JP/18/TRADE2

Trade imbalance favors Australia

The dream of a speedy link between Surabaya and Australia has long eluded transport planners, who have worked for decades to get a direct transport route opened.

Australia exports goods worth about A$3.4 billion (about US$ 2.6 billion) to Indonesia and ranks at number six in the list of suppliers to the country. Top of the list is Singapore, followed by Japan, China, the U.S. and Thailand.

Australia imports goods worth A$3.3 billion from Indonesia. Apart from petroleum products, paper and timber are in demand.

Australia also exports petroleum products to the archipelago along with minerals, live animals and primary produce.

It is difficult to stuff a steer into a container, but minerals like gold, aluminum ingots and copper are put in containers. So is cotton. Only unrefined minerals like iron ore and grains are shipped in bulk.

Australia is number 10 in the list of destinations for Indonesian goods. Most go to Japan and the U.S.

Indonesia is a major exporter of paper products to Australia. If you are a journalist or secretary Down Under the chances are you will be taking notes on a pad made in East Java, using an Indonesian pen and maybe sitting at a wooden desk crafted in the archipelago.

Meanwhile, their counterparts in this country are chewing on Australian steak washed down with a tangy fruit juice.

And the probability is high that all are wearing clothes made in booming China whose ports are already handling more than 61 million TEUs (containers).

-- Duncan Graham