Composition of Dutch trade
Dutch trade with the rest of the world shows a high degree of diversity. This diversity is expressed not only in the types of goods and services traded, but also in the industries and top sectors that trade internationally and where they are located. What is interesting is how imports and exports are broken down by types of goods and services, to what extent they are Dutch-manufactured exports, which industries and top sectors trade many goods and services, how the international traders are geographically spread across the country and how important the various transport hubs (in Dutch ‘mainports’) and the so-called ‘brainport’ (breeding ground for innovation) are.
4.1Key findings
On average, 56 percent of the goods exported in 2018 were Dutch-manufactured. This share increased slightly in the period 2010–2018. The share of Dutch-manufactured goods varies considerably between the groups of goods. Beverages, tobacco and food had the largest shares, while the smallest shares were found in machinery and transport equipment and manufactured goods. Machinery and transport equipment is the largest category here in both imports and exports. In service imports and exports, the two largest categories are business services and the use of intellectual property.
Over 80 percent of goods exports was accounted for by manufacturing and by wholesale and retail trade. The share of Dutch-manufactured goods is highest in the sectors construction, agriculture, mining and quarrying, and manufacturing. It is lowest in the sectors information and communication, consultancy and research, and repair and installation of machinery and equipment. The manufacturing and wholesale/retail trade sectors were also leading in the import of goods. For the export of services, there were several industries that made a significant contribution. The sectors consultancy and research, transportation and storage, information and communication, and wholesale and retail were responsible for more than 70 percent of service exports.
Approximately 39 percent of total goods exports in 2018 were on account of the designated top sectors. The top sectors High Tech and Chemicals accounted for nearly half of the top sector exports. On average, over three-quarters of goods exported by top sectors were Dutch-manufactured. Major differences are seen between the top sectors, however. On average, 87 percent of all goods exported by the Agriculture & Food top sector were Dutch-manufactured, while for the Life Sciences & Health top sector this was only 59 percent. Top sectors account for nearly half of all service exports. In 2017, the two largest top sectors were Logistics and High Tech.noot1 More than 60 percent of top sector service exports was attributable to these two sectors.
In terms of business location, exporters of goods are concentrated in the provinces of Zuid-Holland, Noord-Brabant and Noord-Holland. Together, these provinces export more than 60 percent of the total goods exported. Zuid-Holland mainly exports mineral fuels; in Noord-Brabant and Noord-Holland the emphasis is on the export of machinery and transport equipment. These three provinces also have a number of transport hubs (‘mainports’) and a brainport. For example, Zuid-Holland has the Port of Rotterdam, Noord-Brabant has a technology cluster around Eindhoven while Noord-Holland has Amsterdam Schiphol Airport, the Port of Amsterdam and Amsterdam Internet Exchange. All these mainports and Brainport Eindhoven facilitate external trade. Nearly 14 percent of total Dutch goods exports in 2018 was generated by companies in and around Rotterdam; for the greater Amsterdam region this was more than 13 percent.
The exportation of services is – just as of goods – concentrated in the provinces of Zuid-Holland, Noord-Holland and Noord-Brabant. Together, these three provinces accounted for more than 80 percent of all Dutch service exports in 2017. The mainports and brainport are also important for the export of services. In 2017, for example, nearly 60 percent of the total Dutch export value of services was attributable to the regions of greater Amsterdam and greater Rijnmond and the region in and around Eindhoven.
4.2Goods exports by type of product
Total exports consist of goods and services exported (see Figure 4.2.1). In terms of volume, goods exports far exceed service exports. In 2018, goods exports stood at 496 billion euros while service exports were worth 206 billion euros. This means that goods accounted for over 70 percent of total exports against less than 30 percent services. The bulk of goods exports is attributable to companies that have been exporting year after year. About 16 percent of the companies accounted for 80 percent of goods exports (CBS, 2019). In addition to the companies exporting continuously, there are companies that stopped their export activities and those that started exporting.
