Worsening debt crisis, INDONESIA's EXPORTS to Europe will stagnate

Ministry of Industry worrying the European Union financial problems will affect the Indonesia export to Europe. Because, Greece's debt problems spread to other countries in Europe which has the potential to expand the region's financial crisis.

"For me Europe is not too optimistic. Especially if you look at the debt structure of large countries," said Director General of International Cooperation Ministry of Industry Industry, Agus Tjahayana.

According to him, Greece's debt problems will be difficult to prolonged unresolved because the three countries, namely Germany, France, and Britain is expected to help bail out Greece's debt was in trouble. In fact, Germany was difficult to expand its export market as China slammed aggression. "The possibility of its condition deteriorated," he said.

In fact, Indonesia's exports to the EU during the period 2007-2010 recorded an average increase of 9%. That number exceeds the import of industrial products from Europe which reached 8%. In 2010 Indonesia's trade balance with the EU surplus of U.S. $ 4.5 billion.

The amount was donated processed coconut or palm oil with a market share of 20%, textiles and textile products 14.5%, electronics 10.5%, 10.5% of processed rubber, and footwear or shoes 8%.

In fact, certain products have increased sharply as exports of other chemical products rose 147%, 59.4% of other commodities, cigarettes rose by 28.7%, and sports equipment 26.5%.

Unfortunately, the market penetration of industrial products to the EU is still relatively low with an average of about 0.5%. It is actually according to Agus could be an opportunity to expand market share of Indonesian exports. However, the region's financial condition would likely delay the planned expansion of Indonesia's exports.

"It is possible that down then the condition will remain stagnant because Europe needs these commodities," he said.

As with the financial problems the United States. According to Agus, the condition of the country was not too worried because the position of United States economic growth which is growing despite the crisis.

Country's internal political problems that make the financial problems the United States as unresolved. However, he believes, the country will find the solution of the problem.

As a result, most likely the United States - Indonesia trade will be stagnant for some time. Even if rising then the condition is a result of the appreciation of the yuan currency, the rupiah (IDR), Singapore dollar, ringgit, baht and peso. "The effect would be all for all countries for the same commodity," he said.

Indonesia Trade Minister Marie Elka Pangestu also ever mentioned her concern at the condition of the European Union's financial problems. "Compared to the United States, we are more worried about conditions in Europe," she said.

To maintain the level of Indonesia exports due to the decline in market share in both areas, Marie expressed, should be done by enhancing competitiveness, increasing diversification of export markets, and minimize the high cost.

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Indonesia's export volume increased and the highest record

Indonesia's export performance in May 2011 has a new record in history. The realization of exports in May exceeded the previous history which occurred in April 2011.

Badan Pusat Statistik (BPS-Statistics Indonesia) recorded, the realization of Indonesia exports in May through U.S. $ 18.33 billion or exceed the performance in April 2011 which reached U.S. $ 16 billion. "Export is a supreme achievement, a new record because it can penetrate more than U.S. $ 16-17 billion, ie U.S. $ 18.33 billion, "BPS chief Rusman Heriawan said on Friday (1 / 7).

Export performance has increased by 45.29% compared to same period previous year. When compared to April 2011, exports increased 10.76%. Indonesia's total exports for the calendar year 2011 or January-May 2011 reached U.S. $ 80.28 billion, growing 33.37% over the same period the previous year.

In terms of commodities, the largest portion is still held by mineral fuels with a value of U.S. $ 9.75 billion, followed by fats and oils of animal / vegetable which reached U.S. $ 8.09 billion. Rusman admitted, an increase in export performance is inseparable from the rise in world commodity prices, particularly the surge in oil prices or crude palm oil (CPO).

In terms of export destination countries, Japan is still the largest with a value of U.S. $ 7.35 billion. The second xxport destination is occupied by China amounted to U.S. $ 7.01 billion, followed by the United States U.S. $ 6.56 billion, the ASEAN countries amounted to U.S. $ 13.77 billion and the EU amounted to U.S. $ 8.68 billion. "Despite the tsunami, Japan is still the largest market share," he said.

