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# C. Export Perfornance

I. Export growth. Table 5 shows the data on real export growth rates. The average annual export growth rate for the nine trade adjusters increased from 6% in 1978-82 to 9.3% in 198649. The intensive adjusters achieved higher growth rates compared to the less intensive adjusters. Ghana, an intensive trade adjuster, and Cote d'lvoire, a less intensive adjuster, make an interesting comparison. Both Ghana and C6te d'Ivoire had a similar production structure prior to the reforms. Ghana achieved an export growth rate of 24% per annum in 1986-89 compared to the negative growth (-1.3%) for Cote d'Ivoire. This is explained by the differences in the design of the trade adjustment programs for the two countries. Ghana devalued whereas Cote d'lvoire was not able to do so. In CBte d'lvoire, the lack of currency devaluation was further compounded by the relatively high cost of domestic and imported inputs. The price of electricity and petroleum, as a result of the divestiture efforts, increased in Cote d'Ivoire and is much higher than in Ghana; this reduced the international price competitiveness of Cote d'Ivoire's exports. This is an example of an adjustment program where price liberalization of public enterprises came into conflict with the objectives of export growth in the short-run.

Table **5: GROWTH** RATE OF REAL **EXKIR1S** m 199D USS

||**1979**|**1980D**|**193**|**1982**|**298**|19U1|**IPli**|**19S6**|**2987**|**19818**|**1989**|**AmsI**<br>1979-1Z|**Awc:g**<br>**1913-134**|**19849**|
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|(A)**Inmeniuw**<br>**adjuster**|||||||||||||||
|**Glum**|-1.7|-13.6|-L9|15.2|45.7|95|**6.5**|41.6|**29.4**|79|185|**-22**|-9.9|243|
|IrAeesia|2.3|5.5|**-18O**|-9.0|4.7|0.6|**4.0**|14.4|**16.8**|-103|9.1|**-41**|-0.9|**7.5**|
|Mexico|**12.1**|**6.1**|11.6|21.5|**13.6**|5.7|-4.4|32|9.S|3.0|1.4|**m2**|4.9|4.4|
|mocw|05|3.6|0.2|4.9|8.1|2.8|4.2|2.2|10.1|182|4.6|2.3|.l|5.5|
|**Twkey**|-93|4.1|**R5.1**|40.1|13.7|19.1|12.3|**-1.5**|**27.3**|19.7|**4.7**|**3D.0**|153|**12.5**|
|Avore|0.5|1.2|14.0|14.6|-1.1|7.7|2.1|32.0|<br>1S7|7.7|5.0|7.6|2.9|101|
|CB) Less**intive adiusiers**|||||||||||||||
|**CC'ubia**|li4|_5.1_|**-l.l**|-1.6|**4-9**|103|**14.4**|**2.7**|**54**|3.5|**6.S**|**0.0**|7.9|**91**|
|**Ce d'lwire**|**2.3**|12.7|**6.9**|**14A**|<br>**-. 0 **|**30.3**|-0.9|-3.4|-5.2|-16.9|**205**|59|**_0.5_**|-1.3|
|Janiica|2.0|-15|4.0|-12.4|9.4|17.7|112|6.7|12.0|2.0|9.2|-2.0|17.8|7.5|
|Palaun|13.3|19-5|1B2|-60|24.6|-3.7|-0.4|327|32.3|<br>-1.6|11.5|113|6.5|13.8|
|**AVeg6**|**_5_**|9.0|4.3|-4.6|<br>63|16|_6.1_|14.2|6.9|-13|IZO|31|7.0|7.5|
|**(C)All adpustn**|||||||||||||||
|**Averg**|33|4.6|**9.7**|6.1|**22**|**5.3**|**3.9**|**13.0**|**_13A_**|**2**|**8.1**|5.9|4.7|9.3|

'1979-t2 **pe-reform period. 103-85** is **a4junent** and 1916S9 **is** Pet-eform peidL

**Soee: Word Bank Dalba 03ESD.**

12. Export Diversification. The diversification of exports was an important objective of the trade program; it was aimed at reducing the vulnerability of the trade balance to external shocks. Table 6 shows that the average share of manufactured exports in GDP for the nine adjusters increased from 4% of GDP in 1978-82 to 6.4% in 1986-88. Both Indonesia and Mexico were highly dependent on oil exports for foreign exchange earnings prior to the adjustment proggrams. Both managed to diversify exports and reduce their reliance on oil exports as a result of the adjustment program. In Indonesia,