Indonesia’s natural resource abundance and a variety of commodities is a precious and indispensable asset to its economy.
The commodities account for approximately 60 per cent of all Indonesia’s exports. In continuation with the healthy growth shown by exports over the years in Indonesia, the exports in Indonesia is valued at US$158 billion annually as of October 2018.
Exports have contributed positively to Indonesia’s gross economic outputs and make Indonesia the 24th world’s largest export economy.
In this article, we will show you what the top export commodities in Indonesia are, and how you can seize the opportunities to start your export business in this ever-evolving country.
Here are the top 10 commodities most exported from Indonesia, which have fetched foreign currency for Indonesia. The type of commodities and their dollar values are shown in the table below:
|No.||Type of Commodities||Annual Dollar Value
(US$ in billion)
Interestingly, Indonesia is ranked the 2nd largest fake hair exporterin the world, just falling behind the 1st largest exporter China. Every year, Indonesia exports approximately US$382 million fake hair to countries all over the world. That amount accounts for 11% market share globally.
With a 54% market share and US$26.4 billion of annual export, Indonesia is definitely the largest producer and exporter of palm oil in the world. Country that follows Indonesia for palm oil export is Malaysia with a 34 per cent share.
Indonesia is the 2nd largest exporter of coal briquettes in the world, with an annual output of US$11.9 billion and market share of 18 per cent, accounting for the country’s 8.5% total exports.
Globally, Indonesia is ranked the 7th largest exporter of petroleum, with 4.9% market share with an annual report of US$127 billion. Even though the oil and gas sector has shown a slight decline recently, export of petroleum gas has supported Indonesia’s economy to a large extent.
Being the 3rd largest export of this commodity, export for copper ore in Indonesia worth US$ 44.2 billion with a market share of 7.9%. Thanks to the Grasberg Mine located in Papua, Indonesia has the 2nd largest copper mine and the largest gold mine.
Ranked the 9th largest gold producer in the world, Indonesia accounts for 4% of gold production globally. Even with the largest gold mine, this commodity export is dominated by Switzerland with 28% of gold export across the globe.
Related article: Export Import License that Your Company Should Have
There are several major export destinations for Indonesia with China, the United States, Japan, Singapore and India being the most prominent ones. The value of exports for each country as mentioned are US$16.8 billion, US$16.2 billion, US$ 16.1 billion, US$ 11.2 billion, and $10.1 billion respectively.
It is vital for foreigners who wish to start an export business in Indonesia to know that Indonesia is a major commodity producing and exporting country in the world. Thus, export businesses are also more responsive to price volatility on a global scale.
However, with the best strategies, you will be able to enjoy handsome profits during price upswings but maintaining unharmed during price downswings.
Interested in export opportunities in Indonesia? Cekindo offers various market-entry strategies with buying agent, company and product registrations among them. Contact us today and get to know more about export commodities in Indonesia.