Indonesia plans to expand export markets to Africa. (Photo: Reuters) Jakarta (VNA) - Africa has a huge potential of becoming a destination for Indonesia’s manufacturing exports, besides its traditional markets such as the US, the EU, or China, according to the Indonesian Chamber of Commerce and Industry (Kadin).
Although its purchasing power still falls behind other traditional export markets, Africa is also promising in terms of market size growth and trade competition. Not many exporters have entered the African market, and the continent’s trade barriers are not as sophisticated.
Speaking at a conference on March 14, Kadin deputy chairwoman Shinta W Kamdani said that Indonesian exports can enter and compete in Africa, particularly manufacturing products as African countries generally lack basic manufacture.
She also expressed her hope that the government will create favourable conditions to facilitate more Indonesian businesses and exporters can expand to alternative markets like Africa, in addition to creating a preferential trade agreement with potential African countries.
For his part, Silvano Rumantir, director for corporate and international banking at BNI, said Indonesia’s export potential to Africa totals 8.16 billion USD, with about 4.56 billion USD still remaining untapped. Indonesia’s exports to Africa with high competitiveness include palm products, soap, coffee, motor vehicles, pipes, sauces, paper and rubber products.
According to Silvano, BNI is helping Indonesian businesses to penetrate the African market as it is offering Indonesian enterprises export-import financing, investment credit, supply chain financing as well as co-financing with other banks./.
Although its purchasing power still falls behind other traditional export markets, Africa is also promising in terms of market size growth and trade competition. Not many exporters have entered the African market, and the continent’s trade barriers are not as sophisticated.
Speaking at a conference on March 14, Kadin deputy chairwoman Shinta W Kamdani said that Indonesian exports can enter and compete in Africa, particularly manufacturing products as African countries generally lack basic manufacture.
She also expressed her hope that the government will create favourable conditions to facilitate more Indonesian businesses and exporters can expand to alternative markets like Africa, in addition to creating a preferential trade agreement with potential African countries.
For his part, Silvano Rumantir, director for corporate and international banking at BNI, said Indonesia’s export potential to Africa totals 8.16 billion USD, with about 4.56 billion USD still remaining untapped. Indonesia’s exports to Africa with high competitiveness include palm products, soap, coffee, motor vehicles, pipes, sauces, paper and rubber products.
According to Silvano, BNI is helping Indonesian businesses to penetrate the African market as it is offering Indonesian enterprises export-import financing, investment credit, supply chain financing as well as co-financing with other banks./.
VNA
