Non-oil exports show signs of recovery

JAKARTA (JP): Coordinating Minister for Trade and Industry Hartarto said yesterday that Indonesia's non-oil exports have showed signs of recovering following a decline in the first quarter of this year.

Hartarto said that in June, non-oil exports reached a monthly value of above US$2.7 billion for the first time ever, indicating a 14.9 percent increase over the same period of 1993.

"The increase undoubtedly showed the return of our non-oil exports to their upward trend," he told journalists following a meeting with President Soeharto.

Hartarto, together with Minister of Foreign Affairs Ali Alatas, Minister of Trade Satrio B. Joedono, Minister of Agriculture Syarifuddin Baharsjah and Minister/State Secretary Moerdiono, reported to the president about the outcome of the second ministerial meeting of Indonesia and Australia in Melbourne last week.

Indonesia's non-oil exports dropped for the first time in the first quarter of this year to US$1.61 billion, 1.6 percent lower than in the corresponding period of last year due mainly to a decline in exports of textile-related products.

Hartarto said that around 70 percent of Indonesia's non-oil products were exported to Taiwan, the United States, Singapore, South Korea and Australia.

Touching on the outcome of the ministerial meeting, Hartarto said that both the Indonesian and Australian governments agreed to boost bilateral cooperation in such fields as industry, trade, investments, oil exploration, education and health.

"Both governments also agreed on the need to involve the private sector in the two countries' bilateral cooperation arrangement," he said.

Minister Joedono said that the Australian market is very challenging for Indonesian exports, given the strong buying power of its people.

"Unfortunately, our exports are not yet competitive," he said. "Indonesian products sold to Australia are relatively expensive compared to local products or those imported from other countries."(hen)