Broad steps of Lithuanian exports: what are we interested in the world? | Business

Lithuania as an exporter in 2021-2024 demonstrated strong growth and the ability to adapt to global changes – the pandemic, geopolitical challenges, changed economic and overall global trends. However, by taking advantage of the country’s strengths – innovativeness, strategically good geographical location and qualified workforce, Lithuania managed to remain competitive in the European and world markets.

Export growth rates in 2021–2023.

• The average annual growth of Lithuania’s total export is 11.5 percent;
• The average annual growth of exports of Lithuanian origin is 13 percent;
• The average annual growth of the export of services is 22.7 percent;
• The average annual growth of the export of knowledge-intensive services is 42.1 percent.

“By creating and exporting knowledge and innovations, Lithuania occupies a unique leadership position in strategic international value chains. Lithuania has the capacity to create and export critical technologies and innovations, on the basis of which products and services needed around the world are created and developed.

The export of services can be named as one of Lithuania’s success stories. When we joined the European Union, it was 10%. GDP – now the export of services reaches almost 30%. GDP. As a result of the export of services, we can name the emergence of “Global Business Service” and IT centers, which are concentrated in the capital – this shows that Lithuania can become a regional center of IT services”, commented Aušrinė Armonaitė, Minister of Economy and Innovation, on the export growth trends.

EIMIN photo/EIMIN Minister Aušrinė Armonaitė

Vice Minister Karolis Žemaitis, based on the 2023 report of the State Data Agency. according to the data, pointed out that last year Lithuania exported goods worth 39.4 billion. euros.

“Of the goods of Lithuanian origin, mineral products, furniture, plastics and their products, electrical appliances and equipment, and wood were mainly exported. Goods of Lithuanian origin were mainly exported to Poland, Germany, the Netherlands, Latvia, and the United States. During 2023 the value of the export of technology goods continued to increase, therefore, the export of this sector is less sensitive to global challenges, especially in the context of the ongoing Russian war in Ukraine”, the deputy minister assured.

Lukas Balandis/BNS photo/EMIN Deputy Minister Karolis Žemaitis

In the context of challenges projected growth

According to Simona Buziliauskienė, the head of the Market Development Department of the Innovation Agency, the fluctuations in the export value of Lithuanian goods over the past two years were mainly influenced by the change in export prices and the decrease in the volume of goods.

“In 2022 Lithuanian exports of goods showed rapid growth – the value increased by 28.1 percent. The export of goods of Lithuanian origin increased by 26.7 percent, and the value of the export of high-tech goods increased by 30.1 percent, mainly due to the products of the plastics and engineering industry. in 2023 the total value of the export of goods decreased by 11 percent, and the export of goods of Lithuanian origin decreased by 10.6 percent, mainly due to reduced quantities and falling prices”, comments S. Buziliauskienė.

Personal arch. photo/Simona Buziliauskienė

However, S. Buziliauskienė emphasizes that, despite these challenges, the forecasts are optimistic – it is expected that in 2024 the export value of goods of Lithuanian origin will increase by 3.8 percent, and in 2025 – 17.3 percent The high-tech sector, especially the engineering industry, will maintain positive export growth. It is also predicted that in 2024 the export value of services will increase by 8.9 percent, but the influence of prices will remain small.

EIMIN Vice-Minister K. Žemaitis also spoke about positive trends in the export market: “According to the macroeconomic forecast of the Bank of Lithuania for June this year, the volume of export of goods and services is stabilizing, and the export of goods with more added value is strengthening. In the first quarter of this year, the real export of goods of Lithuanian origin was already higher than a year ago.”

in 2024 the export value of services will increase by 8.9 percent.

According to him, the sales of the chemical industry, which has experienced great difficulties abroad, are slowly starting to recover, the export of machinery and equipment maintains its development trend, stronger signs of growth can be seen in the export of metals and food products.

How is success cultivated? 

One of the essential goals of Lithuanian exports is to promote the competitiveness of goods and services of Lithuanian origin, to maintain existing trade positions and to seek successful integration into new markets.

“Measures provided for achieving these goals include high-quality expert consultations for companies that export and are interested in export opportunities, organization of special trainings, corporate cooperation and clustering programs, economic, support for the implementation of corporate marketing and organizational innovations, preparation of international missions, business forums and exhibitions, and specialized services providing

EIMIN, together with its subordinate institutions, implements various measures to promote exports – these include opportunities to receive subsidies, EXPO opportunities, export diagnostics, the export leader program “Sparnai”, contact search “Orbis”, commercial attaché support for exporters, programs aimed at increasing brand awareness and many others. In this way, the state contributes to maintaining the stability of the Lithuanian export market and promoting growth”, commented K. Žemaitis.

In order to achieve the priorities of high added value economy and the strengthening of Lithuania’s influence in the global space, active actions were carried out, one of which was the development of economic representatives.

Unsplash photo/Associative photo.

“Lithuania is successfully strengthening relations with partners abroad – the commercial attaché and the network of trade representatives in the most relevant, strategically and geopolitically important world markets for Lithuanian business were strengthened – in almost four years it has grown to a team of 22 people. From 2023 new commercial attache positions were established in Singapore, Denmark, France, and from 2024 in Italy.

The expanding network of economic representation will help Lithuania to be more visible in the world and more attractive to investors, and together with business representatives to achieve a common result – a strong national economy”, the vice-minister discussed the achievements.

The commercial attaché network currently operates in the United Kingdom, Sweden, Norway, Denmark, Finland, France, Germany, the Netherlands, Poland, Ukraine, Israel, Japan, South Korea, Singapore, the United States of America, Italy, and Lithuania also has its own sales representative in Taipei .