120
Indonesia-Thailand Business Opportunities
Syafrudin YahyaCommercial Attache
Embassy of the Republic of Indonesia
International Trade Day
Bangkok, 26 March, 2010
4
THE WORLDECONOMIC & TRADE CONDITION
World Economic Growth
Sumber: World Economic Outlook, IMF (diolah)
The global economic recovery is more stronger than previously predicted, but there is a differentpace between developed and emerging economies ( RRT, India dan Indonesia). Developedeconomies experience deep declining and slower recovery. In 2010 worls economic growth ispredicted at 4%.
5
-10%
-5%
0%
5%
10%
15%
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
2006 2007 2008 2009 2010 2011
World Advanced economies Emerging economies
Estimation of Economic Growth of Some ASEAN Countries
Keterangan: kolom warna hijau merupakan angka estimasi
Indonesian economic growth for period of 2010 – 2014 is predicted growing higher thanMalaysia, Philipines, and Thailand. RRT growth by 8-9 percent and India 7-8 percent.
6
(6.00)
(4.00)
(2.00)
-
2.00
4.00
6.00
8.00
10.00
12.00
14.00
2007 2008 2009 2010 2011 2012 2013 2014
China India Indonesia Korea Malaysia Philippines Thailand
%Country 2007 2008 2009 2010 2011 2012 2013 2014
China 13.01 9.01 8.50 9.03 9.73 9.84 9.77 9.51
India 9.37 7.35 5.36 6.42 7.28 7.63 7.99 8.08
Indonesia 6.28 6.06 3.99 4.75 5.00 5.50 6.00 6.30
Korea 5.11 2.22 (0.99) 3.55 5.20 4.97 4.66 4.54
Malaysia 6.18 4.63 (3.63) 2.52 4.05 5.50 6.00 6.00
Philippines 7.08 3.84 0.99 3.21 3.80 4.50 4.50 4.50
Thailand 4.93 2.59 (3.46) 3.71 4.50 5.00 6.00 6.00
Source: International Monetary Fund, World Economic Outlook Database, October 2009
Indonesia Economic Performance
• Economic Growth: 4,5% di 2009 (Q4 5,4%) supported by Household Consumption 4%, Govt. Expenditure 17%, net Export 10,6%
• Rupiah Strengthen by 15.4% (2009). Jan-Feb 2010 1,3%
• Foreign Reserve: $66,1 Billion (Des 2009) Inflation Rate: 2,78% 2009, Jan 2010 0,84%
• Trade: Export Value $116,5 Billion, Net Export $19,6 Billion
7
MACRO ECONOMIC TARGET 2010
• Inflation Rate : 5,5% 5,7%
• Unemployment Rate : 7,5% – 8%
• Poverty Rate : 12% – 13,5%
Economic Growth 5,5%
SEKT OR 2010*
1. Pertanian, Peternakan, Kehutanan dan Perikanan 4,2
2. Pertambangan dan Penggalian 2,3
3. Industri Pengolahan 3,7
4. Listrik, Gas, dan Air Bersih 14,0
5. Konstruksi 7 ,2
6. Perdagangan, Hotel, dan Restoran 4,4
7 . Pengangkutan dan Komunikasi 14,8
8. Keuangan, Real Estat, dan Jasa Perusahaan 5,5
9. Jasa-jasa 6,5
PRODUK DOMEST IK BRUT O 5,5
Pengeluaran 2010
Konsumsi Rumah Tangga 5,0
Konsumsi Pemerintah 7,6
Investasi/PMTB 7,8
Ekspor 13,2
Impor 16,4
PDB 5,5
8
9
INDONESIAN COMPETITIVENESS IN THE GLOBAL MARKET
10
Indonesia Global Competitiveness Index 2010
Source: Global Competitiveness Report (2009-2010
Source: Logistic Performance Index 2010
Ket.: Negara yang disurvai sejumlah 155
Logistic Performance Index 2010
11
Business RegulationsIndonesia’s Relative Position 2010
Protecting Investors 41
Trading Across Borders 45
Getting Credit 113
Competitive Disadvantages
Relative to GDP per CapitaCompetitive Advantages
Relative to GDP per CapitaCountry Ranking
Country Ranking Starting a Business 161
Enforcing Contracts 146
Employing Workers 149
Closing a Business 142
OVERALL (Ease of Doing Business) 122
Paying Taxes 126
Dealing with Construction Permits 61
Registering Property 95
Source: World Bank, Doing Business (2010)
In 2006, Indonesia ranks 115th out of 155 countries
In 2009, Indonesia ranks 129th out of 181 countries
In 2010, Indonesia ranks 122th out of 183 countries
The World Competitiveness
2008 COUNTRY 2009
1 USA 1
3 Hong Kong 2
2 Singapore 3
19 Malaysia 18
13 Taiwan 23
27 Thailand 26
51 Indonesia 42
40 Filipina 43
38 Hungary 45
48 Turkey 47
46 Italia 50
42 Grace 52
0
10
20
30
40
50
60
USA Hongkong Singapura Malay sia Taiw an Thailand Indonesia Filipina Hungaria Turki Italia Yunani
2008
2009
Governance
Sorted by average rank across all six categoriesSource: World Bank (2008)
0
50
100
Singapore Malaysia Brazil Mexico India Thailand China Phillipines Indonesia
Perc
en
tile
Ran
k
Government Effectiveness
Regulatory Quality
Voice and Accountability
Control of Corruption
Rule of Law
Political Stability
Categories sorted by Indonesia’s rank
Dalam hal good governance, unsur yang cukup baik di Indonesiaadalah government effectiveness, regulatory quality, dan voice andaccountability.
Selected Countries, 2008
13
Telecommunication Infrastructure of Indonesia Compare to Other Countries, 2008
0
20
40
60
80
100
120
140
per 1
00 in
habi
tant
s
Main Telephone Lines
Mobile Cellular Subscriptions
Internet Users
Perkembangan sarana telekomunikasi Indonesia memang semakin baik, terutamajumlah pengguna telepon selular. Perkembangan ini merupakan dampak dari adanyareformasi yang pesat pada sektor telekomunikasi. Namun jika dibandingkan dengannegara-negara lain, Indonesia masih tertinggal.
14
Sumber: ITU
Trend Share of Indonesian Export in the World Market
Note: Services data for 2004-2007 was retrieved from ITC.Services data for 2008 is estimated by TREDA
Source: WTO,ITC
Pangsa Pasar Ekspor Dunia
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
1.20%
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Goods
Services
TOTAL
Indonesian share to total world export has been increasing from 0,8% (US$ 71,6 Billion) in 2004 to 0,9%(US$ 137,0 Billion) in 2008.
15
16
ECONOMIC AND TRADE PERFORMANCES
Dit. KSB-I
17
TRADE BALANCE
Dit. KSB-I
18
Surplus of Trade Balance in 2009
Sumber: BPS (diolah)
• Declining in export by 15% during 2009 and declining in import recorded as 25%
contribute to surplus of trade balance by 151% (US$ 19.6 billion) in 2009
• For Non- oil & gas surplus was 11% in 2009.
-
2.0
4.0
6.0
8.0
10.0
12.0
14.0
Jan'08 Peb Mar Apr Mei Jun Jul Ags Sep Okt Nop Des Jan'09 Feb Mar Apr Mei Juni Juli Ags Sept Okt Nop Des
Neraca Perdagangan Indonesia (Miliar US$)
Ekspor Impor Neraca
Dit. KSB-I
19
EXPORT
PERFORMANCE
Dit. KSB-I
20
Indonesian Non-oil & gas Export
Experience Positive Trend
Sumber: BPS (diolah)
• Export Non- Oil & Gas Quartal IV 2009 increased by 1.3% or US$ 331 million better compare to quartal IV 2008
(Grafik 2).
• Increasing of non oil & gas export mainly contributed by export of mineral fuel 21.6%, vegetable oil & fat 106,7%,
machinery & equipment 6,0%, iron ores 62,4% and rubber and rubber products 17,1%.
• Increasing also contributed by better price of the world main commodities, unfavourable climate that affact sworld
supply, and increasing demand come from some countries such as China and India.
