Demand from Indonesia’s main trading partners, China and the United States, is declining. This can have an impact on the national economy. Fortunately, India can be Indonesia’s savior.
This was said by President Joko Widodo (Jokowi) some time ago. This is also supported by a statement from the ministry.
Jokowi said India could become one of Indonesia’s savior countries. This happened when demand from Indonesia’s main trading partners, namely China and the United States (US), decreased.
“If our big markets, both China (China) and America, demand is dropping, the demand is dropping or dropping, yes, the Ministry of Commerce should be able to shift, divert to other countries that have roughly the same demand,” he said Jokowi some time ago, quoted on Saturday (10/12/2022).
“I see that India has great potential, which we have never routinely approached there,” he explained, seen on the Presidential Secretariat Youtube.
As is well known, currently Indonesia’s exports are predicted to decline in the future due to lower international commodity prices and reduced demand from Indonesia’s main trading partners.
It was stated that the decline in demand came from Indonesia’s main trading partners, namely China and the US, which were experiencing difficulties. The two countries are currently struggling to overcome the economic slowdown which is expected to continue into next year.
The Acting Head of the Center for Macroeconomic Policy, Abdurohman, also made the same statement. He said there were several countries with the highest export growth for 2022, including Singapore, Japan, South Korea (South Korea), and India.
“If you look at the export data, there are India, Japan, South Korea, and Singapore whose export growth is higher than last year,” he said on the sidelines of the Annual International Forum on Economic Development and Public Policy (AIFED), Badung, Bali.
However, in the future, only India is expected to be able to grow high. UOB research shows that India’s economy can grow by 7% in 2022 and 6.5% in 2023. Meanwhile, three other countries experienced a significant slowdown.
“India’s growth is predicted to be the highest,” he explained. Therefore when China’s economy worsens, India will become the main destination for national exports. One of them is for palm oil commodities.