JAKARTA (TheInsiderStories) – Indonesia’s trade deficit narrowed sharply to US$63.5 million in July 2019 from a $2 billion in the same month a year earlier. Exports fell 5.12 percent year-on-year (YoY) to $15.45 billion while imports dropped at a faster 15.21 percent to $15.51 billion, Statistics Indonesia has reported today (08/15).
“The value of trade balance in July experienced a deficit of $63.5 million due to a $142.4 million deficit in the oil and gas sector, despite a $78.9 million surplus in the non-oil and gas sector. Considering the first seven months of the year, the trade balance recorded a deficit of $1.90 billion, compared with a deficit of $3.21 billion in the same period of 2018,” head of Statistic Indonesia Suhariyanto told the media in Jakarta.
The value of exports in July reached $15.45 billion, an increase of 31.02 percent over the previous month, he adds. Meanwhile, if compared to July 2018 decreased 5.12 percent. Non-oil exports reached $13.85 billion, up 25.33 percent from last month, but dropped 6.88 percent from the same month last year.
Cumulatively, the value of exports from January to July reached $95.79 billion, down 8.02 percent compared to the same period last year, as well as non-oil and gas exports reached $88.07 billion, down 6.58 percent, the chief said.
In detail, the largest increase in July non-oil and gas exports to June occurred in vehicles and parts by $302.2 million (58.75 percent), while the largest decrease occurred in jewelry/gems by $116.4 million (14.86 percent).
By sector, the agency said, non-oil exports of the manufacturing industry from January to July fell 4.28 percent compared to the same period last year, as well as exports of agricultural products fell 0.16 percent, and exports of mining products and others fell 17.09 percent.
July’ largest non-oil and gas exports were to China at $2.28 billion, followed by the United States at $1.58 billion and Japan by $1.22 billion, with the contribution of the three reaching 36.72 percent. While exports to the European Union (28 countries) amounted to $1.25 billion.
By province of origin, the largest exports in January-July came from West Java with a value of $17.41 billion (18.17 percent), followed by East Java with $10.89 billion (11.36 percent) and East Kalimantan with $9.79 billion (10.22 percent).
The imports, on the opposite, reached $15.51 billion in July, up 34.96 percent compared to the previous month, but down 15.21 percent when compared to the same period last year.
In detail, the agency said July non-oil and gas imports reached $13.77 billion, up 40.72 percent compared to the previous month, but down 11.96 percent compared to the same month last year. While oil and gas imports this month reached $1.75 billion, up 2.04 percent compared to last month, but down 34.29 percent compared to the same period last year.
The largest increase in non-oil and gas imports in July compared to June was machinery/mechanical aircraft by $901.6 million (52.22 percent), while the largest decline was aluminum by $122.0 million (43.29 percent).
It said the three biggest suppliers of non-oil and gas imported goods during January-July were occupied by China with a value of $24.73 billion (29.08 percent), Japan $9.09 billion (10.69 percent), and Thailand $5.46 billion (6.42 percent ). Non-oil and gas imports from ASEAN 19.48 percent, while from the European Union 8.47 percent.
The value of imports of all categories of goods, both consumer goods, raw/auxiliary goods, and capital goods during January-July decreased compared to the same period the previous year respectively 10.22 percent, 9.55 percent, and 5.71 percent.
Written by Lexy Nantu, Email: email@example.com