Based on the sector, exports for January-May 2011 dominated the industrial sector 61.74%, up from earlier that only 60.43% in the previous month. Improved export performance is also coupled with heightened realization of import in May 2011. The value of Indonesian imports for May 2011 reached U.S. $ 14.83 billion, an increase of 48.54% over the same period the previous year. "The month on month (mom) in total imports fell 0.42%. But for non-oil rose 0.24%. That oil imports are down, "he explained.

If refer to the calendar year, total imports from January to May 2011 reached U.S. $ 68.51 billion, an increase of 33.86%. Non-oil imports reached U.S. $ 52.53 billion, and the largest portion of the mechanical engine of U.S. $ 9.1 billion. Imports from China amounted to U.S. $ 9.74 billion, while Japan is only U.S. $ 7.08 billion and Thailand at U.S. $ 4.28 billion. Imports from China are the largest imports.

Rusman added that overall, the trade balance in May 2011 still recorded a surplus of U.S. $ 3.51 billion and for the period January-May 2011 amounted to U.S. $ 11.77 billion.

Director of Distribution Statistics BPS, Satwiko Darmesto add as much as 61% increase in exports boosted non-oil industries. "Commodities are mineral fuels, vegetable oils, rubber, rubber goods, machinery and electrical equipment, seed crust and metallic ash," he explained.

Meanwhile, foreign trade balance for the month of May amounted to U.S. $ 3.059 billion. "As for the difference in the trade balance from the beginning of the year to May amounted to U.S. $ 11 billion," he said.

Satwiko claimed Indonesia export performance in May is the greatest achievement in history. "The record is not only alone but the total exports of the sector also increased as oil and gas exports of U.S. $ 4.1011,9 billion, and especially non-oil hit a record U.S. $ 14, so that 222.2 and a total of U.S. $ 18, 334.1,"lid.

Fruit IMPORTS from CHINA increasingly alarming

In the first quarter-2011, imports of fruits, especially for the type of mandarin oranges and pears from China, the more rampant. Data from Central Statistics Agency (BPS) shows mandarin orange imports in January-March 2011 amounting to 85,352,866 U.S. dollars. In fact, in the same period last year, import value of mandarin orange is still amounted 68,103,952 U.S. dollar. That means imports of mandarin orange in the first quarter 2011 jumped by about 25.32 percent compared with first quarter of 2010.

The same condition occurs in imported of pears. In fact, the increase in pears import value is much higher than mandarin oranges. Still referring to BPS data, pear imports in January-March 2011 amounting to 30,392,987 U.S. dollars. This value soared 168.56 percent compared with January-March 2010, valued at 11,317,116 U.S. dollars.

Chairman of Vegetables and Fruits Exporters Association of Indonesia (AESBI) Hasan Widjaja pleaded not too surprised with the increase in value of fruit imports from China. According to him, the fruits of China does have many advantages, such as lower prices and the availability of abundant supplies. Mandarin oranges from China, for example, can be sold to consumers at a price of IDR 17,000 per kilogram. Compare this with the Medan orange or Pontianak orange sold more expensive, which is IDR 20,000 per kilogram. "The traders automated choose orange imports," he told.

The availability of supply of fruit imports from China also became the cause of another. China already has a production area of ​​fruits and vegetables that are adequate, both in terms of area and planting technology. In effect, they can produce fruits and vegetables continuously throughout the year without having hampered the weather.

The opposite happened to the fruits of Indonesia. Production of fruits in some areas often stuck due to bad weather. Indonesia also did not have a special area which is used as barns fruit production. As a result, every year the production of local fruits continue to fluctuate throughout the year."Traders obviously do not want to if its supply is uncertain," said Hasan.

Even so, Hasan acknowledged that there is some kind of fruit that had to be imported because Indonesia does not have it, like a pear. On the other hand, the demand for pears from the community continue to rise. Impact, to meet those needs, the import is the only way. "Pear did not exist in Indonesia. Can not help it, the import should be done," he said.

