NO PESSIMISM FOR GERMAN EXPORTERS, MINISTRY

  Firms need not be pessimistic about export
  prospects even though foreign markets have become more
  difficult because of the mark's strength the Economics Ministry
  said.
       The ministry's parliamentary state secretary Ludolf Georg
  von Wartenberg, told a business conference German exports could
  start rising again in real terms during 1987, reversing the
  lower export trend which emerged in mid-1986.
      But even if the turnaround did not occur, there would be no
  need to worry about the economy as long as the weakness of
  exports did not affect currently good domestic demand.
      Von Wartenberg said consumer demand remained quite good but
  noted there had been a cooling in the investment climate. "This
  is certainly a reason for heightened watchfulness but not for
  stimulative steps," he said.
      The best way for Bonn to help its exporters is to work
  actively to promote free world trade, he added.
      Von Wartenberg said the economy still had good export
  opportunities. Price alone was not the only factor in
  international competitiveness, he said, adding German firms
  have a reputation for high quality standards, prompt delivery
  times and good service.
      Von Wartenberg said the government was in a difficult
  position on its trade figures.  It faced international pressure
  to reduce its trade surplus, but West Germans were worried
  about the effect of the mark's strength on the country's
  exporters.
      Reports about the trade surplus, especially overseas,
  tended to concentrate on nominal trade figures, which rose to a
  record 112.2 billion marks in 1986, he said. But this rise was
  due entirely to the lower value of imports caused by the
  decline of both the dollar and oil prices. German exports have
  in fact been falling in real terms for sometime, he said.
  