Growth rate (yoy)
Moving p.a annual growth rate
-40
-20
0
20
40
60
80
0
2
4
6
8
10
12
Jan'08 Feb Mar Apr Mei Jun Jul Ags Sept Okt Nov Des Jan'09 Feb Mar Apr Mei Juni Jul Ags Sept Okt Nov Des
PersenUS$ Miliar
Ekspor Non Migas Indonesia
Growth rate (m to m)
Dit. KSB-I
21
INDONESIAN MAIN EXPORT PRODUCT• Export product more varieties: Indonesia export has been dominated by
natural base products, but their contribution to total export was declining, onthe other hand export of processing products increasing.
• Export of vegetable oil during Dec 2009 increase by 106,3% that was triggeredby increasing price of CPO (9,1%) due to increasing demand in China and Indiaand declining production of CPO from Malaysia.
Sumber: BPS (diolah)
0 200 400 600 800 1000 1200 1400 1600 1800 2000 2200
Bahan bakar mineral
Lemak & minyak hewan/nabati
Mesin/peralatan listrik
Bijih, Kerak, dan Abu logam
Karet dan Barang dari Karet
Mesin-mesin/Pesawat Mekanik
Pakaian jadi bukan rajutan
Barang-barang rajutan
Alas kaki
Kakao/coklat
Produk Ekspor Utama Indonesia, Jan-Des 2009 (US$ Juta)
Des
Nov
Okt
Sept
Ags
Juli
Juni
Mei
Apr
Mar
Feb
Jan
Dit. KSB-I
22
INDONESIA : MAIN EXPORT DESTINATION
• Still high concentrated on 8 main market;
• ASEAN the biggest market, account for more than 20% ;
• During December 2009, export to main market such as US, UE, ASEAN, China, increasing afterexperience decline the month earlier.
Sumber: BPS (diolah)
0 200 400 600 800 1000 1200 1400 1600 1800 2000 2200
ASEAN
UNI EROPA
CHINA
JEPANG
AMERIKA SERIKAT
AUSTRALIA
KOREA SELATAN
TAIWAN
Negara Tujuan Ekspor Utama Indonesia (Juta US$)
17.57
23.96
36.53
32.27
12.80
-10.74
65.58
38.89
-60 -40 -20 0 20 40 60 80 100 120
Pertumbuhan (%)
Des
Nov
Okt
Sept
Ags
Juli
Juni
Mei
Apr
Mar
Feb
Jan
Dit. KSB-I
23
Shifting of Indonesia Export Destination 2004-2009
Sumber: BPS (diolah)
• Indonesian export destination as been shifting from traditional countries to
non-traditional countries. Share of UE, US, and Japan tend to decline and
move to China, India and some other countries.
UNI EROPA16,1%
AMERIKA SERIKAT14,8%
JEPANG15,0%
SINGAPURA9,6%
REP.RAKYAT CINA6,1%
MALAYSIA5,1%
INDIA3,8%
KOREA SELATAN3,3%
TAIWAN2,7%
THAILAND2,8%
Lainnya20,6%
Share Negara Tujuan Ekspor Non MigasJan-Des 2004
UNI EROPA13,9%
AMERIKA SERIKAT10,7%
JEPANG12,3%
SINGAPURA8,2%
REP.RAKYAT CINA9,1%
MALAYSIA5,8%
INDIA7,2%
KOREA SELATAN5,3%
TAIWAN2,9%
THAILAND2,7%
Lainnya21,9%
Share Negara Tujuan Ekspor Non MigasJan-Des 2009
Dit. KSB-I
24
IMPORT PERFORMANCE
Dit. KSB-I
25Sumber: BPS (diolah)
Import Performance 2009
• Total non- oil & gas import 2009 indicated an declining trend compare to 2008, mainly
contributed by slowdown in import of consumer goods and raw material.
• Total non- oil & gas import for 2009 declined to US$ 77,9 billion, lower 21,1% compare to
2008
Moving p.a annual growth rate
-60
-40
-20
0
20
40
60
80
100
120
140
0
1
2
3
4
5
6
7
8
9
10
Jan'08 Feb Mar Apr Mei Jun Jul Ags Sept Okt Nov Des Jan'09 Feb Mar Apr Mei Juni Jul Ags Sept Okt Nov Des
PersenUS$ Miliar
Impor Non Migas Indonesia
Growth rate (m to m)
Growth rate (yoy)
Dit. KSB-I
26
Import Commodities is Shifting
Share of consumer good and raw materials experience a declining, capital good incresing.
Consumption
goods7%
Raw materials72%
Capital goods
21%
2009
Consumption goods
8%
Raw materials
78%
Capital goods14%
2004
Sumber: BPS (diolah)
Dit. KSB-I
27
ASEAN26.43%
UE12.67%
Jepang14.38%
China19.77% Amerika
Serikat10.31%
Korea Selatan5.58%
Australia 4.95%
Taiwan 2.94%
India2.98%
2009
ASEAN26.41%
UE12.12%
Jepang19.26%
China7.90% Amerika
Serikat19.00%
Korea Selatan4.24%
Australia 2.66%
Taiwan 3.56%India
4.86%
2004
Import of Non- Oil & Gas Structure
by Country of Origin
Sumber: BPS (diolah)
• Import share of Indonesia has been change;
• Domination of US and Japan are declining, shifting to China and Australia.
• Import share from ASEAN and UE tend to constant.
Dit. KSB-I
28
INDONESIAECONOMIC INDICATORS
Dit. KSB-I
29Source: BPS, BI (processed by Dit. KSB-I)
Indonesian Economics Indicators
Economic Indicators 2005 2006 2007 2008 2009Economic growth 5.69 5.50 6.28 6.06 4.5
-Without oil and gas 6.57 6.11 6.87 6.52 4.9
Inflation y.o.y 17.11 6.6 6.59 11.06 2.78
BI rate 12.75 9.75 8.00 9.25 6.50
Rupiah exchange rate (Rp/US$) 9,830 9,020 9,419 10,950 9,698
External
Foreign reserves (US$ billion) 34.72 42.59 56.92 51.64 66.10
Current account (% of GDP) 0.1 2.9 2.4 0.1 1.9
Budget Defisit (%GDP) 0.5 0.9 1.3 0.1 1.6
Government debt (% of GDP) 46.5 39.2 35.5 33.3 n.a.
Foreign debt
-% of GDP 46.1 34.9 31.2 28.9 30.8
-Debt Service Ratio (%) 17.3 24.8 19.4 18.1 22.7
Unemployment rate (%) 11.24 10.28 9.11 8.39 8.14
Poverty Rate (%) 15.97 17.75 16.58 15.42 n.a.
Dit. KSB-I
30
INDONESIAECONOMIC INDICATORS
• 2009 economic growth 4,5% supported government expenditure and consumption
• 2010, growth is expected at 5,5% driving by export and investment.
• Inflatiuon 2009 range between 2,9% -3%, in 2010 increase to 5% - 6%, but it will not affect purchasing power significantly.
Dit. KSB-I
31
INDONESIAECONOMIC INDICATORS
• Prospect of Indonesian economy for 2010 is better than 2009, due to global economic recovery and improvement in
investment climate.
• Some Challenges: should be consider risk of adverse wave of global capital; increasing price of primary commodities (crude oil); and budget deficit of some developed economies.