Machinery and transport equipment main export goods
The export value of goods is highest for machinery and transport equipment with 142 billion euros being exported in 2018. This made up 29 percent of total goods exports (see Figure 4.2.2). The machinery and transport equipment sector includes telecommunication equipment, data-processing machines, office equipment and motor vehicles. The second largest group was manufactured goods with nearly 101 billion euros in export value, equivalent to 20 percent of total goods exports. Manufactured goods include paper and cardboard, clothing, metals and optical and medical instruments.
On average, 56 percent of goods exported in 2018 were Dutch-manufactured, while the remainder were re-exports. This distinction is important because Dutch-manufactured export goods generate considerably higher returns than re-exports, see Chapter 2.noot2 This share has risen slightly over the years (see Figure 4.2.3). There were two years that saw a slight increase in the share of domestic exports, namely in 2011 and 2015. In those two years, the Netherlands benefitted more from the increase in the growth of world trade.
There were significant differences between the groups of goods in terms of the share of domestic exports, see Table 4.2.4. This was highest for beverages and tobacco, and food. In the period 2010–2018, Dutch-manufactured goods took up a share of 78 percent for beverages and tobacco and 74 percent for food. In the same period, machinery and transport equipment as well as manufactured goods had the lowest domestic shares with an average of 41 and 45 percent, respectively. Manufactured goods include furniture, clothing and measuring instruments.
Share of domestically manufactured goods in % | ||||||||||
---|---|---|---|---|---|---|---|---|---|---|
2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | Average 2010−2018 | |
Food | 74.6 | 74.2 | 74.5 | 74.2 | 74.2 | 73.7 | 73.2 | 72.6 | 72.1 | 73.7 |
Beverages and tobacco | 88.6 | 84.7 | 82.3 | 81.5 | 76.9 | 72.5 | 71.5 | 70.6 | 75.8 | 78.3 |
Inedible raw materials | 65.6 | 67.7 | 67.2 | 69.3 | 69.5 | 70.4 | 73.0 | 71.5 | 70.9 | 69.5 |
Mineral fuels | 73.7 | 69.6 | 62.0 | 58.9 | 66.3 | 69.4 | 66.5 | 60.6 | 60.9 | 65.3 |
Animal and vegetable oils and fats | 79.6 | 79.2 | 71.2 | 68.8 | 67.7 | 71.2 | 68.9 | 66.6 | 62.6 | 70.7 |
Chemical products | 57.9 | 63.8 | 59.9 | 57.7 | 58.0 | 63.2 | 59.7 | 62.4 | 62.2 | 60.5 |
Manufactured goods | 43.7 | 44.3 | 43.7 | 44.5 | 44.0 | 47.6 | 46.7 | 47.7 | 46.2 | 45.4 |
Machinery and transport equipment | 34.5 | 39.4 | 37.8 | 38.5 | 39.5 | 45.1 | 44.4 | 43.7 | 44.7 | 40.8 |
Goods not elsewhere specified | 44.7 | 49.8 | 54.0 | 54.4 | 66.9 | 65.4 | 56.2 | 62.2 | 87.2 | 60.1 |
Total | 53.8 | 56.4 | 54.4 | 53.9 | 54.9 | 57.9 | 56.2 | 55.8 | 55.7 | 55.4 |
In the period 2010–2018, there were shifts in the composition of domestic exports (see Figure 4.2.5). The share of machinery and transport equipment, for instance, increased by 4.6 percentage points, while the share of mineral fuels decreased by 3.7 percentage points. The rising share of machinery and transport equipment was largely attributable to more exports of domestically manufactured passenger cars, trucks and motorcycles; the declining share of mineral fuels to falling exports of petroleum products. Re-exports showed a reverse pattern: the share of mineral fuels increased by 4.4 percentage points, while the share of machinery and transport equipment decreased by 4.9 percentage points. For the fuel sector this was mainly due to petroleum products, while for the machinery and transport equipment sector the fall was due to passenger cars, office equipment and spare parts, and television receivers.
4.3Goods exports by industry
Over 80 percent of goods exports is by manufacturing and wholesale and retail trade
More than 80 percent of total goods exports takes place in the sectors manufacturing and wholesale and retail trade (see Figure 4.3.1).noot3 Within manufacturing, the main exporters are the food industry, the chemical industry and the machinery industry.
