JAKARTA (TheInsiderStories)–Indonesia recorded trade surplus US$230 million in September from previous month minus $1.02 billion, Statistics Indonesia reported on Monday (15/10).
Deputy for the agency, Yunita Rusanti reported, the country’ export recorded $14.83 billion in this month lowered compared to August at $15.82 billion, but rose 1.7 percent from same period in 2017. This pattern of decline in exports has occurred in the last three years.
While imports dropped significantly from $16.84 billion in August to $14.60 billion in September, but still grew 14.18 percent in annual basis. Overall oil exports experienced a decline, while for non-oil and gas commodities which experienced a monthly decline, including machinery, jewelry, and apparel.
She added, oil and gas export on a monthly basis it decreased by 15.81 percent from and non-oil and gas exports also fell 6.58 percent. Rusanti explained, increased imports in the oil and gas sector was owing to higher imports of oil and gas components, including crude oil with $1.83 million.
Non-oil and gas exports in September 2018 reached $13.62 billion, down 5.67 percent compared to August 2018. Meanwhile, compared to September 2017 non-oil exports, rose 3.78 percent.
Cumulatively, Indonesia’s export value from January to September 2018 reached $134.99 billion, an increase of 9.41 percent over the same period in 2017, while non-oil and gas exports reached $122.31 billion, an increase of 9.29 percent.
The largest decline in non-oil and gas exports in September to August occurred in electrical machinery/equipment amounting to $98.2 million (11.48 percent), while the largest increase occurred in metal ore, crust and ash of $75.3 million (18.86 percent).
According to the sector, non-oil / gas exports from the processing industry in January-September 2018 rose 5.71 percent compared to the same period in 2017, as well as exports of mining products and others rose 31.65 percent, while exports of agricultural products fell 8.33 percent.
The biggest non-oil and gas exports in September 2018 were China, which was $1.93 billion, followed by the United States $1.49 billion and Japan $1.33 billion, with the contribution of the three reaching 34.83 percent. While exports to the European Union (28 countries) amounted to $1.39 billion.
According to the province of origin of goods, Indonesia’s largest export in January-September 2018 came from West Java with a value of $22.76 billion (16.86 percent), followed by East Java $14.26 billion (10.56 percent) and East Kalimantan $13 67 billion (10.13 percent)
The government effort to reduce trade deficit through various policy has give an impact to the Indonesian trade balance. All the efforts its expected to lowering the nation’s current account deficit by the end of this year.
Coordinating Minister for Economic Affairs Darmin Nasution optimist Indonesia’s trade balance will improved by the end of 2018 followed the new government policy such as blended biodiesel (B20) use for all diesel-engined vehicles and other policies.
Trade deficit has put a more pressure to Rupiah as it worsens the current account and Indonesia’s balance of payments. Nasution ensured, to keep the CAD in the good position, government will work hard to boost exports and reduce imports.
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