The World Competitiveness
2008 COUNTRY
2009
1 USA 1
3 Hong Kong
2
2 Singapore 3
19 Malaysia 18
13 Taiwan 23
27 Thailand 26
51 Indonesia 42
40 Filipina 43
38 Hungary 45
48 Turkey 47
46 Italia 50
42 Grace 52
0
10
20
30
40
50
60
USA Hongkong Singapura Malay sia Taiw an Thailand Indonesia Filipina Hungaria Turki Italia Yunani
2008
2009
• No 1 world‘s largest producer of Crude Palm Oil (17 mil ton)
•No. 3 world‘s largest producer of cocoa (520 million ton/year)
• No. 2 world’s largest producer of Tin
• No. 4 world’s largest producer of Copper
• No. 5 world’s largest producer of Nickel
• No. 7 world’s largest producer of Gold
• No. 7 world’s largest producer of Coal and the most
prominent steam coal exporter
COMPARATIVE ADVANTAGES
(NATURAL RESOURCES)
2. Agro Industry (Palm Oil)
Potency Development
Land Area 5.15 million ha 10.65 million ha
CPO Production 20 million ton 35 million ton
Employment(1 person/ha)
5,15 million persons 10,6 million persons
Value Chain (US$.800/ton)
US$. 13,6 billion US$. 28 billion
Trade Performance:Thailand-Indonesia in 2009
VALUE (in US$ billion)• Thailand exports to Indonesia : 4,667• Thailand imports from Indonesia : 3,800• Indonesia trade deficit with Thailand : 867• Total Trade : 8,467
• GROWTH compare to 2008• Exports : -26,2% • Imports : -29.7%• 2010 (January in million US$)• Exports : 537 97.4%)• Imports : 425 (94.0%)• Thailand Surplus : 112
Imports Thailand from Indonesia 2009
No.HS
(4 DIGIT)Uraian
Januari-Desember Perubahan08-092008 2009
1 2701(KG) COAL ; BRIQUETTES, OVOIDS AND SIMILAR SOLIDFUELS MANUFACTURED FROM COAL 852,838 670,953 -21.32
2 2709(LT)PETROLEUM OILS AND OILS OBTAINED FROM BITUMINOUSMINERALS, CRUDE 401,506 539,835 34.45
3 7403(KG) REFINED COPPER AND COPPER ALLOYS, UNWROUGHT 333,980 236,859 -29.08
4 8708(KG) PARTS AND ACCESSORIES OF THE MOTOR VEHICLES OF HEADING 196,650 176,235 -10.38
5 0303(KG)FISH, FROZEN, EXCLUDING FISH FILLETS AND OTHER FISH MEAT OFHEADING 190,357 133,188 -30.03
6 8001(KG) UNWROUGHT TIN 195,224 130,239 -33.29
7 8409(KG)PARTS SUITABLE FOR USE SOLELY OR PRINCIPALLY WITHTHE ENGINES OF HEADING 132,396 112,389 -15.11
8 7408(KG) COPPER WIRE 115,077 91,660 -20.35
9 8501(NO) ELECTRIC MOTORS AND GENERATORS(EXCLUDING GENERATING SETS) 111,529 59,946 -46.25
10 8414 AIR OR VACUUM PUMPS, AIR OR OTHER GAS COMPRESSOR AND FANS 64,739 51,121 -21.04
TOTAL IMPOR THAILAND DARI INDONESIA 4,766,721
SOURCE: INFORMATION AND COMMUNICATION TECHNOLOGY CENTER WITH COOPERATION OF THE CUSTOMS DEPARTMENT
(Dalam ribu US dollar)
Exports Thailand to Indonesia 2009
No.HS
(4 DIGIT)Uraian
Januari-Desember Perubahan08-092008 2009
1 8703 MOTOR CARS AND OTHER MOTOR VEHICLES PRINCIPALLY DESIGNED 613,204 393,024 -35.41
2 1701(KG) CANE OR BEET SUGAR AND CHEMICALLY PURE SUCROSE, IN SOLIDFORM
449,608 333,749 -25.58
3 8708(KG) PARTS AND ACCESSORIES OF THE MOTOR 570,725 295,020 -48.30
4 8409(KG) PARTS SUITABLE FOR USE SOLELY 208,566 172,189 -17.44
5 8714 INDUSTRIAL OR LABORATORY FURNACES 209,876 158,604 -24.43
6 8415 AIR CONDITIONING MACHINES, COMPRISING 145,560 141,852 -2.55
7 8704 MOTOR VEHICLES FOR THE TRANSPORT OF GOODS 286,523 126,360 -55.90
8 2902(KG) CYCLIC HYDROCARBONS 86,823 108,492 24.96
9 3305(KG) PREPARATIONS FOR USE ON THE HAIR 79,834 82,637 3.51
10 2710 PETROLEUM OILS AND OILS OBTAINED FROM BITUMINOUSMINERALS
157,461 74,868 -52.45
TOTAL EKSPOR THAILAND KE INDONESIA 4,695,075
(Dalam ribu US dollar)
SOURCE: INFORMATION AND COMMUNICATION TECHNOLOGY CENTER WITH COOPERATION OF THE CUSTOMS DEPARTMENT
Investment
Mining
Non-metallic Products
Fishery
Food Products
Potential Sectors for
Business Integration
• Automotive & Auto Parts
• Electronics &Electrical Appliances
• Agro Industry
• Oil & Gas & Petrochemical
• Tourism & Services
TEN MAIN EXPORT
PRODUCTS
INDONESIA
Product (Export) Country of Export Destination
Shrimp
(US$ 1.1 billion)
Japan, Hong Kong, China, Singapore,Malaysia, Australia, Taiwan, Thailand,South Korea, Vietnam, USA, Belgium,England, Spain, French, Canada, Dutch,Italy, German.
Coffee(US$ 0.6 billion)
Brazil, Spain, Italy, Turk, Argentina,USA, England, India, China, Thailand,Japan, Vietnam, Pakistan, Malaysia,Hong Kong, Sri Lanka, Bangladesh,Egypt, Iran.
CPOUS$ 4.8 billion)
India, China, Malaysia, Pakistan,Singapore, Bangladesh, Vietnam,Jordania, Tanzania, South Africa, Egypt,Iran, Mozambique, German, Spain, Italy,Turkey, Russia, USA
Cacao
(US$ 0.9 billion)
Malaysia, Singapore, Thailand, China,India, Japan, Philippine, Taiwan, SriLanka, USA, Brazil, Canada, German,Dutch, Russia, Swiss, Belgium, England,Mali.
Rubber and Rubber Products (US$ 5.5 billion)
Japan, Malaysia, Philippines, Australia,Thailand, Singapore, Hong Kong, Taiwan,Sri Lanka, South Korea, USA, England,German, Belgium, Italy, Dutch, Canada,PEA, Saudi Arabia, Egypt
10 Main Export Products of Indonesia
Product Country of Export Destination
Textile and Garment(US$ 9.4 billion)
USA, England, German, Panama, Italy,Canada, Mexico, Dutch, Spain, French,Japan, Australia, Singapore, Hong Kong,Sri Lanka, South Korea, PEA, SaudiArabia, Ethiopia, Nigeria. Kenya, Tunisia,Sudan
Footwear(US$ 1.6 billion)
USA, Belgium, England, French, Italy,German, Mexico, Spain, Canada, Chili,Panama, Turk, Japan, Malaysia, Thailand,South Korea, Australia, China, HongKong.
ElectronicsUS$ 7.9 billion)
Japan, Taiwan, South Korea, China,Malaysia, Hong Kong, Australia,Singapore, Thailand, Vietnam, German,Dutch, Italy, Belgium, Poland, USA,England, Denmark, French, Yunani.
Motorcycle Components(US$ 1.2 billion)
USA, French, England, German, China,Malaysia, Vietnam, Australia, Hong Kong,Japan, Singapore, Thailand, Sri Lanka,India, Pakistan, Philippine, USA, Canada,Belgium, Turk, PEA, South Africa, Iran,Saudi Arabia
Furniture (US$ 7.8 billion)
USA, French, England, Dutch, Belgium,Spain, German, Italy, Canada, Denmark,Sweden, Japan, Australia, Malaysia,Singapore, South Korean, Taiwan, China,PPEA, South Africa
10 Main Products of Indonesia
INDONESIA
Ten Export Potential
Products
Products Country of Export Destination
Handicraft Australia, Japan, Singapore, Hong Kong,South Korea, PEA, Nigeria, South Africa,Saudi Arabian, USA, England, German,French, Italy, Spain, Dutch, Canada,Belgium.
Fish and Fish Products
Australia, Japan, Singapore, China,Malaysia, Taiwan, Hong Kong, Thailand,South Korea.
Medicinal Herbs Australia, Taiwan, Singapore, India,Hong Kong, Japan, Malaysia, China,South Korea, Saudi Arabian, PEA,French, German, USA, Russia, Dutch.
Leather and Leather Products
Hong Kong, Vietnam, Singapore, China,Thailand, India, Japan, South Korea,Malaysia, Taiwan, South Africa, Egypt,United of Emirate Arabs, Italy, USA,German, Norway, Spain, England,Brazil.
Processed Food Singapore, Japan, Malaysia, Philippine,Hong Kong, India, Cambodia, Thailand,Taiwan, Australia, Vietnam, SouthKorea
10 Potential Products of Indonesia
Products Country of Export Destination
Jewellery Singapore, Hong Kong, Australia,Japan, PEA, USA, German, England,Italy, Spain.
Essential Oils Singapore, Malaysia, Thailand,Philippine, Japan, Vietnam, China,Hong Kong, Taiwan, India, Pakistan,PEA, Saudi Arabia, Yemen, Nigeria,Kenya, USA, French, England, Swiss,Spain, Dutch.
