RI increases exports to China

Zakki P. Hakim, The Jakarta Post, Jakarta

The country's exports in the first nine months of this year showed surprising strong growth, with a boost from the export of crude oil, natural gas, coal, rubber-based products and organic chemicals, particularly to China, the Central Statistic Agency (BPS) reported on Monday.

The BPS said that exports grew by 10.77 percent in the January to September period to reach US$50.74 billion from $45.81 billion in the same period of last year.

Oil and gas exports rose by 10.14 percent to $11.45 billion.

Non-oil and gas exports during the nine-month period ending in September were up by 10.95 percent to stand at $39.29 billion year on year, with a significant boost being provided by rubber- based products, coal and organic chemicals, providing a combined total of $5.23 billion, up from $3.91 billion last year.

Almost all non-oil and gas commodities were up, except for electrical machinery, ores, slags and metal ashes, and fishing products.

The BPS also reported that non-oil and gas exports to all major destinations increased in the January to September period, with exports to China booking the biggest expansion of 25 percent to reach $2.49 billion.

Exports to the U.S. market increased to $6.04 billion, up 11.44 percent from the same period last year, making it Indonesia's largest export market, while Japan was the second largest market with $5.96 billion.

Looking at the nine-month export performance, officials are optimistic that the government's 7 percent non-oil and gas export target of $50.73 billion for this year will be achieved.

Earlier, officials said that strong economic growth in China and other parts of Asia had contributed to the relatively strong export growth in Indonesia.

"The big gain is mostly due to China, which is now the locomotive in the region," BPS export statistics official Dantes Simbolon told The Jakarta Post.

Meanwhile, imports surged by 38.82 percent to $33.41 billion in the first nine month compared to the same period last year.

The surge in imports contributed to a decline in the country's trade surplus to $17.33 billion from $21.73 billion in the January to September period of last year.