Exports by the sector wholesale and retail trade merit an explanatory note. As such, wholesale and retail trade does not normally manufacture goods, but buys the goods from the manufacturer, stores them and then trades them. Wholesalers act as intermediaries for companies that do not themselves export directly. In this role they specifically help small and medium-sized enterprises that lack knowledge of international markets, find it difficult to find international customers and consider the risks associated with trading on international markets too high (Terjesen et al., 2008). In doing so, they enable these companies to benefit from international trade without having to incur the costs of exporting themselves (Bai et al., 2017). However, using intermediaries also has its drawbacks. The drawbacks include the costs involved, the fact that a company has less control over the development of the export volumes and the fact that it learns less from foreign customers because there is no direct contact with them (Hessels & Terjesen, 2007; Bai et al., 2017). The fixed costs of selling through an intermediary in their own country are, however, lower than if a company exports its own goods (McCann, 2013). The direct and intermediary role of wholesalers in Dutch international trade are discussed extensively in the Internationalisation Monitor 2019, third quarter (published in September 2019).
There are major differences between the various industries in terms of their individual shares of domestic exports (see Figure 4.3.2). In 2018, the share of domestic exports was highest in the sectors construction, agriculture, mining and quarrying, and manufacturing. In the manufacturing sector, the industries with more than 85 percent domestic exports include basic metals, paper and cardboard, chemicals, machinery, wood and furniture, food and beverages, and rubber and plastics. However, this share was less than 50 percent for information and communication, and consultancy and research.
4.4Goods exports by top sector
Over three-quarters of top sector goods exports are Dutch-manufactured
Top sectors have been a focal point in the Dutch government’s business policy since 2011. Four factors determined why these sectors were designated as top sectors: the sectors are (1) knowledge-intensive, (2) export-oriented, and (3) in many cases they are governed by specific legislation that (4) (can) make an important contribution to solving social issues (Verhagen et al., 2011). In 2015, for instance, 74 percent of all R&D expenditure was attributable to the top sectors; 39 percent of goods exported came from the top sectors, and the top sectors accounted for a quarter of GDP, see CBS (2017b).
The most recent figures show that approximately 39 percent of the total goods exported in 2018 were on account of the top sectors.noot4 In 2018, the top sectors High Tech and Chemicals stood out with exports worth 59 billion and 40 billion euros, respectively (see Figure 4.4.1). This means that these two top sectors accounted for nearly half of the top sector exports.
Top sectors exported considerably more Dutch-manufactured goods than non-top sectors: 76 percent of the goods exported by top sectors in 2018 were Dutch-manufactured, while this was only 43 percent for non-top sectors. On the other hand, the growth of top sector exports was lower than in overall goods exports. The latter was 3.8 percent per annum on average in the period 2010–2018, against 3.6 percent per annum on average in the top sectors.
However, the top sectors did differ in their share of domestic exports, with the highest share seen in Agriculture & Food. In this top sector, an average of 87 percent of the goods exports were Dutch-manufactured, while for the Life Sciences & Health top sector this was only 59 percent.
4.5Goods exports by exporting region
Over 60 percent of goods exports from Zuid-Holland, Noord-Brabant and Noord-Holland
The location of exporters shows that the export of goods is concentrated in three provinces: Zuid-Holland, Noord-Brabant and Noord-Holland. Together, these provinces export more than 60 percent of the total goods exported. There are, however, differences in the composition of the exports in terms of types of goods (see Figure 4.5.1). Zuid-Holland exports were dominated by mineral fuels; in Noord-Brabant and Noord-Holland the emphasis was on the export of machinery and transport equipment. There was also a difference in the average export value per company between the provinces. The export of goods per business location was the highest in the province of Zuid-Holland (10 million euros) and the lowest in the province of Overijssel (1 million euros).
