Decline in exports

Decline in exports

The government and the private sector are becoming
increasingly concerned about the current downward trend in non-
oil exports.

President Soeharto has ordered that the causes of the
decreased level of exports to six trade partners be studied, and
that proper measures be taken to solve the problem.

According to the Minister of Information, Harmoko, exports
decreased in trade with Japan, Singapore, Hong Kong, China, the
United Arab Emirates and Thailand.

In February 1994 our trade surplus was US$649.2 million, which
was lower than in the previous period. Although this doesn't
reflect the full-year readings, it serves as a warning for us to
be watchful of further declines.

The implementation of the GATT decision will have an influence
on the pattern of international trade. Competitiveness is
essential in any nation's efforts to enter and survive on the
global market. Indonesia must make its non-oil commodities and
products competitive if export surpluses are to be achieved.

New competitors emerging from among developing countries in
Asia, such as Vietnam, Bangladesh and Mexico, are a potential
threat to Indonesian exports. Those countries have stepped
forward as strong exporters of certain kinds of products and
commodities.

How serious Indonesia is in its effort to enhance its
competitiveness remains to be seen.

--Bisnis Indonesia, Jakarta