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Top 5 Commodities Imported from Indonesia

by | Jan 6, 2020 | Ekspor

Import Commodities from Indonesia – Photo Credit: fin.co.id

Commodities imported from Indonesia was super popular in some markets, how come? Before going into the deep explanation, we must know what is the real condition in Indonesia. Some people says that ‘Indonesia is a huge country that has super huge population’ and it’s true. As we know that Indonesia is holding the fourth position for ‘world most population’ country that has 3.51% population of the world. But, do you guys know that export import activities in Indonesia is very busy. Indonesia also almost got into the number 21 in the leaderboard for exporting country based on the transaction values. A lot of investors actually seeing Indonesia as golden resources, and why is that? We believe that it’s because of the resources and skills that Indonesia has developed is valuable.

To be frank, the production cost in Indonesia is quite cheap, so investors are willing to invest a lot of capital into the Indonesian manufacturer. Believe it or not, the Indonesian government is really supportive to increase the value of export in Indonesia, so the SMEs had a lot of skills training to fulfill the international standard. The question is that maybe you’re interested, but you’re still confused about what kind of products should be imported? There are top 5 categories that Indonesian Trade Minister recommend, such as:

1. Furniture

Furniture from Rattan – Photo Credit: cantikrattan

The first commodities imported from Indonesia is wood furniture product. Indonesian furniture is very special among the foreign investors. The exotic woods that can be found easily in Indonesia is one of the reasons why investors are brave enough to invest in huge numbers. Usually, the woods used for the furniture are ‘Teak’ and ‘Mahogany’ wood. Fortunately, the latest news shows that the government support the SMEs to export furniture from ‘rattan’. We believe that it is a huge chance for the investors to take it because of the great value. Export value for furniture in Indonesia was increasing by 4% at the end of 2018, became US 1,69 Billion dollar (katadata.co.id)

2. Food & Beverage

The second commodities imported from Indonesia might shock you, because it contributes a lot in Indonesian economy. Here is the thing, most of the countries need Indonesian resources, because Indonesia is full of great agricultural resources products. It means Indonesian manufacturers are brave enough to processed the raw resources to become semi-finished product for food or beverage. There are a lot of examples, such as: frozen seafood, canned food, cocoa powder, chilly and spices powder, coffee powder, etc. The second fortunate thing is, because of the huge rivalry between companies in Indonesia in this category, it causes price war. It means, the investors can grab more benefit from Indonesian manufacturer. This category contributes the most in the processing industry. The value reached US 14,25 Billion dollar in the mid of 2018. The export volume was 18,10 million tons.

3. Textile/Garment

Indonesian Textile Company – Photo Credit: Apparel Resources

Indonesia is super proud of their textile and garment products. The variety, quality, and creativity is super recommended by the Indonesian minister for international importers. Indonesian textile and garment manufacturer will keep growing over time, because the demand for this category is insanely great! In 2018, the total transaction value for textile and garment reached US 13,8 billion dollar. The Minister is also aiming for US 30 billion dollar for western market in 2025. This category also can be said as a great investment for commodities that imported from Indonesia.

4. Handicrafts

Indonesian Handicrafts – Photo Credit: Bisnis.com

The fourth great commodities imported from Indonesia is handicrafts. The demand of Indonesian handicrafts are also keep increasing overtime. The value is 4 times higher in the last 20 years. At November 2018, The export value for handicrafts reached US 823 Million dollar and the government will keep boosting the export value in the following years. The handicraft itself has a lot of varieties, such as: Statue, handicraft that made from rattan, rubber, etc. The biggest expo in Indonesia that focusing in handicrafts products called INACRAFT. From the expo, a lot of SMEs have the chance to export their product. Many investors are willing to book the entry ticket for the expo to see and make transactions there. It shows that international investors are interested in Indonesian handicrafts products.

5. Machinery & Electricity Equipment

Exporting Machine Component – Photo Credit: Republika

One of the top 5 commodities are machinery and electricity equipment. Indonesia usually export machine for cars, plane engine, food machine, etc. Investors are willing to give their eye to Indonesian machinery & electricity equipment because it has good standard with cheaper price than a lot of countries. 43,68 thousand tons machinery/ electricity equipment has been sent in the middle of 2018 with the value of US 757 Million dollar.

There are huge opportunities open up for you who want to do import business from Indonesia. As we know, the government will keep supporting the SMEs to export their product, which means more variety with better standards will be waiting for you. Also, the government has already made the deals with several countries to give ‘Tax Free’ when importing from Indonesia. It will boost the benefits for both Indonesian exporters and foreign importers. The problem is, it is quite hard to find Indonesian suppliers. To be honest, not all of the SMEs know how to expose their business internationally and some of them just don’t know the procedure.

AsiaCommerce found the gap and stand between the two countries to give the solutions for you. For a brief explanation, AsiaCommerce is an Indonesian logistic company that already helps a lot of SMEs to import. For the next movement, we have a big vision to export Indonesian product internationally. AsiaCommerce has already connected with Indonesian suppliers based on the 5 categories above. It will be much easier for you to import from Indonesia through AsiaCommerce, because we already has all the connections needed in Indonesia. Our Indonesian suppliers also has gone through monitoring and selection process to make it safer. So, This is a huge chance for you, because AsiaCommerce will help you to import HERE!

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