Posted on 24 Jan 2008
Indonesia eying China, India to expand its export markets
Indonesia is eying India and China to expand its export markets given low demand in recession-haunted US market, a minister said.
"If global demand goes down, demand in the US will automatically decline too. So, we will diversify our export markets in the countries which withstand the impact of low demand," Trade Minister Mari Elka Pangestu said following a meeting of economic ministers with President Susilo Bambang Yudhoyono here Wednesday.
In addition, the government would also expand its export markets in Russia and Middle Eastern countries which were enjoying windfall profit from the global oil price spiral, she said.
She said a decline in the export of Indonesian commodities particularly manufactured goods to the US had been felt since last year. "Last year our exports to the US grew only 5 percent. Normally, the figure reaches 10 percent," she said.
The government would also work hard to reduce the high cost economy to enable Indonesian manufactures to compete with their foreign counterparts, she said.
