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Newsletter CONSULATE GENERAL of the REPUBLIC of INDONESIA, MUMBAI, INDIA VOLUME 04 / APRIL 2012 MONTHLY

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Newsletter CONSULATE GENERAL of the REPUBLIC of INDONESIA, MUMBAI, INDIA VOLUME 04 / APRIL 2012 MONTHLY Indonesia Newsletter CONSULATE GENERAL OF THE REPUBLIC OF INDONESIA, MUMBAI, INDIA VOLUME 04 / APRIL 2012 MONTHLY The 27th Trade Expo Indonesia 2012 October 17-21, 2012 Jakarta International Expo (Jakarta Fairgounds), Kemayoran, Jakarta, Indonesia Visit : www.tradexpoindonesia.com The 27th Trade Expo Indonesia 2012 is set to open on 17 - 21 October 2012. Following its previous shows, Trade Expo Indonesia 2012 will showcase all Indonesian export products ranging from industrial, mining, agricultural to Craft sectors. Last year, Tradexpo Indonesia successfully attracted more than 8.300 buyers from over 100 countries, and generated in total trade transactions valued at US$ 225.9 milion on merchandise and 238.5 million on skilled labour. The fact that thousands of buyers from many countries come to visit Resources (Tradexpo) Indonesia every years demonstrates a high commitment of our trading partners around the world; and also a solid prove that Indonesia is one of the potensial and reliable suppliers of qualified and competitive consumer products. Therefore, you and your associates are cordially invited to pay a visit to The 27th Trade Expo Indonesia 2012, from 17 -21 October 2012 at Jakarta Fairground, Kemayoran, Indonesia. Products on Display : Automotive Components, Cocoa, Coffee, CPO, Electricity & Electronics, Footware, Furniture, Rubber & Rubber Products, Textile and Textile Products, Essential Oils, Handicrafts, Medical Herbs, Jewelry and Accessories, Leather and Leather Products, Processed Foods, Agricultural Products, Building Materials, Chemical, Food and Beverages, Household Goods, Glassware, Paper Products, Sports Equipments, Services. Organized by : Ministry of Trade, Republic of Indonesia, Main Building, , 14th Floor, Jl. MI Ridwan Rais No. 5, Jakarta 10110, Indonesia Tel (0062-21) 23528644 / 23528645 Fax : (62-21)23528654 E-mail : [email protected] / [email protected] / [email protected] Register Online for Trade Expo Indonesia 2012 : www.tradexpoindonesia.com/buyers-registration Download buyers invitation : www.tradexpoindonesia.com/docs/Mail_Shot_TEI2012.pdf INDONESIAN EXPORTS IN MARCH formation (9.9 percent), exports (7.8 percent), and imports (8.2 2012 : Indonesia`s exports in March percent). Compared with the fourth quarter of 2011, only reached US$17.27 billion, a 10.01 household consumption grew by 0.5 percent while other areas percent increase compared to dropped government spending by 45.1 percent, fixed gross capital US$15.69 billion in February, the investment formation by 4.8 percent, exports by 7.2 percent, and Central Statistics Agency (BPS) imports by 6.2 percent. Suryamin pointed out that Indonesia's stated. The March 2012 exports economic growth in the first quarter of 2012 was dominated by consisted of oil and gas exports growth in the provinces of Java and Sumatra. Provinces in Java worth US$3.5 billion and non-oil/non-gas exports valued at contributed 57.5 percent to the country's GDP growth, followed US$13.76 billion, BPS Chief Suryamin stated. The exports brought by provinces in Sumatra (23.6 percent), Kalimantan (9.8 percent), the total exports in the first quarter of 2012 to US$48.53 billion, up Sulawesi (4.5 percent), and Bali and Nusa Tenggara (2.4 percent). 6.93 percent from US$45.39 billion in the same period last year. "The smallest contribution comes from provinces in Maluku and Compared to March 2011, the non-oil/non-gas exports in March Papua, at only 2.2 percent. 2012 rose 11.55 percent from US$12.34 billion to US$13.76 billion and oil and gas exports increased 4.37 percent from US$3.36 RI TO REVISE NEGATIVE INVESTMENT LIST : The government billion to US$3.5 billion. The increase in oil and gas exports resulted expects to finish this year the revision of the long-discussed from a 6.32 percent increase in crude oil exports to US$1.29 negative-investment list in a bid to allow more foreign direct billion, and a 80.21 percent surge in oil product exports to US$525.9 investment (FDI) flowing into several key sectors. Indonesian million. The increase in non-oil/non-gas exports in March 2012 Coordinating Board chief Gita Wirjawan stated that the revision was led by vegetable oil which reached US$2.18 billion, up by would be prioritized to include telecommunication, pharmaceutical US$670.1 million from US$1.51 billion in February 2012. Meanwhile, and health care, and education sectors. The goal is to boost the decline in non-oil/non-gas exports was led by copper products Indonesia’s competitiveness and this can only happen if our human which fell by US$68.3 million from US$307.7 million to US$239.4 resources are more intertwined and there's technological transfer, million. Other commodities which also recorded export growth The government currently restricts foreign ownership in certain were mineral fuels, rubber and