Wednesday, 17 July 2019 | 18:03 WIB

Trade Minister Optimistic on Meeting Non Oil-Gas Export Target

Indonesia Trade Minister Enggartiasto Lukita (hanter)

JAKARTA, NNC - Indonesia's non-oil and gas export performance in September 2018 has generated a surplus of USD 1.3 billion. This has lead to the government being optimistic in meeting this year's export target.

Cumulatively, non-oil and gas exports from January to September 2018 reached US$122.31 billion, growing 9.29% compared to the previous year. Although the growth of non-oil exports until the third quarter was still below the target, the government remained optimistic that non-oil and gas exports would grow by 11% this year.

"The government is optimistic that it will continue to push for increased exports in the last three months so that this year's non-oil and gas export target can be surpassed," said Indonesia Minister of Trade Enggartiasto Lukita in a press release on Saturday (11/03).

According to the Minister of Trade, the growth of non-oil and gas exports in January-September 2018 was supported by rise in exports to several markets destinations. Indonesia's exports to China grew 26.9%, Japan 18.1%, Taiwan 34.1%, South Korea 18.6%, Vietnam 23.7% and Bangladesh 19.5%.

"The exports hike does not only show significant growth but is also predicted to support the achievement of this year's non-oil and gas export target," the Trade Minister added.

Some of the main non-oil and gas export commodities that contributed the most to the increase in exports during January-September 2018 included iron and steel (HS 72), ore and metal ash (HS 26), various chemical products (HS 38), paper / cardboard (HS 48), and mineral fuels (HS 27).

Meanwhile, total imports in September 2018 reached $14.60 billion, down 13.18% from August 2018 (MoM) which reached $16.82 billion. However, the figure is still higher by 14.25% compared to September of the previous year.

In addition, Enggartiasto added that the decline in imports in September 2018 occurred in all classifications of imported goods. This indicates a decline in domestic consumption. Consumer goods whose imports declined significantly include fuels and lubricants, processed foods and beverages for households, and consumer goods that are not durable.

Moreover,  raw/supporting materials that obtained import drop were fuels and lubricants, industrial raw materials, and capital goods spare parts and equipment.