Potential of Indonesian Export Products in the Perspective of Exports to the Middle East
It is not without reason that Indonesia’s exports to the UAE (United Arab Emirates) continue to be developed by the government. Because based on data alone, up to the last ten years the value of Indonesia’s export trade has increased quite significantly by around 53.90 percent. Where if described in numbers it could be at USD844.4 million.
This condition is indeed not without basis, because by looking at the trends that have occurred in the last 2 years, the value is quite interesting. For 2021 alone, Indonesia’s total export trade is at USD 4.0 billion or an increase of 38 percent. The increase is higher than the value that occurred in 2020 which was still at USD2.9 billion.
What is interesting is that based on the data and information that has been obtained from several sources, we can see that the trend of increasing the value of Indonesia’s exports is at 1.44 percent for the 2017–2021 period. Meanwhile, the trend of increasing trade value in total only reached 0.44 percent. Where when we talk about superior products that are exported to the United Arab Emirates are goods that include jewelry and other goods, palm oil and its derivatives. Then there are also motorized vehicle products, electronic apparatus (equipment) products for cell phones and other reception apparatus for television products.
Government Encourages Young Indonesian Exporters to Actively Export to the United Arab Emirates
Talking about Indonesian products which are exported to the Middle East or the Arab Emirad Union, we are still saying that business actors in Indonesia have not been maximally carried out. In fact, if we look at the potential that can be developed for the present and the future, it is clearly an interesting thing. Especially when Indonesia with its various policies is incessantly carrying out export activities to support increasing income from abroad.
That is why with the huge potential that Indonesia has, the government tries to invite the younger generation who are interested in exporting to be able to optimize the existing potential with the ease of export provided by the government. It’s just how we as business people see the potential that exists in Indonesia to be developed on an export scale. Because we know that the various types of products that can be scaled up for export volume scale are some products whose sources are still quite abundant in Indonesia: oil and natural gas products, then products including mining products which include gold, coal, nickel. and also in it there are products that range from plantations such as spices, to plantations and marine resources. Based on the current conditions, we can see that Indonesia’s export destinations are China, the United States, and India, while for the Middle East, Indonesia’s only export destination is Saudi Arabia, with the export value up to May 2022 being US$102.41. million.
To explain the extent to which Indonesia is able to become one of the largest exporting countries in the world, we can look at the 10 main export destinations of Indonesia in the Middle East and Africa. Where the data presented is based on data obtained in the period January — November 2021, the United Arab Emirates with a total export value of Rp. 1.7 billion, then there is Egypt with a value of Rp. 1.4 billion, Saudi Arabia itself has the same export value as Egypt in figure. US$1.4 Billion. The countries in the African Region are as follows: South Africa with an export value of US $ 846.8 million, Kenya with a value of Rp 494.5 million, Nigeria is also included in the list of 10 main export countries in the African Region with a value of US $ $421.5 million, Tanzania with an export value of US$339.4 million and the other 3 countries are Jordan US$283.7 million, Djibouti US$275 million and Togo with US$232.4 million.
With the increasing development of exports in Indonesia, the logistics ecosystem that will support the development of the export business in Indonesia is also growing. For example, business players in the logistics industry sector such as Abang Express, it is certain that their existence must be able to bring a positive impact to business people who also have a focus on export activities. Because with the support from stage holders related to the export business, it is certain that the ecosystem in the export business itself has to adjust its conditions to the existing conditions and conditions in several export destination countries. So that in the end there will be an export ecosystem that can support the acceleration and development of export activities in a better direction now and in the future.