In the period 2010–2018, there were regional differences in the growth of goods exports (see Figure 4.5.2).noot5 The average growth in goods exported was 3.8 percent per year, while the provinces of Gelderland and Noord-Brabant showed above average export growth, and the provinces of Noord-Holland and Zuid-Holland were just below the national average. When it comes to the other provinces, the average export growth was lowest for Zeeland (1.5 percent) and highest in Friesland (6.6 percent).
Mainport and brainport essential in goods exports
The transport hubs (mainports) serve different purposes in the export of goods. Mainports are transport nodes where important connections and flows of activities converge and then disperse again. Many goods are transported and services provided from these hubs. In addition to being a transport node, the mainports can also serve as a passenger hub, they can attract companies from the same sector or value chain that wish to be located close to each other in order to gain competitive advantages, and they generate turnover for suppliers, see Boekholt et al. (1998).
Mainports thus make a direct or indirect contribution to the Dutch economy (RLI, 2016).noot6 Since the 1980s, specific policies have been pursued to improve the mainports and to strengthen the hinterland connections. In addition to mainports, there is also the so-called brainport, where high-level knowledge is developed and shared.
The three provinces that export the most (Zuid-Holland, Noord-Brabant and Noord-Holland) each have a mainport and/or a brainport. The province of Zuid-Holland, for example, has the Port of Rotterdam, Noord-Brabant has a brainport around Eindhoven with a technology cluster of high-tech companies and high-quality manufacturers, and Noord-Holland has Amsterdam Schiphol Airport, the Port of Amsterdam and a large international internet exchange in Amsterdam (Cybersecurityraad, 2016; NOS, 2015). About 35 percent of all the goods were exported from a mainport and/or brainport. Nearly 14 percent of the total Dutch goods export in 2018 was generated by companies in and around Rotterdam; for the greater Amsterdam region this was more than 13 percent.
With the exception of Groningen, the provinces with a mainport and/or brainport had the highest exports per location, see Table 4.5.3. For the province of Groningen, the high exports were attributable to the export of natural gas. The export of goods per business location was the highest in the province of Zuid-Holland; the figures for Noord-Holland and Noord-Brabant were considerably lower (3 million euros per business location). The mainports in the Rotterdam region had the highest exports of goods, namely 5 million euros per location; for Noord-Holland (mainport) and Noord-Brabant (brainport) this was over 4 million euros.
4.5.3Goods exports by business location, province and mainport, 2018
Export of goods by business location (million euros) | |
---|---|
Zuid-Holland | 10.0 |
Greater Rijnmond area incl. Rotterdam | 5.1 |
Noord-Holland | 3.3 |
Greater Amsterdam region | 4.2 |
Noord-Brabant | 3.0 |
Southeastern Noord-Brabant, incl. Eindhoven | 4.1 |
Groningen | 4.9 |
Limburg | 3.0 |
Flevoland | 2.4 |
Friesland | 2.3 |
Utrecht | 2.2 |
Gelderland | 2.1 |
Zeeland | 1.9 |
Drenthe | 1.8 |
Overijssel | 1.1 |
4.6Service exports by type of service
Business services the largest export category
The other business services was by far the largest category in the exports of services (see Figure 4.6.1). The other business services sector includes research and development (R&D), professional and management consulting services, and technical, trade-related and other business services. Together with the use of intellectual property, the other business services account for more than half of all the exports of services.
The composition of service exports has changed in recent years. In the period 2014–2018, for instance, the share of other business services increased by 3.3 percentage points and the share of transport services fell by 3.0 percentage points. The rise in exports of other business services was almost entirely due to an increase in professional and management consultancy services; the fall in exports of transport services can be accounted for by shipping, aviation and other transport.
4.7Service exports by industry
Export of services highest in transport and storage sector
The sector that exported the most services was transport and storage. However, there were a number of industries that made a significant contribution to service exports. More than 70 percent of service exports were accounted for by four sectors, namely a) consultancy and research, b) transport and storage, c) information and communication, and d) wholesale and retail trade (see Figure 4.7.1). Of these four sectors, the information and communication sector grew the fastest. On average, the growth in this sector was 22 percent per year in the period 2012–2017. On the other hand, the service exports by the wholesale trade sector fell by 2.6 billion euros in the period 2012–2017, a decrease of just under 17 percent. The underlying figures show that this was caused by a decrease in the export of services by IT equipment wholesalers. These services provided by IT equipment wholesalers include software licenses for computers. The manufacturing sector, on the other hand, makes only a small contribution to service exports, with the pharmaceuticals sector exporting the most services. These services are mainly payments for the use of intellectual property, including licenses and royalties.