Spices Singapore, United of Emirate Arabs,Morocco, Algeria, Tunisia, USA, Dutch,Brazil, German, Belgium.
Stationary non Paper Singapore, Australia, Malaysia,Thailand, Hong Kong, Japan, NewZealand, Saudi Arabia, Iran, United ofEmirate Arabs, USA, German,Belgium, England, Mexico, Colombia,Sweden.
Medical Instruments and Appliances
Japan, China, Singapore, Pakistan,Malaysia, Hong Kong, Samoa,Maldives, India, Saudi Arabia, Unitedof Emirate Arabs, Kuwait, Qatar,German, USA, Swiss, Dutch, Andorra.
10 Potential Products of Indonesia
Investment Opportunities
STEEL INDUSTRY
• CRUDE IRON INDUSTRY
“IRON MAKING” (PELLETIZING, PIG IRON &
SPONGE IRON INDUSTRIES)
• CRUDE STEEL INDUSTRY
“STEEL MAKING” (CRUDE STEEL INDUSTRIES :
SLAB, BILLET, BLOOM)
• STEEL MILLING INDUSTRY
“STEEL ROLLING” (HOT ROLLED COIL/HRC AND
COLD ROLLED COIL /CRC)
CRUDE IRON INDUSTRY• Currently there is no iron ore processing industry in Indonesia, especially for pellet and
pig iron industry.• National demand of iron ore : 2-3 million ton/year (all are still imported).• PT. Krakatau Steel is currently producing sponge iron for their own use to produce
crude steel (slab, bloom and billet).
CRUDE STEEL INDUSTRY Currently slab (as raw material of flat product) for crude steel industry is only
produced by PT. Krakatau Steel, while for bloom and billet (raw material of longproduct) are produced by more than 10 domestic producers which most of themlocated in Java and few in North Sumatera, with an average production capacityutilization of only 49%, so that the national consumption demand is still not met. Thus,the potency for this market is still wide open especially for the same production withhigher grade specification and for location out of Java.
STEEL MILLING INDUSTRY While for steel milling production, they are about 20 domestic producers currently
concentrating in HRC and CRC products with production capacity utilization no morethan 50% and thus this still not meet the demand of national consumption.
Commodities in down-stream steel industry such as profile steel, seam pipe, bodystructure & chassis and household appliances are predicted will continue growingmoderately around 15%/ year, meaning that the demand of HRC and CRC as rawmaterials will continue to increase.
INVESTMENT OPPORTUNITY IN STEEL INDUSTRY (1)
INVESTMENT OPPORTUNITY IN STEEL INDUSTRY (2)
RAW MATERIAL AND SUPPORTING INDUSTRY Indonesia has very huge natural endowment of steel raw
material, but still not utilized for national steel iron industrydevelopment :
Iron ore deposit in Kalimantan Selatan, Kalimantan Timur, alongcoastline of Jawa and Bali island, north coast of Aceh, west coastof Bengkulu and several area : 2 – 5 billion ton
Iron sand deposit in along coastline of Java island : 170 million ton Laterit deposit (solid slab which contain iron more than 50%) in
Java island : 1 billion ton Coal: proven 5,8 billion, reserves 7 billion ton which spread in 18
Provinces, Potency of natural resources reach 57 billion ton. Natural Gas: proven 90.30 TSCF, potency 86.29 TSCF which
spread in 10 Provinces. (TSCF=Trillion Standard Cubic Feet)
Supporting industry as the largest coal producer in Indonesiaare PT. Kalimantan Prima Coal, PT. Arutmin, PT. BatubaraBukit Asam
Supporting industry related to gas supply namely PT. GasNegara, PT. Pertamina, BP Migas, PT. Exxon Mobil, PT. Arcoand Direktorat Migas
AUTOMOTIVE INDUSTRY
Promising growth of middle and upper class income segment (18 million people)
Decreasing (lower) interest rate, easing of car lease/loan 15% growth of automotive market demand is forcasted for
2008 Targeted sales of cars (by Ministry of Industry) in 2010 : 1
million units Attractive market for Passenger cars : - Sedan : cc < 1.500, 1,500 cc – 3,000 cc - Multipurpose Vehicles (MPV) - Double Cabin (light truck) 4x4 or 4x2 Improved industrial estate/zone/special economic zone
facilities
AROMATIC CENTRE (1)A. Paraxylene
- Potential market : Domestic and Export- Projected by 2010, domestic demand : 1.200.000
tons and domestic production : 666.000 ton- Requires additional production capacity of 534.000
ton/year
B. Orthoxylene- Potential Market : Domestic and Export- Projected by 2010, domestic demand : 798.750 ton and
domestic production : 118.800 ton- Requires additional production capacity of + 700.000
ton/year
AROMATIC CENTRE (2)
C. Toluena- Potential Market : Domestic and Export - Projected by 2010, domestic demand :
303.050 ton and domestic production : 175.000 ton
- Requires additional production capacity of +120.000 ton/year
D. Potential LocationBanten Province, East Kalimantan Province, South Sulawesi Province, and East Java
Province
PETROCHEMICAL INDUSTRY
No Type of Industry Indicator Opportunity
1. Styrene Monomer Over supply Export
2. PTA Over supply Export
3. Styrene Butadiene Rubber The capacity and utility are low Revamping, Investment
4. Pthalic Anhydride Domestic demand is low, Capacity is high and utillity is low
Revamping, Export
5. Polystyrene Domestic demand is low, high capacity and the utility is low
Revamping, Export
6. Polyethylene Terepthalate Domestic demand is low, high capacity, and the utility is low
Revamping, Export
7. Acrylonitrile Butadiene Styrene Domestic demand is low, high capacity, and the utility is low
Revamping, Export
8. Benzene Small capacity, and high demand Investment
9. Paraxylene Small capacity, and the demand is high Investment
10. Ethyle Benzene Small capacity, and the demand is high Investment
11. Alkyl Benzene Small capacity, and the demand is high Investment
12. Styrene Acrylonitrile Small capacity, and the demand is high Investment
13. AB Sulfonate Small capacity, and the demand is high Investment
A. Ethylene- Potential market : domestic and export
Projected by 2010, domestic demad : 890.000 ton and domestic production : 485.000 ton
- Requires additional production capacity of 400.000.000 ton/ year
B. Prophylene- Potential market : domestic and export
Projected by 2009 : domestic demad : 1.213.000 ton and domestic production : 485.000 ton
- Requires additional production capacity of 1.010.000 ton/year
C. Polyethylene- Potential market : domestic and export
Projected by 2010, domestic demad : 612.000 ton/year and domestic production : 209.000 ton/year
- Requires additional production capacity of + 400.000 ton/year
D. Potential LocationBanten Province, East Kalimantan Province, South Sulawesi Province, and East Java Province
OLEFIN CENTER
CPO DERIVATIVES INDUSTRY
A
COCOA PROCESSING INDUSTRY
Cocoa grinding : cocoa butter cocoa powder cocoa cake Final product, such as Candy, Chocolate
Supporting information: 1. Cocoa Production :
2010 : 865,112 ton 2015 : 1,062,059 ton
2. Existing domestic industry :- 16 cocoa processing industries with capacity 250,000 ton and
production 121,300 ton (26.57% of total production of cocoa beans in 2006)
3. Indonesian and ASEAN market :- Domestic consumption per capita: 0.06 kg (13,200 ton per year)- Asia and Oceania consumption per capita : 0.12 kg
Processed Products
• Production Growth : 7,98 % p.a.• Export Growth : 8,08%• Domestic Consumption Growth : 6,91%.• Import Growth : 4,92%
• Real Installed Capacity : 200.000 ton/ year• Used Capacity : 180.000 ton/ year
• With the current rate of growth of production, export and consumption, Indonesia needs additional capacity of around : 17,000 – 20,000 ton/year
QUESTIONS
?
For more informationplease search at
• http:\\ www.depdag.go.id
• http:\\ www.bkpm.go.id
• http:\\ www.nafed.go.id
OR contact
Indonesian Commercial Attache’ in Bangkok
Indonesia-Thailand Business Opportunities
Syafrudin YahyaCommercial Attache
Embassy of the Republic of Indonesia
International Trade Day
Bangkok, 26 March, 2010
3
THE WORLDECONOMIC & TRADE CONDITION
World Economic Growth
Sumber: World Economic Outlook, IMF (diolah)
The global economic recovery is more stronger than previously predicted, but there is a differentpace between developed and emerging economies ( RRT, India dan Indonesia). Developedeconomies experience deep declining and slower recovery. In 2010 worls economic growth ispredicted at 4%.