rubber products, machinery and sectors to some degree, including the pharmaceutical industry, electrically appliances, crust ore, and metal ash. Meanwhile, the making foreign investors reluctant to invest as they cannot have export of copper, non-knitted garments, wood, wood products majority control over their businesses. The revised list will also and footwear declined. The March 2012 non-oil/non-gas exports ensure local consumers to get the lowest prices possible, Gita mostly went to China with US$2.048 billion, followed by Japan added. US$1.43 billion and the US US$1.28 billion. The non-oil/non-gas exports to the three biggest destinations accounted for 34.63 7,000 MW CAPACITY HYDRO percent of the overall non-oil/non-gas exports. Meanwhile, POWER PLANTS UNTIL 2020 Singapore led Indonesia`s non-oil/non-gas exports to other ASEAN : The government plans to build member countries with US$919.5 million, followed by Malaysia hydro power plants with a US$846.4 million and Thailand US$490.1 million. However, non-oil/ combined capacity of 7,000 non-gas exports to Japan in March 2012 fell US$48 million, followed megawatts in several parts of by Germany US$29.8 million, Britain US$4.1 million, and Australia the country until 2020, Public US$0.6 million. Works Minister Djoko Kirmanto stated. The hydro power plants will be built at several areas in RI’S ECONOMY GREW 6.3 PERCENT IN FIRST QUARTER : Sumatra, Java, Sulawesi and Papua. The construction of the hydro Indonesia's economy has grown 6.3 percent year-on-year (YOY) power plants was part of efforts to use new and renewable in the first quarter of this year, according to the National Statistics energy to generate electricity. The construction of the power plants Agency (BPS). Compared to the fourth quarter of 2011, in terms would involve the government, state-owned companies and private of GDP, it has grown 1.4 percent, BPS chief Suryamin stated companies. The government was also planning to build dams to adding that GDP growth based on current prices reached irrigate paddy fields, supply drinking water to households and Rp1,972.4 trillion, however, based on a constant price of 2,000, it industries in many areas in the country. The dams that would be was Rp632.8 trillion. Without oil and gas, the GDP in the first built until 2014 would be able to accommodate 1.5 billion cubic quarter of 2012 increased by 1.5 percent from the fourth quarter meters per year. To date, the country had a total of 284 dams of 2011. And compared to the corresponding period of the previous capable of accommodating 12.9 billion cubic meters per year and year (YOY), it grew 6.7 percent. Suryamin said the sectors that 1,109 reservoirs capable of accommodating 0.1 billion cubic meters drove the growth were agriculture, animal husbandry, forestry, per year. fishery, finance, real estate, corporate service, communication, and transportation, among others. The highest growth in the first REALIZED FOREIGN INVESTMENT IN INDONESIA IN THE FIRST quarter of 2012 was recorded in the agricultural, animal husbandry, QUARTER : Realized foreign investment in Indonesia rose by 30 forestry, and fisheries sectors, at 20.9 percent. Suryamin noted percent to Rp 51.5 trillion (US$5.7 billion) in the first quarter that the growth in the agricultural sector was driven by large compared to the same period in 2011, the highest ever recorded harvests, while the transportation sector was boosted by for any quarter in Indonesia’s history, according to the Investment increased international travel at the beginning of the year, and Coordinating Board (BKPM). Announcing the figure, BKPM Chairman communication sector benefitted from increasing sales of and Trade Minister Gita Wiryawan said realized FDI, which created communication equipment. The high growth in the transportation 250,711 new jobs, defied a common trend in which the first quarter sector was contributed by air transportation, while in the figure usually falls from the previous quarter. BKPM, which also communication sector it was the Internet, following a shift from oversees investment companies, is confident Indonesia will reach SMS use to Internet networking. Suryamin explained that the growth its total investment target of Rp 283.5 trillion in 2012, a 13 percent in the construction was also fast because the government was increase over 2011, according to Gita. BKPM records and encouraging capital expenditure. Transportation and administers investment outside the oil/gas and financial sectors. communication grew 10.3 percent, while trade, hotel, and Gita, attributed FDI growth in the first quarter to the surging number restaurants 8.5 percent and construction 7.3 percent. Suryamin of Japanese and South Korean companies. Singapore remained said other areas that contributed to the growth this quarter were the biggest source of FDI in the first quarter with $1.2 billion, household consumption (with a YOY growth of 4.9 percent), followed by Japan with $600 million and South Korea with $500 government spending (5.9 percent), fixed gross capital investment million.
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