4.8Service exports by top sector
Top sectors accounted for one-third of exports of services
Top sectors accounted for one-third of total service exports. In 2017, the two largest top sectors were Logistics and the High Tech Systems and Materials (see Figure 4.8.1). Together, these two sectors accounted for 62 percent of service exports by top sectors in 2017. Over 40 percent of the rise in top sector service exports in the period 2012–2017 was attributable to the High Tech sector.
4.9Service exports by exporting region
Over 80 percent of service exports are from Zuid-Holland, Noord-Brabant and Noord-Holland
The three provinces that export the most goods (Zuid-Holland, Noord-Holland and Noord-Brabant) also export the most services. Together, these three provinces accounted for more than 80 percent of all Dutch service exports in 2017.
There were significant differences in the growth of service exports between the provinces in the period 2012–2017 (see Figure 4.9.1). The average growth of service exports was 13 percent in Noord-Holland and Limburg and only 4 percent in Noord-Brabant, for instance.
Amsterdam region the most important region for service exports
The mainports and brainport also help boost the export of services. In 2017, almost 60 percent of total Dutch service exports took place in a mainport and/or brainport region. The Greater Amsterdam region was more important in this respect than the Rotterdam region. In 2017, for example, nearly 40 percent of total Dutch service exports was attributable to companies based in the Greater Amsterdam region and 14 percent to companies based in the Rotterdam region. The three largest service exporting industries in the Amsterdam region are travel agencies, information technology and air transport. The focus of service exports in the Rotterdam region, however, is on very different sectors. The three main service exporting industries here are holdings, warehousing and support activities for transportation, and water transport. In Eindhoven and the surrounding region, the three largest service exporting industries are holdings, information technology and wholesale trade.
The majority of businesses exporting services are located in Noord-Holland, Zuid-Holland and Noord-Brabant. In 2017, the Greater Amsterdam region accounted for more than 70 percent of all service exporters in the province of Noord-Holland, the Rotterdam region for almost half of all service exporters in the province of Zuid-Holland and the The Hague region for 23 percent of all service exporters in the same province. Approximately 35 percent of all service exporters in Noord-Brabant were based in the region in and around Eindhoven.
4.10Goods imports by type of product
Total imports include the import of goods and services (see Figure 4.10.1). In terms of volume, the import of goods far exceeded the import of services. In 2018, goods worth 442 billion euros and services worth 195 billion euros were imported. This means that goods accounted for nearly 70 percent of the total imports while services accounted for about 30 percent of the total imports. A part of these imports were needed to achieve the exports, see Chapter 6.
Machinery and transport equipment also main imported goods
The import of machinery and transport equipment represented the largest category of goods imported, as was the case for the export of goods. Its share of the total import of goods was 31 percent in 2018 (see Figure 4.10.2). The second largest group was that of manufactured goods.
In the period 2010–2018, there were shifts in the composition of goods imports. The largest shifts occurred in chemical products, manufactured goods, food, and machinery and transport equipment industries. The share of manufactured goods, for instance, increased by 1.7 percentage points, the share of foods as well as machinery and transport equipment rose by 1.1 percentage points, while the share of chemical products decreased by 3.1 percentage points (see Table 4.10.3). The increase in imports of manufactured goods was mainly attributable to a rise in imports of medical instruments, clothing, footwear and furniture. For foods the increase was mainly attributable to meat, cheese and curd, maize, nuts and fruits, and cocoa and cocoa products. For machinery and transport equipment the increase was mainly attributable to a rise in the imports of telecommunication equipment, semiconductors, electrical machinery and equipment and parts for tractors, passenger cars and motorcycles. The decline in the imports of chemical products, on the other hand, was mainly attributable to a fall in the imports of medicines and pharmaceutical products. The patents of a major share of the best-selling medicines expired in the period 2013–2015 (Jansen, 2010; Evaluate Pharma Vantage, 2011), which resulted in prices falling sharply.