4
-10%
-5%
0%
5%
10%
15%
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
2006 2007 2008 2009 2010 2011
World Advanced economies Emerging economies
Estimation of Economic Growth of Some ASEAN Countries
Keterangan: kolom warna hijau merupakan angka estimasi
Indonesian economic growth for period of 2010 – 2014 is predicted growing higher thanMalaysia, Philipines, and Thailand. RRT growth by 8-9 percent and India 7-8 percent.
5
(6.00)
(4.00)
(2.00)
-
2.00
4.00
6.00
8.00
10.00
12.00
14.00
2007 2008 2009 2010 2011 2012 2013 2014
China India Indonesia Korea Malaysia Philippines Thailand
%Country 2007 2008 2009 2010 2011 2012 2013 2014
China 13.01 9.01 8.50 9.03 9.73 9.84 9.77 9.51
India 9.37 7.35 5.36 6.42 7.28 7.63 7.99 8.08
Indonesia 6.28 6.06 3.99 4.75 5.00 5.50 6.00 6.30
Korea 5.11 2.22 (0.99) 3.55 5.20 4.97 4.66 4.54
Malaysia 6.18 4.63 (3.63) 2.52 4.05 5.50 6.00 6.00
Philippines 7.08 3.84 0.99 3.21 3.80 4.50 4.50 4.50
Thailand 4.93 2.59 (3.46) 3.71 4.50 5.00 6.00 6.00
Source: International Monetary Fund, World Economic Outlook Database, October 2009
Indonesia Economic Performance
• Economic Growth: 4,5% di 2009 (Q4 5,4%) supported by Household Consumption 4%, Govt. Expenditure 17%, net Export 10,6%
• Rupiah Strengthen by 15.4% (2009). Jan-Feb 2010 1,3%
• Foreign Reserve: $66,1 Billion (Des 2009) Inflation Rate: 2,78% 2009, Jan 2010 0,84%
• Trade: Export Value $116,5 Billion, Net Export $19,6 Billion
6
MACRO ECONOMIC TARGET 2010
• Inflation Rate : 5,5% 5,7%
• Unemployment Rate : 7,5% – 8%
• Poverty Rate : 12% – 13,5%
Economic Growth 5,5%
SEKT OR 2010*
1. Pertanian, Peternakan, Kehutanan dan Perikanan 4,2
2. Pertambangan dan Penggalian 2,3
3. Industri Pengolahan 3,7
4. Listrik, Gas, dan Air Bersih 14,0
5. Konstruksi 7 ,2
6. Perdagangan, Hotel, dan Restoran 4,4
7 . Pengangkutan dan Komunikasi 14,8
8. Keuangan, Real Estat, dan Jasa Perusahaan 5,5
9. Jasa-jasa 6,5
PRODUK DOMEST IK BRUT O 5,5
Pengeluaran 2010
Konsumsi Rumah Tangga 5,0
Konsumsi Pemerintah 7,6
Investasi/PMTB 7,8
Ekspor 13,2
Impor 16,4
PDB 5,5
7
8
INDONESIAN COMPETITIVENESS IN THE GLOBAL MARKET
9
Indonesia Global Competitiveness Index 2010
Source: Global Competitiveness Report (2009-2010
Source: Logistic Performance Index 2010
Ket.: Negara yang disurvai sejumlah 155
Logistic Performance Index 2010
10
Business RegulationsIndonesia’s Relative Position 2010
Protecting Investors 41
Trading Across Borders 45
Getting Credit 113
Competitive Disadvantages
Relative to GDP per CapitaCompetitive Advantages
Relative to GDP per CapitaCountry Ranking
Country Ranking Starting a Business 161
Enforcing Contracts 146
Employing Workers 149
Closing a Business 142
OVERALL (Ease of Doing Business) 122
Paying Taxes 126
Dealing with Construction Permits 61
Registering Property 95
Source: World Bank, Doing Business (2010)
In 2006, Indonesia ranks 115th out of 155 countries
In 2009, Indonesia ranks 129th out of 181 countries
In 2010, Indonesia ranks 122th out of 183 countries
The World Competitiveness
2008 COUNTRY 2009
1 USA 1
3 Hong Kong 2
2 Singapore 3
19 Malaysia 18
13 Taiwan 23
27 Thailand 26
51 Indonesia 42
40 Filipina 43
38 Hungary 45
48 Turkey 47
46 Italia 50
42 Grace 52
0
10
20
30
40
50
60
USA Hongkong Singapura Malay sia Taiw an Thailand Indonesia Filipina Hungaria Turki Italia Yunani
2008
2009
Governance
Sorted by average rank across all six categoriesSource: World Bank (2008)
0
50
100
Singapore Malaysia Brazil Mexico India Thailand China Phillipines Indonesia
Perc
en
tile
Ran
k
Government Effectiveness
Regulatory Quality
Voice and Accountability
Control of Corruption
Rule of Law
Political Stability
Categories sorted by Indonesia’s rank
Dalam hal good governance, unsur yang cukup baik di Indonesiaadalah government effectiveness, regulatory quality, dan voice andaccountability.
Selected Countries, 2008
12
Telecommunication Infrastructure of Indonesia Compare to Other Countries, 2008
0
20
40
60
80
100
120
140
per 1
00 in
habi
tant
s
Main Telephone Lines
Mobile Cellular Subscriptions
Internet Users
Perkembangan sarana telekomunikasi Indonesia memang semakin baik, terutamajumlah pengguna telepon selular. Perkembangan ini merupakan dampak dari adanyareformasi yang pesat pada sektor telekomunikasi. Namun jika dibandingkan dengannegara-negara lain, Indonesia masih tertinggal.
13
Sumber: ITU
Trend Share of Indonesian Export in the World Market
Note: Services data for 2004-2007 was retrieved from ITC.Services data for 2008 is estimated by TREDA
Source: WTO,ITC
Pangsa Pasar Ekspor Dunia
0.00%
0.20%
0.40%
0.60%
0.80%
1.00%
1.20%
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
Goods
Services
TOTAL
Indonesian share to total world export has been increasing from 0,8% (US$ 71,6 Billion) in 2004 to 0,9%(US$ 137,0 Billion) in 2008.
14
15
ECONOMIC AND TRADE PERFORMANCES
Dit. KSB-I
16
TRADE BALANCE
Dit. KSB-I
17
Surplus of Trade Balance in 2009
Sumber: BPS (diolah)
• Declining in export by 15% during 2009 and declining in import recorded as 25%
contribute to surplus of trade balance by 151% (US$ 19.6 billion) in 2009
• For Non- oil & gas surplus was 11% in 2009.
-
2.0
4.0
6.0
8.0
10.0
12.0
14.0
Jan'08 Peb Mar Apr Mei Jun Jul Ags Sep Okt Nop Des Jan'09 Feb Mar Apr Mei Juni Juli Ags Sept Okt Nop Des
Neraca Perdagangan Indonesia (Miliar US$)
Ekspor Impor Neraca
Dit. KSB-I
18
EXPORT
PERFORMANCE
Dit. KSB-I
19
Indonesian Non-oil & gas Export
Experience Positive Trend
Sumber: BPS (diolah)
• Export Non- Oil & Gas Quartal IV 2009 increased by 1.3% or US$ 331 million better compare to quartal IV 2008
(Grafik 2).
• Increasing of non oil & gas export mainly contributed by export of mineral fuel 21.6%, vegetable oil & fat 106,7%,
machinery & equipment 6,0%, iron ores 62,4% and rubber and rubber products 17,1%.
• Increasing also contributed by better price of the world main commodities, unfavourable climate that affact sworld
supply, and increasing demand come from some countries such as China and India.
Growth rate (yoy)
Moving p.a annual growth rate
-40
-20
0
20
40
60
80
0
2
4
6
8
10
12
Jan'08 Feb Mar Apr Mei Jun Jul Ags Sept Okt Nov Des Jan'09 Feb Mar Apr Mei Juni Jul Ags Sept Okt Nov Des
PersenUS$ Miliar
Ekspor Non Migas Indonesia
Growth rate (m to m)
Dit. KSB-I
20
INDONESIAN MAIN EXPORT PRODUCT• Export product more varieties: Indonesia export has been dominated by
natural base products, but their contribution to total export was declining, onthe other hand export of processing products increasing.