Meanwhile, Trade Minister Mari Elka Pangestu said must be wise in view of fruit imports from China. According to her, Indonesia has not yet entered the scale of dependence on imported fruits from China. However, imports are mostly for certain species that do not exist in Indonesia. "If there is demand, while supply does not exist, import is not anything wrong," said Mari in the press release.

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Indonesia's Export to Japan May be Disrupted

A 8.9-magnitude earthquake that rocked Japan and unleashed a 10-meter high tsunami may have the potential of affecting Indonesia’s exports to Japan, an official said.

"So exporters, importers and business world alike should be patient or switch to new markets other than Japan," Edy Putra Irawady, deputy for industry and trade to the coordinating minister for economic affairs, said here on Friday.

The natural disaster might also indirectly affect the domestic economy. He said two-way trade between Japan and Indonesia might be disrupted and Japanese investment in Indonesia might decline.

Meanwhile, Chief of the Banking Affairs of the Indonesian Young Businessmen Association (HIPMI) Silmy Karim said the disaster might affect the domestic economy now that Japan was one of Indonesia’s main export destinations. He said the Japanese companies which had so far imported part of their raw materials from Indonesia were expected to reduce their imports.

"Our alumunium and gas exports to Japan will likely fall sharply but such is not the case with CPO and coal exports," he said. He predicted the Japanese economy would soon recover from the disaster although its impact on the Japanese economy would be felt in three to six months’ time thanks to the country’s experience in facing such difficult situation.

Acting Chief of the Fiscal Policy Board (BKF) at the Finance Ministry Bambang Brodjonegoro expressed hope the disaster would have no prolonged impact particularly on the Indonesian economy.

"Japan is relatively more prepared (than any other nations) to deal with the impact of disasters so Friday’s quake and tsunami will likely have a relatively small impact on its economy," he said.

Last year, Indonesia’s non-oil/non-gas exports to Japan hit a record high of US$16.49 billion, making it the biggest market for Indonesia’s exports. In January 2011 alone, Indonesia’s non-oil/non-gas exports to Japan reached US$1.21 billion, accounting for 10.13 percent of its overall non-oil/gas exports in that month.

source: .kompas.com / picture: google.com

Indonesian EXPORT of 2010 reached a NEW Record

Head of Indonesia Central Statistics Agency (BPS), Rusman Heriawan said Indonesia's total exports from January to December 2010 to carve new record in the history of Indonesian exports, which amounted to US$ 157.73 billion.

"A total export from January to December 2010 is US$ 157.73 billion, the latest record for export performance during the history of Indonesian exports," he said in a news conference in his office, Jakarta, Tuesday (01/02/2011). The figure for December 2010 was a highest record export monthly of US$ 16.8 billion.

According BPS data, the rate of export performance throughout 2010 was a growth of 35.38 per cent from the same period in 2009 is US$ 116.51 billion.

Rusman Heriawan said oil exports during January - December 2010 recorded around US$ 129, 68 billion. The largest export commodity is mineral fuels, such as coal US$ 18, 73 billion as well as fat and vegetable oil or palm oil reached US$ 16.29 billion.

BPS noted Indonesia's largest exports are to Japan of US$ 16.5 billion. While export to China around US$ 14.07 billion and the United States amounted to US$ 13.3 billion.

"The contribution of the largest exports are still held by conventional market except China. As for Japan US$ 16.5 billion, China US$ 14.07 billion and United States US$ 13.3 billion. The market share for those three country is 33.85 percent of the country total exports. Meanwhile, exports to the European Union is US$ 17.07 billion, "he explained.

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2011, targeted Coffee Exports Increase 5%

Ministry of Trade, Republic of Indonesia is targeting for increasing the coffee export by five percent this year. International prices predicted relatively well this year.

Coffee production for this year is estimated to increase to 570 thousand tons from 540 thousand tons in 2010. "In addition, market penetration into China as well as new markets improved," said Trade Minister Mari Elka Pangestu, the Ministry of Trade, Jakarta, Wednesday (05/01/2011).