Share in total imports (in %) | ||||||||||
---|---|---|---|---|---|---|---|---|---|---|
2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | Change between 2010 and 2018 | |
Food | 8.5 | 8.8 | 8.6 | 9.1 | 9.4 | 10.2 | 10.4 | 10.0 | 9.6 | 1.1 |
Beverages and tobacco | 1.0 | 1.0 | 1.0 | 1.0 | 1.0 | 1.1 | 1.1 | 1.0 | 0.9 | −0.1 |
Inedible raw materials | 4.0 | 4.4 | 3.8 | 3.6 | 3.5 | 3.7 | 3.5 | 3.6 | 3.6 | −0.4 |
Mineral fuels | 18.1 | 21.9 | 25.6 | 24.7 | 21.8 | 17.3 | 14.8 | 16.3 | 18.1 | 0.0 |
Animal and vegetable oils and fats | 0.8 | 1.1 | 1.3 | 1.3 | 1.1 | 1.1 | 1.1 | 1.3 | 1.0 | 0.2 |
Chemical products | 15.4 | 12.9 | 12.9 | 13.5 | 13.5 | 13.1 | 13.1 | 12.8 | 12.3 | −3.1 |
Manufactured goods | 21.5 | 21.3 | 19.3 | 19.6 | 20.9 | 23.0 | 23.9 | 23.3 | 23.2 | 1.7 |
Machinery and transport equipment | 30.2 | 28.2 | 27.0 | 26.9 | 28.6 | 30.4 | 31.8 | 31.4 | 31.3 | 1.1 |
Goods not elsewhere specified | 0.5 | 0.5 | 0.5 | 0.4 | 0.2 | 0.3 | 0.3 | 0.3 | 0.1 | −0.4 |
4.11Goods imports by industry
Trade and the manufacturing industry accounted for more than 80 percent of import of goods
More than 80 percent of goods imports in 2018 were accounted for by two sectors: the wholesale and retail trade and the manufacturing sector. Of the total 442 billion euros worth of goods imported, goods worth 168 billion euros were imported by wholesalers and retailers, and some 100 billion euros worth of goods by the manufacturing industry (see Figure 4.11.1). Here, too, wholesalers act as an intermediary between international suppliers and domestic users. Worth mentioning is that the share of the transport and storage sector in the import of goods fell by 8.4 percentage points in the period 2010–2018.
4.12Goods imports by top sector
Nearly half of the goods were imported by top sectors High Tech and Chemicals
The share of goods imported by top sectors dropped from 41 percent in 2010 to 34 percent in 2018. Slightly more than half of the imports by top sectors in 2018 were attributable to the High Tech sector on the one hand and Chemicals on the other. The development of goods imports varied considerably among the top sectors. Imports increased gradually for the High Tech and Agriculture & Food sectors (see Figure 4.12.1).noot7 However, for Chemicals, imports rose by 57 percent from 2010 to 2013, but then fell by 42 percent in the period up to 2016. The underlying figures show that this development was caused by the import of oil and oil products. It is worth mentioning that imports by the Logistics top sector fell sharply in the period 2011–2012. More than 60 percent of this decline was attributable to data-processing machines, telecommunication equipment, petroleum products, office equipment, and alcohol and related substances.
4.13Goods imports by receiving region
Over 60 percent of goods imported by Zuid-Holland, Noord-Brabant and Noord-Holland
The three provinces that export the most goods (Zuid-Holland, Noord-Holland and Noord-Brabant) also import most of the goods. Together, they accounted for more than 60 percent of total Dutch goods imports in 2018.
On average, the import of goods grew by 3.8 percent per year in the period 2010–2018. However, there were major differences in growth between the provinces (see Figure 4.13.1). Imports by the provinces of Utrecht and Gelderland grew the fastest, while the three provinces that imported the most saw their imports grow more slowly than the national average.
