RI books record high exports in 2004: Statistics Agency

RI books record high exports in 2004: Statistics Agency

Zakki P. Hakim, The Jakarta Post, Jakarta

Indonesia's exports last year reached an historic high of
US$69.71 billion, or up 11.49 percent from the year before,
boosted by strong sales of non oil and gas commodities including
palm oil, electronics, clothing, coal and tin.

In its latest monthly report, the Central Statistics Agency
(BPS) said on Tuesday that non oil and gas commodities last year
expanded by almost 11 percent from 2003, valued at record high of
$54.13 billion, and making up about 78 percent of national
exports.

The figure far exceeded the government's $50.73 billion
target.

"Last year's exports of non oil and gas commodities reached
the highest level in Indonesian history. Strong global demand in
crude palm oil must have played a role in that," BPS' export
statistic subdirectorate head Dantes Simbolon told The Jakarta
Post.

Dantes went on to say that robust global demand came mostly
from China and India, two of the world's fastest growing
economies.

In the report, palm oil is grouped in the category of animal
and vegetable fats and oils, which last year grew by 25.48
percent to $4.24 million.

Animal and vegetable fats and oils category was the second
largest contributor to non oil and gas exports, after electrical
machinery and tools, which includes electronic goods.

After Malaysia, Indonesia is the world's second largest palm
oil exporter, which is used to make cooking oil, soap and
detergent.

The two countries together contribute a combined 88 percent of
this year's global palm oil exports.

Sector-wise, exports from manufacturing and mining expanded by
12.02 percent and 9.18 percent respectively, while agriculture
experienced negative growth of 6.48 percent.

Japan, the United States, Singapore and China collectively
accounted for 42.52 percent of Indonesia's total non oil and gas
exports last year.

As for oil and gas exports, the country recorded a 14.18
percent increase from last year to $15.59 billion.

Imports jumped by almost 40 percent this year to $46.18
billion, with oil and gas imports surging by 52.36 percent to
$11.63 billion, while non oil and gas imports soared by 35.74
percent to $34.55 billion.

"Imports have now exceeded the level of 1997 of some $43
million," Dantes said.

With oil prices running sky-high in the global market, the
increase in oil and gas imports comes as little surprise.

Meanwhile, a rapid increase in non oil and gas imports
indicates a rising trend in demand by local industry for capital
goods.

The Ministry of Trade says that the business climate has been
improving with businessmen having the confidence to purchase
machinery and other capital goods, as well as raw materials, to
expand their production capacity here.

Tuesday's report showed that last year's imports of raw and
supporting materials and capital goods jumped by 40.37 percent
and 41.29 percent respectively from the same period in 2003.
(003)