Economy of Indonesia – Overview
With yearly exports of $140 billion, Indonesia is currently ranked the 24th largest export economy in the world, and it enjoys a positive trade balance of $8.07 billion after deducting annual imports of $132 billion.
The current GDP of Indonesia is $932 billion, which means that their GDP per capita is $11,600.
Indonesia’s export out has been declining at an annualized rate of -3.08% over the last five years, falling from yearly exports of $224 billion to $140 billion. It is also importing less, with annual imports falling from $173 billion to $132 billion.
Indonesia’s Top 5 Commodity Exports
|Palm Oil||$14.4 billion|
|Coal Briquettes ||$11.98 billion|
|Petroleum Gas||$6.22 billion|
|Copper Ore||$3.48 billion|
Indonesia’s Other Notable Exports
- Rubber – $3.33 billion
- Jewelry – $3.97 billion
- Coconut Oil – $2.73 billion
- Cars – $2.55 billion
- Plywood – $2.08 billion
Did you know?
Indonesia is the 2nd largest exporter of fake hair. China exports $2.72 billion of fake hair each year, followed by Indonesia with $382 million of exports, which equates to an 11% market share. They are followed by the United States who is the 3rd largest exporter with a 2.3% share.
The top five export destinations of Indonesia are China ($16.8 billion), The United States ($16.2 billion), Japan ($16.1 billion), Singapore ($11.2 billion) and India ($10.1 billion).
Indonesia’s Top 5 Commodity Imports
|Refined Petroleum||$9.91 billion|
|Raw Sugar||$2.05 billion|
Indonesia’s Other Notable Imports
- Telephones – $3.56 billion
- Vehicle Parts – $2.56 billion
- Computers – $1.95 billion
- Integrated Circuits – $1.37 billion
- Cars – $1.19 billion
More Information About Indonesia’s Commodities
Indonesia is the leading exporter of palm oil with a 54% market share of an annual export market worth $26.4 billion.
Malaysia is their nearest rival with a 34% market share, followed by Germany at 4.1%.
The country’s palm oil plantations span some six million hectares and this figure is increasing due to plans to add about four million hectares for biofuel production.
Coal briquettes account for 8.5% of the country’s total exports and their annual output of $11.9 billion makes them the 2nd largest exporter in the world with an 18% market share, compared to market-leader Australia, who is responsible for 40% of the export market.
Indonesia exports coal briquettes to numerous different countries, although key destinations are China, Japan and the United States, who take a combined 34% of their output.
Indonesia is the 7th largest exporter of petroleum gas in the world and has a 4.9% share of an annual export market worth $127 billion.
Oil and gas used to be the foundation of Indonesia’s economy but despite growing demand for energy in the country, regulatory issues, a drop in global prices and stiff competition from rival countries have all conspired to see its oil and gas sector fall from 6% of the country’s GDP to 3%.
The annual copper ore export market is worth $44.2 billion and Indonesia is the 3rd largest exporter with a 7.9% market share, compared to Peru (19%) and Chile (28%).
Indonesia has the Grasberg Mine, which is located in the province of Papua. It’s the largest gold mine in the world and the 2nd largest copper mine, too.
The gold export market is heavily dominated by Switzerland who exports 28% of the world’s gold. But Indonesia is the ninth largest gold producing country, accounting for 4% of global gold production, despite having the world’s largest gold mine.
The mine is majority-owned by an American company called Freeport-McMoRan Copper & Gold Inc. However, it has suffered disturbed production rates due to local disputes and disruptions, which is why Indonesia’s gold production has not been as high as it could be.
Interesting Facts About Indonesia
- Indonesia has the largest percentage of citizens under the age of 30 (165 million) in the world and only 8% of the population is aged over 60 years
- It is the 4th largest country in the world with 250 million people living there according to World Bank figures
- There are more than 700 languages and dialects spoken across Indonesia
All figures based on OEC/IMF 2016 projections unless otherwise stated.
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