Nearly 14 percent of total Dutch goods imports was accounted for by companies based in Greater Amsterdam and 17 percent by companies based in the Rotterdam region. Companies based in Greater Amsterdam accounted for about 75 percent of goods imported by the province of Noord-Holland. In Zuid-Holland, the Rotterdam region accounted for two-thirds of the imports by Zuid-Holland and the Eindhoven region for one-third of the imports by Noord-Brabant.
The number of business locations that import goods was successively the highest in Overijssel, Noord-Brabant and Noord-Holland. The average of imports per business location was highest in Zuid-Holland (5.7 million euros) and lowest in the province of Overijssel (0.4 million euros).
4.14Service imports by type of service
Business services largest import category
As was the case for exports of services, the category ‘other business services’ was also the largest category for the imports of services (see Figure 4.14.1). Together with the use of intellectual property, the other business services account for more than half of all the imports of services. There was also a change in the composition of services imported. The share of other business services increased by 5.9 percentage points, while the share of the use of intellectual property fell by 4.0 percentage points and travel decreased by 2.1 percentage points in the period 2014–2018. The rise in imports of other business services was attributable almost entirely to professional and management consultancy services; for travel, the decrease was largely attributable to private travel.
4.15Service imports by industry, top sector and receiving region
Largest increase in imports of services in manufacturing sector
Imports of services were concentrated in three sectors, namely a) manufacturing, b) wholesale and retail trade and c) consultancy and research. Approximately 70 percent of the imports were attributable to these three sectors. The largest rise in imports of services took place in the manufacturing sector in the period 2012–2017; in 2017, imports of services were nearly 20 billion euros higher than in 2012. As was the case for exports of services, the imports of services by wholesalers fell; in 2017, the value of imports was 2 billion euros lower than in 2012, a decrease of 8 percent.
Top sectors account for one third of service imports
Nearly a third of all imports of services are attributable to the top sectors. The High Tech sector has been the fastest growing contributor to the total of top sector service imports. Their share was less than 20 percent in 2012, but rose beyond 40 percent in 2017. The High Tech sector was also pivotal in the rising imports of services by top sectors: almost 70 percent of this rise in the period 2012–2017 was on account of High Tech.
Over 80 percent of services imported by Zuid-Holland, Noord-Holland and Noord-Brabant
The three provinces that exported the most services (Zuid-Holland, Noord-Holland and Noord-Brabant) are also the largest importers of services. Together, these three provinces accounted for over 80 percent of all service imports into the Netherlands in 2017. The majority of businesses that import services are also located in these three provinces.
As was the case for imports of goods, the Rotterdam and Amsterdam regions are also important for service imports. In 2017, for example, 47 percent of total Dutch service imports were attributable to companies based in the Amsterdam region; for the Rotterdam region this was 12 percent. Service imports In the Amsterdam region grew sharply in the period 2012–2017 with an average annual growth rate of 14 percent.
The number of business locations that import services is successively the highest in Noord-Holland, Zuid-Holland and Noord-Brabant. The average of imports per business location is highest in Noord-Holland (4.1 million euros), followed by Zuid-Holland (1.9 million euros). This average is lowest in the province of Friesland (0.4 million euros).
4.16References
References
Bai, X., Krishna, K. & Ma, H. (2017). How you export matters: Export mode, learning and productivity in China. Journal of International Economics, 104, 122–137.
Boekholt, P., Plasmeijer, R., Bilderbeek, R., Hertog, P. den & Broek, M. van den (1998). Mainports: schakel tussen Nederlandse clusters en internationale netwerken, Technopolis en Dialogic.
CBS (2015). CBS import and export figures Statistics Netherlands: The Hague/Heerlen/Bonaire.
CBS (2017a). Monitor topsectoren 2017: Methodenbeschrijving en tabellenset, Statistics Netherlands: The Hague/Heerlen/Bonaire.
CBS (2017b). Topsectoren goed voor een kwart van het bbp, Statistics Netherlands: The Hague/Heerlen/Bonaire.
CBS (2018). Monitor topsectoren 2018: Methodenbeschrijving en tabellenset, Statistics Netherlands: The Hague/Heerlen/Bonaire.
