longer publish trade in goods at constant exchange rates. The breakdown of trade in goods by currencies is available on Statistics Iceland’s website.
Monthly figures of external trade for current year are revised together with the release of figures for new months. Annual figures are published in the first half of the year after the end of the reference year. The figures are considered as final at that point in time unless subject to future revisions.