RI toy exports set to surge in 1995

JAKARTA (JP): Indonesia's toy exports, spurred by a stronger demand from Europe, are expected to surge again this year after suffering a 16 percent drop in 1994.

The president of PT Asiana IMI Industries, Winarto Alim, said here yesterday that exports of toys are estimated to increase by around 50 percent to US$270 million this year.

He said the European Union's decision last year to limit toy imports from China has benefited Indonesian toy manufacturers.

"The prospects for Indonesia's exports of toy products are more promising this year," he added.

Data at the Central Bureau of Statistics, indicate that the free on board value of Indonesia's exports of toys, including games and sporting goods, dropped by around 16 percent to $180.61 million last year from $216.80 million in 1993.

The estimated 50 percent growth in this year's toy exports is only half of the annual growth of over 100 percent in the period between 1989 and 1992 when the industry recorded its initial boom.

Winarto said that Asiana, which exports around 60 percent of its products, also expects to benefit from stronger demand on the European market.

"We expect to book a 30 percent increase in sales this year on the impact of the stronger demand from Europe," he said following the company's annual shareholders' meeting.

Asiana, which produces toys with a number of foreign brands, registered a 142 percent increase in its sales revenues to Rp 25.46 billion ($11.5 million) in 1994 from Rp 10.51 billion in the previous year.

The net profit of Asiana, which is listed on the Jakarta and Surabaya stock exchanges, rose 290 percent to Rp 4.01 billion from around Rp 1.02 billion in 1993.

Winarta explained that the company's earning per share rose by only 134 percent to Rp 507 from Rp 216 due to the issuance of new shares last year.

He explained that the meeting approved the management's proposal to pay a cash dividend of Rp 35 (1.5 U.S. cent) per share for the 1994 bookkeeping year. (hen)