Furthermore, Mari said, it also targets exports of footwear increased by 20 percent next year. Because the development of non-traditional markets, especially in Central Asia and Eastern Europe namely Russia, Ukraine, and Kazakhstan has begun to recover. In addition, the increase in exports was also motivated by the commencement of production by some manufacturers who do relocate to Indonesia and also lower costs for state employees compared to competitors.

Mari explain, automobile exports is also targeted to increase 10 percent this year. It would improve the promotion and expansion of automotive export markets to the FTA partner countries and other countries. "Meanwhile, increased investment in this sector is also increasingly driven," says Mari.

As for the export of crude palm oil sector, said Mari, also targeted to increase by 16 percent this year. The reason, she said, in addition to the primary purpose of export markets namely China, European Union, and India, several other markets in the Middle East and Eastern Europe are also considered to potentially large.

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Indonesia EXPORTS increase by 21.9% in 2010

In 2010, Indonesia's exports increase 21.9% to U.S.$ 142.53 billion compared to the year 2009. Non-oil commodities such as mining, manufacturing and agriculture to support the growth of exports by value reached U.S.$ 122.68 billion.

The largest contribution of the export is from mining sector at 41.9%. Manufactured products 34.1% and the rest is from agricultural commodities. Meanwhile, exports of oil and gas sector contributed aroudn U.S.$ 22.95 billion, up 15.61% from the year 2009 valued at U.S. 19.85 billion.

Meanwhile the largest non-oil export destination country is still gained from ASEAN countries amounting to 21.3%. For non-oil exports to EU countries by 13%, Japan 12.7%, China 12.2% and USA 10.6%. While the contribution of exports to Korea only 5.5%.


"Export growth continues to increase because many countries in the world think Indonesia has a good quality of commodities," said Gusmardi Bustami International Trade Director General of Ministry of Commerce.

As of September, Indonesia's export value rose 38.3%

Indonesia's export performance during the first nine months this year rose 38.3% to USD 110.8 billion over the same period last year. In fact, as of September performance was also better before the global crisis sweeping the world in 2008 ago, which just posted an increase of 12.3%. This achievement was launched by the Board of Research and Development, Ministry of Trade (Kemdag) which released today, Thursday (25/11).

The Research and Development of Ministry of Trade also quoted Trade Watch from the World Bank that assesses Indonesia's exports in the second quarter, including three best of the 60 countries. This report shows, in the second quarter of this year, only three countries that can improve the performance of exports exceeded the export performance before the global crisis; namely China, Hong Kong and Indonesia.

China recorded can increase its export value up 14.7% while Indonesia was 4.9% compared to the value of exports during the same period in 2008. Meanwhile, Hong Kong recorded the highest increase in export value far beyond China and Indonesia, which amounted to 20.8%.

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Indonesia’s Exports (Jan-Sep 2010) Up 38 Percent

Indonesia Central Statistic Agency (BPS) expressed, total value of Indonesia's exports from January to September reached USD 110.81 billion. This amount increased by 38.27 percent over the same period last year.

"Hopefully we will record a new performance for annual export, at least approach USD 150 billion. If our export per month around USD 12 billion, it could approach even be higher," said Head of the BPS, Rusman Heriawan in a press conference held at the office BPS, Jakarta, Monday (01/11/2010).

Although the export value from January to September 2010 increased compared to last year period, exports value in September 2010 dropped compared with August 2010. According to Rusman, exports of September reached USD 12.08 billion, down 12.02 percent compared to August. "The decline in non-oil -13.66 percent. Exports of non oil reached USD 10.13 billion, and USD 1.95 billion for oil and gas," he said.

The reduced value of exports in September, according to Rusman due to Eid al-Fitr which falls in September. Import-export activity before and after Lebaran is totally decreasing. "Labor-workers who went home a lot so many activities that are pending. Hopefully October there was an increase export and import of missed work," he said.

Besides the Indonesia’s export up 38 per cent, the import value also increase by 11.92 percent in September compared to last year. Imports of September reached USD 9.53 billion.