• Export of vegetable oil during Dec 2009 increase by 106,3% that was triggeredby increasing price of CPO (9,1%) due to increasing demand in China and Indiaand declining production of CPO from Malaysia.
Sumber: BPS (diolah)
0 200 400 600 800 1000 1200 1400 1600 1800 2000 2200
Bahan bakar mineral
Lemak & minyak hewan/nabati
Mesin/peralatan listrik
Bijih, Kerak, dan Abu logam
Karet dan Barang dari Karet
Mesin-mesin/Pesawat Mekanik
Pakaian jadi bukan rajutan
Barang-barang rajutan
Alas kaki
Kakao/coklat
Produk Ekspor Utama Indonesia, Jan-Des 2009 (US$ Juta)
Des
Nov
Okt
Sept
Ags
Juli
Juni
Mei
Apr
Mar
Feb
Jan
Dit. KSB-I
21
INDONESIA : MAIN EXPORT DESTINATION
• Still high concentrated on 8 main market;
• ASEAN the biggest market, account for more than 20% ;
• During December 2009, export to main market such as US, UE, ASEAN, China, increasing afterexperience decline the month earlier.
Sumber: BPS (diolah)
0 200 400 600 800 1000 1200 1400 1600 1800 2000 2200
ASEAN
UNI EROPA
CHINA
JEPANG
AMERIKA SERIKAT
AUSTRALIA
KOREA SELATAN
TAIWAN
Negara Tujuan Ekspor Utama Indonesia (Juta US$)
17.57
23.96
36.53
32.27
12.80
-10.74
65.58
38.89
-60 -40 -20 0 20 40 60 80 100 120
Pertumbuhan (%)
Des
Nov
Okt
Sept
Ags
Juli
Juni
Mei
Apr
Mar
Feb
Jan
Dit. KSB-I
22
Shifting of Indonesia Export Destination 2004-2009
Sumber: BPS (diolah)
• Indonesian export destination as been shifting from traditional countries to
non-traditional countries. Share of UE, US, and Japan tend to decline and
move to China, India and some other countries.
UNI EROPA16,1%
AMERIKA SERIKAT14,8%
JEPANG15,0%
SINGAPURA9,6%
REP.RAKYAT CINA6,1%
MALAYSIA5,1%
INDIA3,8%
KOREA SELATAN3,3%
TAIWAN2,7%
THAILAND2,8%
Lainnya20,6%
Share Negara Tujuan Ekspor Non MigasJan-Des 2004
UNI EROPA13,9%
AMERIKA SERIKAT10,7%
JEPANG12,3%
SINGAPURA8,2%
REP.RAKYAT CINA9,1%
MALAYSIA5,8%
INDIA7,2%
KOREA SELATAN5,3%
TAIWAN2,9%
THAILAND2,7%
Lainnya21,9%
Share Negara Tujuan Ekspor Non MigasJan-Des 2009
Dit. KSB-I
23
IMPORT PERFORMANCE
Dit. KSB-I
24Sumber: BPS (diolah)
Import Performance 2009
• Total non- oil & gas import 2009 indicated an declining trend compare to 2008, mainly
contributed by slowdown in import of consumer goods and raw material.
• Total non- oil & gas import for 2009 declined to US$ 77,9 billion, lower 21,1% compare to
2008
Moving p.a annual growth rate
-60
-40
-20
0
20
40
60
80
100
120
140
0
1
2
3
4
5
6
7
8
9
10
Jan'08 Feb Mar Apr Mei Jun Jul Ags Sept Okt Nov Des Jan'09 Feb Mar Apr Mei Juni Jul Ags Sept Okt Nov Des
PersenUS$ Miliar
Impor Non Migas Indonesia
Growth rate (m to m)
Growth rate (yoy)
Dit. KSB-I
25
Import Commodities is Shifting
Share of consumer good and raw materials experience a declining, capital good incresing.
Consumption
goods7%
Raw materials72%
Capital goods
21%
2009
Consumption goods
8%
Raw materials
78%
Capital goods14%
2004
Sumber: BPS (diolah)
Dit. KSB-I
26
ASEAN26.43%
UE12.67%
Jepang14.38%
China19.77% Amerika
Serikat10.31%
Korea Selatan5.58%
Australia 4.95%
Taiwan 2.94%
India2.98%
2009
ASEAN26.41%
UE12.12%
Jepang19.26%
China7.90% Amerika
Serikat19.00%
Korea Selatan4.24%
Australia 2.66%
Taiwan 3.56%India
4.86%
2004
Import of Non- Oil & Gas Structure
by Country of Origin
Sumber: BPS (diolah)
• Import share of Indonesia has been change;
• Domination of US and Japan are declining, shifting to China and Australia.
• Import share from ASEAN and UE tend to constant.
Dit. KSB-I
27
INDONESIAECONOMIC INDICATORS
Dit. KSB-I
28Source: BPS, BI (processed by Dit. KSB-I)
Indonesian Economics Indicators
Economic Indicators 2005 2006 2007 2008 2009Economic growth 5.69 5.50 6.28 6.06 4.5
-Without oil and gas 6.57 6.11 6.87 6.52 4.9
Inflation y.o.y 17.11 6.6 6.59 11.06 2.78
BI rate 12.75 9.75 8.00 9.25 6.50
Rupiah exchange rate (Rp/US$) 9,830 9,020 9,419 10,950 9,698
External
Foreign reserves (US$ billion) 34.72 42.59 56.92 51.64 66.10
Current account (% of GDP) 0.1 2.9 2.4 0.1 1.9
Budget Defisit (%GDP) 0.5 0.9 1.3 0.1 1.6
Government debt (% of GDP) 46.5 39.2 35.5 33.3 n.a.
Foreign debt
-% of GDP 46.1 34.9 31.2 28.9 30.8
-Debt Service Ratio (%) 17.3 24.8 19.4 18.1 22.7
Unemployment rate (%) 11.24 10.28 9.11 8.39 8.14
Poverty Rate (%) 15.97 17.75 16.58 15.42 n.a.
Dit. KSB-I
29
INDONESIAECONOMIC INDICATORS
• 2009 economic growth 4,5% supported government expenditure and consumption
• 2010, growth is expected at 5,5% driving by export and investment.
• Inflatiuon 2009 range between 2,9% -3%, in 2010 increase to 5% - 6%, but it will not affect purchasing power significantly.
Dit. KSB-I
30
INDONESIAECONOMIC INDICATORS
• Prospect of Indonesian economy for 2010 is better than 2009, due to global economic recovery and improvement in
investment climate.
• Some Challenges: should be consider risk of adverse wave of global capital; increasing price of primary commodities (crude oil); and budget deficit of some developed economies.
