Data from the agency show Indonesia`s exports in the first nine months of 2010 grew 38.27 percent to US$110.81 billion from the corresponding period last year.

The Central Statistics Agency (BPS) has projected Indonesia`s exports may reach US$150 billion or above this year.

“In the January-September 2010 period alone, our exports reached US$110.81 billion. With exports from October to December projected to average US$12-13 billion, our exports may reach US$150 billion or above at the end of this year,” BPS Chairman Rustam Heriawan said here on Monday.

He said in the January-September 2010 period the export of industrial products grew 34.16 percent, farm products 15.72 percent and other mining products 41.95 percent compared to the same period last year. The main markets for Indonesia`s exports in the first nine months of 2010 were Japan, the United States and China. Over the period Indonesia`s exports to Japan were valued at US$11.79 billion, the United States US$9.68 billion, and China US$9.31 billion.

Indonesia-Brazil Trade Projected to Reach US$2,5 Billion

Ivan Ramalho, the Brazilian Development, Industry, and Foreign Trade deputy minister, said his office had projected trade with Indonesia to reach US$2,5 billion this year. He is optimistic that the target is achievable as both
countries’ trade had already reached US$2 billion. However, according to
Indonesian statistics, the total trade value has not reached that amount yet.

Cocoa tree

according to Gusmardi Bustami, the Trade Ministry’s International Trade
Cooperation director-general, the total trade so far has not reflected the real
potential. Both countries’ trade can still be improved because Indonesian and Brazilian products complement each other.

Based on the Trade Ministry’s data, Indonesia’s non-oil and gas exports to
Brazil last year was valued at US$ 888 million. Meanwhile, in January to July
this year, the export value was US$ 788 million.

So far, Indonesia is still experiencing a trade deficit against Brazil. Last
year, the deficit was US$ 198.5 million. As of the first seven months this year,the deficit was still US$ 147.3 million. Some products exported to Brazil include textile products, footwear, and rubber products like tires.

Bali Moniaga, the former Indonesian Ambassador in Brazil, said the Brazilian
market is full of potential. Brazil is the eighth richest country in the world
with 199 million people. “Half of them are in the upper-middle group,” said

Some of Indonesian exports that can be sent to Brazil include palm oil, rubber and cocoa. Three years ago, Indonesia’s palm oil exports were worth only US$60 million per year. This amount is still below that of Malaysia. However, Indonesia’s palm oil exports to Brazil now has reached US$300 million per year.
Palm oil is used in industrial raw materials like food and cosmetics. In addition, Indonesia has an opportunity to develop rubber exports.

Brazil will not plant rubber trees as it can endanger the Amazon forest. The
same goes for cocoa, because Brazilians are fond of chocolate. “Their chocolate consumption is the fifth highest in the world,” he said. Besides these products, opportunity is still open for the automotive, electronic, and home furniture industries.