Non-oil exports by Saudi Arabia rose 34 percent in 2011 to SR157.5 billion ($ 42 billion) compared to the previous year, led by SR119 billion in exports of chemical products, plastics and rubber, the Saudi Customs Authority said in its annual report Saturday.

Imports amounted to SR495.6 billion, the customs agency said, in a statement carried by the state press agency.

Machinery, appliances and electrical equipment made up the biggest group of imports by value, the report said.

Saudi Arabia imported SR65 billion of goods from China, SR62 billion from the United States, and SAR34 billion from Germany - the top three exporters to the Kingdom.

The top three recipients of non-oil goods from Saudi Arabia were China, the United Arab Emirates and Singapore, with SR22 billion, SR17 billion, and SR11 billion, respectively.

Al Rajhi Capital said earlier in its May Economic Report that the Saudi compounded annual growth rate (CAGR) of non-oil export was 12.3 percent during the period of 1985-2000 which jumped to 20.4 percent during 2001-2010.

On the other hand, growth rates in oil export and total export have been lower compared to growth in non-oil export in both periods. Oil export grew at CAGR of 5 percent during 1985-2000 and at CAGR of 17.4 percent during 2001-2010. Growth in the total export was 5.4 percent and 17.7 percent during 1985-2000 and 2001-2010 periods, respectively.

Even though growth rate of non-oil export has been higher compared to that of oil export, volatility in non-oil export has been lower. The volatility measured in terms of standard deviation of annual growth rates shows that volatility in non-oil growth was almost 5 percent less than that of total export and 9 percent less than that of oil export during 1985-2001, Al Rajhi Capital said.

The countyr’s Central Department of Statistics said earlier that the Saudi non-oil exports rose 31 percent in 2011 to SR176.6 ($ 47.1 billion) compared to 2010.

Petrochemicals and plastics combined accounted for SR114.9 billion.
By volume, 2011 exports rose by five percent on the year.
The largest export markets for Saudi goods were China, the United Arab Emirates (UAE), Singapore and India.

Accession to the World Trade Organization has given the Kingdom’s export effort a huge boost in particular by enhancing the competitive advantages enjoyed by the Saudi petrochemical industry and strengthening its position in international markets.

Removal of trade barriers in the EU, US and Japanese markets as a result of membership of is allowing Saudi petrochemical producers to offer substantially lower prices for polystyrene, PVC and polypropylene and other products to previously tariff-protected markets