CBS (2019). Internationaliseringsmonitor 2019, tweede kwartaal: Patronen in handelsgedrag. Statistics Netherlands: Heerlen/The Hague/Bonaire.
Cieślik, A. & Michalek, J.J. (2018). Firm-level determinants of direct and indirect exports: empirical evidence for C.E.E. and M.E.N.A. countries. Economic Research-Ekonomska Istraživanja, 31(1), 982–996.
Cyber security council (2016). De economische en maatschappelijke noodzaak van meer cybersecurity: Nederland digital droge voeten. Consulted on 17 June 2019.
Evaluate Pharma Vantage (2011). Patent storm gathering strength. Evaluate group. Consulted on 3 June 2019.
Hessels, J. & Terjesen, S. (2007). SME Choice of Direct and Indirect Export Modes: Resource Dependency and Institutional Theory Perspectives. SCALES, Zoetermeer.
Jansen, R. (2010). Weblog MSD: ‘Besparen, besparen, besparen’. Consulted on 29 May 2019.
NOS (2015). Enorme groei dataverkeer via Nederland. Consulted on 17 June 2019.
McCann, F. (2013). Indirect exporters. Journal of Industry, Competition and Trade, 13(4), 519–535.
RLI (2016). Mainports voorbij. Raad voor de Leefomgeving en infrastructuur. Consulted on 11 June 2019.
Terjesen, S., O’Gorman, C. & Acs, Z.J. (2008). Intermediated mode of internationalization: new software ventures in Ireland and India. Entrepreneurship & Regional Development, 20(1), 89–109.
Verhagen, M.J.M, Weekers, F.H.H. & Zijlstra, H. (2011, 13 september). Bedrijvenbeleid [Kamerbrief]. Consulted on 11 June 2019.
Noten
The 2017 figures for the international trade in services are the most recent figures available at company level, which means that 2017 is the latest available year in paragraphs 4.7-4.9 and 4.15.
The figures presented in this chapter are based on the International Trade in Goods statistics. These figures differ from those in Chapter 2. Chapter 2 uses figures taken from the National Accounts. In the National Accounts, the figures from International Trade are adjusted for completeness and conceptual differences so as to comply with the international requirements for National Accounts; furthermore, integration in the National Accounts results in additional differences. This means that the figures in this chapter cannot be compared with those in Chapter 2. For more information on these differences, see ‘De in- en uitvoercijfers van het CBS’ (Import and export figures published by CBS) (CBS, 2015).
The value of both the import and export of goods is based on BTW (Dutch VAT) units. In order to link this information to the Business Demographic Framework (BDK in Dutch), the observed BTW unit must first be linked to the General Business Register (ABR in Dutch). The branch of industry to which a business unit belongs is determined by the link to the ABR. Between 70 and 75 percent of the value can be linked when linking a business unit to the ABR. This is because foreign companies do not appear in the ABR and customs authorities sometimes receive anonymous export declarations. The linked business units are not necessarily representative of the branch.
The 2016 top sector classification was used for 2017 and 2018 because it was not available for these two years. This could mean that the levels are somewhat underestimated.
Figure 4.5.2. shows the growth for the provinces with the largest volume of exported goods. The figures for the other provinces can be found in the set of tables elsewhere in this publication.
To express the importance of the Port of Rotterdam, Amsterdam Schiphol Airport and the technology cluster around Eindhoven for the Netherlands in terms of GDP, we should have regional accounts at COROP level. There are approximately 40 COROP regions in the Netherlands, however, there are no such regional accounts. Furthermore, to map out the relationship between a mainport and/or a brainport and the other regions and sectors, input-output tables would need to be drawn up at this level. This would also make it possible to address them from a value chain perspective. That would be an alternative demarcation method. This falls outside the scope of this publication.
Due to a change in the classification of the categories of the logistiek.nl members list, the group of companies selected for the logistics top sector for the reporting years 2010 and 2011 differs slightly from the companies selected for the reporting years after 2012 (CBS, 2018). This accounts for a small break in the trend for some indicators.