Notes on Imports from Colombia.

Imports in Colombia exceed exports, which results in a negative trade balance according to official sources of information. This note will briefly present some characteristics of these imports.

Imports in the country show that cereals are the main ones in the category of agricultural products and represent 32% within that group. It is followed by animal feed with 14%, oils with 8.5%, legumes with 7% and coffee and tea with 5%.

On the other hand, petroleum derivatives are the main ones in the fuel category with 84% and machinery and chemical products in the industry category with 73%.

The above products are imported mainly from the United States with 26%, followed by China with 24% and Brazil with 6%. The rest of the countries are 44%. From the United States, gasoline and diesel oil stand out, accounting for 27% of the total, followed by corn with 11%. From China a large number of articles are brought where cell phones stand out 10%. Brazil also provides a variety of items, including vehicles 19%.

From all of the above, the following can be observed. Cereals imported in times of low prices are convenient for the country, but now that world prices are high, national productivity should be increased so that with lower domestic prices and higher production they put downward pressure on domestic inflation. At the same time, the hectares of crops could be increased, for which consensus must be reached between the agricultural and livestock sectors regarding land use. Also through public policy that contributes to this purpose.

There is also within the agricultural sector, although in lower value, imported coffee for most of the internal consumption, which comes from neighboring countries and Vietnam since Colombian Coffee goes mostly for export due to the external and internal price differential.

In oil derivatives, which is mainly gasoline, the country must refine sufficient quantities to meet domestic demand, since it produces to export oil as the main product, but further refining would replace fuel imports, especially in times of high prices.

Regarding machinery, the main imported product since it is 7 times the import of cereals and 3 times that of gasoline, it is reflecting the little progress in the country's industrialization compared to oil refining and agricultural products in terms of satisfaction of domestic consumption, which are also lower. The country has to import the machinery it requires in the absence of domestic production. It also shows the country's dependence on bringing machinery at competitive prices that is lagging behind in national production.