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The Honolulu Advertiser
Posted on: Saturday, February 9, 2008

Honolulu exports surged 27% in 2006

By Curtis Lum
Advertiser Staff Writer

Hawaii news photo - The Honolulu Advertiser

A U.S. Commerce Department report showed Hawai'i crop exports, which include papaya, pineapple, coffee and macadamia nuts, totaled $10.3 million in 2006, up from $9.5 million in 2005. The report did not include the value of bottled deep-sea drinking water, the state's fastest-growing locally produced export.

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The value of merchandise exported from Honolulu rose to $266 million in 2006, a 27 percent increase from the previous year, according to a new report from the U.S. Commerce Department.

Honolulu accounted for 81 percent of the value of all exports from the state in 2006, up from the 76.4 percent a year earlier, the report said. As expected, Asia accounted for the greatest export value in 2006 at $144 million.

These were just a few of the results of the Metropolitan Export Series report. The report included merchandise export values of 369 metro areas and included data on each city's top five export categories by value, export value for the top 10 major geographic and economic country groups, and the top five merchandise export destinations by country.

Seven metro areas posted export sales of $25 billion or more in 2006 and these areas were responsible for 30 percent of the total U.S. merchandise exports that year, the report said. Another 30 areas exported between $5 billion and $24 billion.

The New York-Northern New Jersey-Long Island metropolitan area was the nation's top exporting area in 2006 with $66.2 billion in merchandise to foreign markets, the report said.

While Hawai'i's best known products are coffee, macadamia nuts and tropical fruits, the top export category was manufactured goods, according to the report. Exports of those products rose to $94 million in 2006 from $58 million the previous year. Manufactured goods, which accounted for 35 percent of the total value of exports, include items such as aircraft and aircraft parts that pass through Hawai'i on their way to a foreign country. The report did not distinguish between items manufactured here and elsewhere.

Crop exports, which include papaya, pineapple, coffee and macadamia nuts, totaled $10.3 million in 2006, up from $9.5 million in 2005.

The report did not include the value of Hawai'i bottled deep-sea drinking water, which is the state's fastest-growing locally produced export.

Although the Census report indicated a significant increase in the value of exports, a local expert said that figure could be much higher.

Chuck Steilen, dean of Hawai'i Pacific University's College of Business Administration and member of the Hawai'i Pacific Export Council, said the state lacks a comprehensive plan to assist local businesses who want to export their product.

Steilen said the council, which is affiliated with the U.S. Commerce Department, recently held a brainstorming session to discuss ways to increase exports.

"A few of us pretty much feel that we have got to target those industries that we feel have export capability in Hawai'i, then what we've got to do is to target specific countries and profile a country to see if there would be a match between that country and what we have here," Steilen said.

Steilen came to Hawai'i after years in Hong Kong where he said there is a comprehensive system to assist businesses. He said there is no similar government and business partnership here.

"It's time now to put together a total plan whereby we address the issue, we create some excitement, we see who responds, we educate some people about the opportunities, we identify how they can get into a market, and support them while they go through this process," Steilen said.

Reach Curtis Lum at culum@honoluluadvertiser.com.

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