The World Competitiveness
2008 COUNTRY
2009
1 USA 1
3 Hong Kong
2
2 Singapore 3
19 Malaysia 18
13 Taiwan 23
27 Thailand 26
51 Indonesia 42
40 Filipina 43
38 Hungary 45
48 Turkey 47
46 Italia 50
42 Grace 52
0
10
20
30
40
50
60
USA Hongkong Singapura Malay sia Taiw an Thailand Indonesia Filipina Hungaria Turki Italia Yunani
2008
2009
• No 1 world‘s largest producer of Crude Palm Oil (17 mil ton)
•No. 3 world‘s largest producer of cocoa (520 million ton/year)
• No. 2 world’s largest producer of Tin
• No. 4 world’s largest producer of Copper
• No. 5 world’s largest producer of Nickel
• No. 7 world’s largest producer of Gold
• No. 7 world’s largest producer of Coal and the most
prominent steam coal exporter
COMPARATIVE ADVANTAGES
(NATURAL RESOURCES)
2. Agro Industry (Palm Oil)
Potency Development
Land Area 5.15 million ha 10.65 million ha
CPO Production 20 million ton 35 million ton
Employment(1 person/ha)
5,15 million persons 10,6 million persons
Value Chain (US$.800/ton)
US$. 13,6 billion US$. 28 billion
Trade Performance:Thailand-Indonesia in 2009
VALUE (in US$ billion)• Thailand exports to Indonesia : 4,667• Thailand imports from Indonesia : 3,800• Indonesia trade deficit with Thailand : 867• Total Trade : 8,467
• GROWTH compare to 2008• Exports : -26,2% • Imports : -29.7%• 2010 (January in million US$)• Exports : 537 97.4%)• Imports : 425 (94.0%)• Thailand Surplus : 112
Imports Thailand from Indonesia 2009
No.HS
(4 DIGIT)Uraian
Januari-Desember Perubahan08-092008 2009
1 2701(KG) COAL ; BRIQUETTES, OVOIDS AND SIMILAR SOLIDFUELS MANUFACTURED FROM COAL 852,838 670,953 -21.32
2 2709(LT)PETROLEUM OILS AND OILS OBTAINED FROM BITUMINOUSMINERALS, CRUDE 401,506 539,835 34.45
3 7403(KG) REFINED COPPER AND COPPER ALLOYS, UNWROUGHT 333,980 236,859 -29.08
4 8708(KG) PARTS AND ACCESSORIES OF THE MOTOR VEHICLES OF HEADING 196,650 176,235 -10.38
5 0303(KG)FISH, FROZEN, EXCLUDING FISH FILLETS AND OTHER FISH MEAT OFHEADING 190,357 133,188 -30.03
6 8001(KG) UNWROUGHT TIN 195,224 130,239 -33.29
7 8409(KG)PARTS SUITABLE FOR USE SOLELY OR PRINCIPALLY WITHTHE ENGINES OF HEADING 132,396 112,389 -15.11
8 7408(KG) COPPER WIRE 115,077 91,660 -20.35
9 8501(NO) ELECTRIC MOTORS AND GENERATORS(EXCLUDING GENERATING SETS) 111,529 59,946 -46.25
10 8414 AIR OR VACUUM PUMPS, AIR OR OTHER GAS COMPRESSOR AND FANS 64,739 51,121 -21.04
TOTAL IMPOR THAILAND DARI INDONESIA 4,766,721
SOURCE: INFORMATION AND COMMUNICATION TECHNOLOGY CENTER WITH COOPERATION OF THE CUSTOMS DEPARTMENT
(Dalam ribu US dollar)
Exports Thailand to Indonesia 2009
No.HS
(4 DIGIT)Uraian
Januari-Desember Perubahan08-092008 2009
1 8703 MOTOR CARS AND OTHER MOTOR VEHICLES PRINCIPALLY DESIGNED 613,204 393,024 -35.41
2 1701(KG) CANE OR BEET SUGAR AND CHEMICALLY PURE SUCROSE, IN SOLIDFORM
449,608 333,749 -25.58
3 8708(KG) PARTS AND ACCESSORIES OF THE MOTOR 570,725 295,020 -48.30
4 8409(KG) PARTS SUITABLE FOR USE SOLELY 208,566 172,189 -17.44
5 8714 INDUSTRIAL OR LABORATORY FURNACES 209,876 158,604 -24.43
6 8415 AIR CONDITIONING MACHINES, COMPRISING 145,560 141,852 -2.55
7 8704 MOTOR VEHICLES FOR THE TRANSPORT OF GOODS 286,523 126,360 -55.90
8 2902(KG) CYCLIC HYDROCARBONS 86,823 108,492 24.96
9 3305(KG) PREPARATIONS FOR USE ON THE HAIR 79,834 82,637 3.51
10 2710 PETROLEUM OILS AND OILS OBTAINED FROM BITUMINOUSMINERALS
157,461 74,868 -52.45
TOTAL EKSPOR THAILAND KE INDONESIA 4,695,075
(Dalam ribu US dollar)
SOURCE: INFORMATION AND COMMUNICATION TECHNOLOGY CENTER WITH COOPERATION OF THE CUSTOMS DEPARTMENT
Investment
Mining
Non-metallic Products
Fishery
Food Products
Potential Sectors for
Business Integration
• Automotive & Auto Parts
• Electronics &Electrical Appliances
• Agro Industry
• Oil & Gas & Petrochemical
• Tourism & Services
TEN MAIN EXPORT
PRODUCTS
INDONESIA
Product (Export) Country of Export Destination
Shrimp
(US$ 1.1 billion)
Japan, Hong Kong, China, Singapore,Malaysia, Australia, Taiwan, Thailand,South Korea, Vietnam, USA, Belgium,England, Spain, French, Canada, Dutch,Italy, German.
Coffee(US$ 0.6 billion)
Brazil, Spain, Italy, Turk, Argentina,USA, England, India, China, Thailand,Japan, Vietnam, Pakistan, Malaysia,Hong Kong, Sri Lanka, Bangladesh,Egypt, Iran.
CPOUS$ 4.8 billion)
India, China, Malaysia, Pakistan,Singapore, Bangladesh, Vietnam,Jordania, Tanzania, South Africa, Egypt,Iran, Mozambique, German, Spain, Italy,Turkey, Russia, USA
Cacao
(US$ 0.9 billion)
Malaysia, Singapore, Thailand, China,India, Japan, Philippine, Taiwan, SriLanka, USA, Brazil, Canada, German,Dutch, Russia, Swiss, Belgium, England,Mali.
Rubber and Rubber Products (US$ 5.5 billion)
Japan, Malaysia, Philippines, Australia,Thailand, Singapore, Hong Kong, Taiwan,Sri Lanka, South Korea, USA, England,German, Belgium, Italy, Dutch, Canada,PEA, Saudi Arabia, Egypt
10 Main Export Products of Indonesia
Product Country of Export Destination
Textile and Garment(US$ 9.4 billion)
USA, England, German, Panama, Italy,Canada, Mexico, Dutch, Spain, French,Japan, Australia, Singapore, Hong Kong,Sri Lanka, South Korea, PEA, SaudiArabia, Ethiopia, Nigeria. Kenya, Tunisia,Sudan
Footwear(US$ 1.6 billion)
USA, Belgium, England, French, Italy,German, Mexico, Spain, Canada, Chili,Panama, Turk, Japan, Malaysia, Thailand,South Korea, Australia, China, HongKong.
ElectronicsUS$ 7.9 billion)
Japan, Taiwan, South Korea, China,Malaysia, Hong Kong, Australia,Singapore, Thailand, Vietnam, German,Dutch, Italy, Belgium, Poland, USA,England, Denmark, French, Yunani.
Motorcycle Components(US$ 1.2 billion)
USA, French, England, German, China,Malaysia, Vietnam, Australia, Hong Kong,Japan, Singapore, Thailand, Sri Lanka,India, Pakistan, Philippine, USA, Canada,Belgium, Turk, PEA, South Africa, Iran,Saudi Arabia
Furniture (US$ 7.8 billion)
USA, French, England, Dutch, Belgium,Spain, German, Italy, Canada, Denmark,Sweden, Japan, Australia, Malaysia,Singapore, South Korean, Taiwan, China,PPEA, South Africa
10 Main Products of Indonesia
INDONESIA
Ten Export Potential
Products
Products Country of Export Destination
Handicraft Australia, Japan, Singapore, Hong Kong,South Korea, PEA, Nigeria, South Africa,Saudi Arabian, USA, England, German,French, Italy, Spain, Dutch, Canada,Belgium.
Fish and Fish Products
Australia, Japan, Singapore, China,Malaysia, Taiwan, Hong Kong, Thailand,South Korea.
Medicinal Herbs Australia, Taiwan, Singapore, India,Hong Kong, Japan, Malaysia, China,South Korea, Saudi Arabian, PEA,French, German, USA, Russia, Dutch.
Leather and Leather Products
Hong Kong, Vietnam, Singapore, China,Thailand, India, Japan, South Korea,Malaysia, Taiwan, South Africa, Egypt,United of Emirate Arabs, Italy, USA,German, Norway, Spain, England,Brazil.
Processed Food Singapore, Japan, Malaysia, Philippine,Hong Kong, India, Cambodia, Thailand,Taiwan, Australia, Vietnam, SouthKorea
10 Potential Products of Indonesia
Products Country of Export Destination
Jewellery Singapore, Hong Kong, Australia,Japan, PEA, USA, German, England,Italy, Spain.
Essential Oils Singapore, Malaysia, Thailand,Philippine, Japan, Vietnam, China,Hong Kong, Taiwan, India, Pakistan,PEA, Saudi Arabia, Yemen, Nigeria,Kenya, USA, French, England, Swiss,Spain, Dutch.
