Contribution of re-exports doubled over past 20 years

13/10/2016 15:05
Re-exports of goods have become increasingly important for the Dutch economy over the past decades. The contribution of re-exports to the gross domestic product (GDP) has nearly doubled in the past twenty years from 2.0 to 3.8 percent. According to Statistics Netherlands (CBS), re-exports have grown more rapidly during the past two decades than exports of Dutch-produced goods.
The term re-exports refers to goods imported by a Dutch resident and subsequently exported without having undergone any significant industrial processing. These goods are not manufactured in the Netherlands. Still, the Netherlands earns money from the re-export of goods, for example, from resale, re-packaging, storage and transport. The value of re-exported goods totalled 230 bn euros in 2015; the Netherlands earned 26 bn euros.
The value added per euro of re-exported goods was 11 euro cents, versus 9 euro cents in 1995. Evidently, the value added per euro of re-exported goods is lower than for domestically manufactured goods. The value added of goods produced in the Netherlands was significantly higher (57 cents per euro of exported goods) in 2015.
Contribution re-exports of goods to GDP

Re-exports grow faster than exports of domestically manufactured goods

The flows of re-exported goods have increased substantially in the past two decades. The value of re-exported goods had tripled in 2015 relative to 1995. The value of exports of goods manufactured in the Netherlands doubled between 1995 and 2015 to nearly 200 bn euros. The share of re-exports in Dutch exports of goods rose from 42 percent in 1995 to 54 percent in 2015.
Export value of goods

Re-exports most profitable for wholesale trade

Re-exports are most profitable for the sector wholesale trade. With 13.5 bn euros, wholesale accounts for more than half of value added of re-exports. Other sectors, like road haulage (1.4 bn euros), holding companies and management consultancy agencies (1 bn euros) and storage and transport (0.9 bn euros) also earned from the re-export of goods. The sector holding companies and management consultancy agencies is not engaged in re-exports, but earns money from re-exports indirectly, in its role as supplier of goods to the wholesale sector. Compared to 1995, the sector IT services was the only new entry in the top ten in 2015 in terms of earnings from re-exports.
Re-exports mainly include machinery and transport equipment, chemical products and manufactured goods to other EU countries. The Netherlands earns most from re-exports to Germany (6.5 bn euros), the United Kingdom (2.8 bn euros), Belgium (2.6 bn euros) and France (2.5 bn euros). The first non-EU country is the United States in 10th place, earnings from re-exports to the US amount to 600 million euros.
Earnings from re-exports of goods