Indonesia is a country that is rich in natural resources, and it is no surprise that the country has been one of the major players in the global export and import market. In 2016, Indonesia recorded a significant growth in its export and import activities. This article will highlight the key trends in Indonesia’s export and import industry in 2016.
Overview of Indonesia’s Export Industry in 2016
Indonesia’s export industry experienced a significant growth in 2016, with the country recording a total export value of $144 billion. This represented a 4.5% increase from the previous year. The top five exports from Indonesia in 2016 were mineral fuels, animal and vegetable fats and oils, electrical machinery, machinery and mechanical appliances, and rubber. These five products accounted for about 57% of Indonesia’s total exports in 2016.
The biggest export market for Indonesia in 2016 was China, which accounted for 13.3% of all exports. Other major export destinations for Indonesia included the United States, Japan, India, and Singapore. Indonesia’s biggest export partners in 2016 were China, Japan, and the United States, which together accounted for over 33% of the country’s total exports.
The Growth of Indonesia’s Import Industry in 2016
Indonesia’s import industry also grew significantly in 2016, with the country recording a total import value of $135 billion, which was a 5.1% increase from the previous year. The top five imports to Indonesia in 2016 were mineral fuels, electrical machinery, machinery and mechanical appliances, iron and steel, and plastics. These five products accounted for about 49% of Indonesia’s total imports in 2016.
The biggest source of imports for Indonesia in 2016 was China, which accounted for 22% of all imports. Other major sources of imports for Indonesia included Japan, Singapore, Thailand, and South Korea. Indonesia’s biggest import partners in 2016 were China, Japan, and Singapore, which together accounted for over 47% of the country’s total imports.
Factors Contributing to Indonesia’s Export and Import Growth in 2016
There were several factors that contributed to Indonesia’s strong export and import growth in 2016. One of the primary factors was the increase in commodity prices, which led to a significant increase in the value of Indonesia’s mineral exports. Additionally, the depreciation of the Indonesian rupiah made Indonesian products more competitive in the global market, which contributed to the growth of the country’s export industry.
Another factor that contributed to Indonesia’s strong export and import growth in 2016 was the government’s efforts to improve the country’s infrastructure. The government invested heavily in infrastructure projects such as roads, ports, and airports, which helped to facilitate trade and make it easier for businesses to import and export products.
The Outlook for Indonesia’s Export and Import Industry in the Future
The outlook for Indonesia’s export and import industry looks positive, with the country expected to continue its strong growth in the coming years. The government’s ongoing efforts to improve infrastructure and increase investment in the country’s manufacturing sector are expected to contribute to further growth in Indonesia’s export and import activities.
However, there are also some challenges that Indonesia will need to navigate in order to sustain its export and import growth. One of the biggest challenges is the global economic environment, which remains uncertain due to ongoing trade tensions between major economies. Additionally, Indonesia will need to continue to focus on improving its business environment and addressing issues such as corruption and bureaucratic inefficiencies in order to attract more foreign investment and facilitate trade.
Conclusion
In conclusion, Indonesia’s export and import industry experienced significant growth in 2016, with the country recording a total export value of $144 billion and a total import value of $135 billion. The increase in commodity prices and government investment in infrastructure were among the key factors that contributed to this growth. Looking forward, Indonesia is expected to continue its strong growth in the coming years, but will need to navigate challenges such as global economic uncertainty and bureaucratic inefficiencies in order to sustain this growth.