Spices Singapore, United of Emirate Arabs,Morocco, Algeria, Tunisia, USA, Dutch,Brazil, German, Belgium.
Stationary non Paper Singapore, Australia, Malaysia,Thailand, Hong Kong, Japan, NewZealand, Saudi Arabia, Iran, United ofEmirate Arabs, USA, German,Belgium, England, Mexico, Colombia,Sweden.
Medical Instruments and Appliances
Japan, China, Singapore, Pakistan,Malaysia, Hong Kong, Samoa,Maldives, India, Saudi Arabia, Unitedof Emirate Arabs, Kuwait, Qatar,German, USA, Swiss, Dutch, Andorra.
10 Potential Products of Indonesia
Investment Opportunities
STEEL INDUSTRY
• CRUDE IRON INDUSTRY
“IRON MAKING” (PELLETIZING, PIG IRON &
SPONGE IRON INDUSTRIES)
• CRUDE STEEL INDUSTRY
“STEEL MAKING” (CRUDE STEEL INDUSTRIES :
SLAB, BILLET, BLOOM)
• STEEL MILLING INDUSTRY
“STEEL ROLLING” (HOT ROLLED COIL/HRC AND
COLD ROLLED COIL /CRC)
CRUDE IRON INDUSTRY• Currently there is no iron ore processing industry in Indonesia, especially for pellet and
pig iron industry.• National demand of iron ore : 2-3 million ton/year (all are still imported).• PT. Krakatau Steel is currently producing sponge iron for their own use to produce
crude steel (slab, bloom and billet).
CRUDE STEEL INDUSTRY Currently slab (as raw material of flat product) for crude steel industry is only
produced by PT. Krakatau Steel, while for bloom and billet (raw material of longproduct) are produced by more than 10 domestic producers which most of themlocated in Java and few in North Sumatera, with an average production capacityutilization of only 49%, so that the national consumption demand is still not met. Thus,the potency for this market is still wide open especially for the same production withhigher grade specification and for location out of Java.
STEEL MILLING INDUSTRY While for steel milling production, they are about 20 domestic producers currently
concentrating in HRC and CRC products with production capacity utilization no morethan 50% and thus this still not meet the demand of national consumption.
Commodities in down-stream steel industry such as profile steel, seam pipe, bodystructure & chassis and household appliances are predicted will continue growingmoderately around 15%/ year, meaning that the demand of HRC and CRC as rawmaterials will continue to increase.
INVESTMENT OPPORTUNITY IN STEEL INDUSTRY (1)
INVESTMENT OPPORTUNITY IN STEEL INDUSTRY (2)
RAW MATERIAL AND SUPPORTING INDUSTRY Indonesia has very huge natural endowment of steel raw
material, but still not utilized for national steel iron industrydevelopment :
Iron ore deposit in Kalimantan Selatan, Kalimantan Timur, alongcoastline of Jawa and Bali island, north coast of Aceh, west coastof Bengkulu and several area : 2 – 5 billion ton
Iron sand deposit in along coastline of Java island : 170 million ton Laterit deposit (solid slab which contain iron more than 50%) in
Java island : 1 billion ton Coal: proven 5,8 billion, reserves 7 billion ton which spread in 18
Provinces, Potency of natural resources reach 57 billion ton. Natural Gas: proven 90.30 TSCF, potency 86.29 TSCF which
spread in 10 Provinces. (TSCF=Trillion Standard Cubic Feet)
Supporting industry as the largest coal producer in Indonesiaare PT. Kalimantan Prima Coal, PT. Arutmin, PT. BatubaraBukit Asam
Supporting industry related to gas supply namely PT. GasNegara, PT. Pertamina, BP Migas, PT. Exxon Mobil, PT. Arcoand Direktorat Migas
AUTOMOTIVE INDUSTRY
Promising growth of middle and upper class income segment (18 million people)
Decreasing (lower) interest rate, easing of car lease/loan 15% growth of automotive market demand is forcasted for
2008 Targeted sales of cars (by Ministry of Industry) in 2010 : 1
million units Attractive market for Passenger cars : - Sedan : cc < 1.500, 1,500 cc – 3,000 cc - Multipurpose Vehicles (MPV) - Double Cabin (light truck) 4x4 or 4x2 Improved industrial estate/zone/special economic zone
facilities
AROMATIC CENTRE (1)A. Paraxylene
- Potential market : Domestic and Export- Projected by 2010, domestic demand : 1.200.000
tons and domestic production : 666.000 ton- Requires additional production capacity of 534.000
ton/year
B. Orthoxylene- Potential Market : Domestic and Export- Projected by 2010, domestic demand : 798.750 ton and
domestic production : 118.800 ton- Requires additional production capacity of + 700.000
ton/year
AROMATIC CENTRE (2)
C. Toluena- Potential Market : Domestic and Export - Projected by 2010, domestic demand :
303.050 ton and domestic production : 175.000 ton
- Requires additional production capacity of +120.000 ton/year
D. Potential LocationBanten Province, East Kalimantan Province, South Sulawesi Province, and East Java
Province
PETROCHEMICAL INDUSTRY
No Type of Industry Indicator Opportunity
1. Styrene Monomer Over supply Export
2. PTA Over supply Export
3. Styrene Butadiene Rubber The capacity and utility are low Revamping, Investment
4. Pthalic Anhydride Domestic demand is low, Capacity is high and utillity is low
Revamping, Export
5. Polystyrene Domestic demand is low, high capacity and the utility is low
Revamping, Export
6. Polyethylene Terepthalate Domestic demand is low, high capacity, and the utility is low
Revamping, Export
7. Acrylonitrile Butadiene Styrene Domestic demand is low, high capacity, and the utility is low
Revamping, Export
8. Benzene Small capacity, and high demand Investment
9. Paraxylene Small capacity, and the demand is high Investment
10. Ethyle Benzene Small capacity, and the demand is high Investment
11. Alkyl Benzene Small capacity, and the demand is high Investment
12. Styrene Acrylonitrile Small capacity, and the demand is high Investment
13. AB Sulfonate Small capacity, and the demand is high Investment
A. Ethylene- Potential market : domestic and export
Projected by 2010, domestic demad : 890.000 ton and domestic production : 485.000 ton
- Requires additional production capacity of 400.000.000 ton/ year
B. Prophylene- Potential market : domestic and export
Projected by 2009 : domestic demad : 1.213.000 ton and domestic production : 485.000 ton
- Requires additional production capacity of 1.010.000 ton/year
C. Polyethylene- Potential market : domestic and export
Projected by 2010, domestic demad : 612.000 ton/year and domestic production : 209.000 ton/year
- Requires additional production capacity of + 400.000 ton/year
D. Potential LocationBanten Province, East Kalimantan Province, South Sulawesi Province, and East Java Province
OLEFIN CENTER
CPO DERIVATIVES INDUSTRY
A
COCOA PROCESSING INDUSTRY
Cocoa grinding : cocoa butter cocoa powder cocoa cake Final product, such as Candy, Chocolate
Supporting information: 1. Cocoa Production :
2010 : 865,112 ton 2015 : 1,062,059 ton
2. Existing domestic industry :- 16 cocoa processing industries with capacity 250,000 ton and
production 121,300 ton (26.57% of total production of cocoa beans in 2006)
3. Indonesian and ASEAN market :- Domestic consumption per capita: 0.06 kg (13,200 ton per year)- Asia and Oceania consumption per capita : 0.12 kg
Processed Products
• Production Growth : 7,98 % p.a.• Export Growth : 8,08%• Domestic Consumption Growth : 6,91%.• Import Growth : 4,92%
• Real Installed Capacity : 200.000 ton/ year• Used Capacity : 180.000 ton/ year
• With the current rate of growth of production, export and consumption, Indonesia needs additional capacity of around : 17,000 – 20,000 ton/year
QUESTIONS
?
For more informationplease search at
• http:\\ www.depdag.go.id
• http:\\ www.bkpm.go.id
• http:\\ www.nafed.go.id
OR contact
Indonesian Commercial Attache’ in Bangkok
![Investment Opportunities in Thailand - boi.go.thEdited] PPT for SG 120917_EN as of... · Investment Opportunities in Thailand Mrs. Hirunya Suchinai Secretary General Thailand Board](https://static.documents.pub/doc/80x56/5a79235d7f8b9a00168da346/investment-opportunities-in-thailand-boigoth-edited-ppt-for-sg-120917en-as.jpg)
