Share of manufactured goods in total merchandise exports

(a)     Name:  Shared of manufactured goods in total merchandise exports.
(b)     Brief Definition:  This indicator is defined as the percentage share
of manufactured goods in total merchandise exports.
(c)     Unit of Measurement: %. 

(a)     Agenda 21:  Chapter 2:  International Cooperation to Accelerate
Sustainable Development in Development Countries and Domestic Policies.
(b)     Type of Indicator:  State.

(a)     Purpose:  The indicator is meant to represent one aspect of
international cooperation, namely a country's access to and participation in
the global markets for manufactured goods.

(b)     Relevance to Sustainable/Unsustainable Development:  The significant
and growing presence in the global markets for manufactures is one element
significant to sustainable development of a country. Largely stable earnings
from exports of manufactures are an important source of resources for
investment in sustainable forms of development.  However, export strategies
must be considered within the context of domestic development priorities. 
Trends in the indicator are important for individual countries and for cross-
country comparisons.

(c)     Linkages to Other Indicators:   The indicator is closely linked to
other economic indicators especially in the areas of international cooperation
and changing consumption patterns.  Such indicators would include Gross
Domestic Product (GDP) per capita, and the share of manufacturing value added
in GDP.

(d)     Targets:  No specified targets have been established for the
attainment of this indicator.

(e)     International Conventions and Agreements:  There are no international
conventions or agreements related to this indicator.

(a)     Underlying Definitions and Concepts:  The elements of the indicator
that require definition are  the total value of merchandise exports; and the
value of exports of those product categories that can be considered to form
the trade equivalent to production of manufactured goods.  The first element
is uniformly defined in international trade statistics. For the second
element, the following sub-categories from the Standard International Trade
Classification (SITC) are relevant:  chemicals (SITC code 5); manufactured
goods chiefly classified by material (SITC  code 6);  excluding non-ferrous
metals (SITC  code 68); machinery and transport equipment (SITC code 7); and
miscellaneous manufactured articles (SITC code 8).  The basic concepts
involved in the definitions of the two elements are readily available from
standard documentation on international trade statistics (see section 7
below).

(b)     Measurement Methods:  Since the indicator is based on detailed
international trade statistics, measurement issues relate to general
international trade statistics (see references in section 7 below).

(c)     The Indicator in the DSR Framework:  In terms of the DSR framework the
indicator generally characterizes the state of access to export participation
in global markets for manufactured goods.

(d)     Limitations of the Indicator:  Care must be exercised in the
interpretation of this indicator within the context of overall development
priorities.  As with any attempt to classify manufactured goods, limitations
arise from imprecisions in the present definitions of the SITC.

(a)     Data Needed to Compile the Indicator: Only summary international trade
statistics are needed to compile the indicator.

(b)     Data Availability: The data described under 4a above are available at
the national level for most countries on a regular basis, and in a form that
allows for meaningful international comparisons. 

(c)     Data Sources: The primary international source for time series of
internationally comparable data are the United Nations trade tapes. The most
recent country information can usually be obtained from national statistical
institutions.

The lead agency is the United Nations Industrial Development Organization
(UNIDO).  The contact point: is the Chief, Industrial Statistics Branch,
Information and Research Division, UNIDO; fax no. (43 1) 232 156.

(a)     Further Readings:

Forstner H. and R. Ballance. Competing in a Global Economy, An Empirical Study
on Specialization and Trade in Manufactures.  London, Unwin Hymann, 1990.

UNIDO International Comparative Advange in Manufacturing, Changing Profiles
of Resources and Trade.  Sales No. E.85.II.B.9.  1986.

UNIDO. Changing Patterns of Trade in World Industry, An Empirical Study on
Revealed Comparative Advantage.   Sales E.82.II.B.1.  1984.

(b)     Other References:

Commodity Indexes for the Standard International Trade Classification.
Revision 2, Statistical Papers, Series M No.38/Rev.  United Nations
Publication, Sales No. E.81.XVII.3.

(c)     Status of the Methodology:

The methodology for international trade statistics relevant to the present
indicator has been agreed to by numerous intergovernmental fora.

LEAD AGENCY: UNIDO