The tension between Russia and Ukraine is expected to disrupt Indonesia’s trade flows with the two countries. Heated escalation can hinder export Indonesia to Russia and Ukraine.
“This will cause trade disruptions,” said Bank Mandiri economist Faisal Rachman, quoted from CNBC IndonesiaThursday (24/2).
The Central Statistics Agency (BPS) recorded that the value of Indonesia’s exports to Russia reached US$176.5 million or equivalent to Rp. 2.52 trillion (exchange rate of Rp. 14,300 per US dollar) as of January 2022. This figure grew by 58.69 percent compared to the value of exports as of December. 2021 which is only US$111.2 million.
The value of Indonesia’s exports to Russia for the January 2022 period is also much higher than in January 2021, which rose 60.29 percent.
The majority of commodities that Indonesia trades with Russia include animal fats and oils, rubber, and rubber goods.
For animal fats and oils, the value dominates Indonesia’s export products, which reached US$102.4 million. Meanwhile, rubber and rubber products contributed US$11.1 million.
In addition, other export commodities were footwear with a value of US$7.8 million and other goods reaching US$47.9 million.
On the other hand, Indonesia’s exports to Ukraine in January 2022 actually decreased significantly to 83.78 percent compared to December 2021.
It was recorded that Indonesia’s exports to Ukraine reached US$33.1 million in December 2021. However, the export value in January 2022 was only US$5.4 million.
A number of commodities that Indonesia exported to Ukraine were animal fats and oils amounting to US$933 thousand, footwear amounting to US$571 thousand, paper and similar goods US$556 thousand, cocoa and its processed products US$451 thousand, and other goods US$2.8 million.
(fry / aud)
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