Importing from Indonesia

Indonesia Import Guide | Trade Finance Global

Importing from Indonesia

Imports to Indonesia fell in recent years, with purchases of non-oil products along with oil and gas showing dramatic reductions. In recent years, imports reduced almost 20% to around USD140 billion. The imports in Indonesia were on average over 3000 USD Million from 1960 until today, which hit a peak of over 17400 USD Million in mid 2013 with a record low of around 20 USD Million towards the end of 1959. The rate of growth for the Indonesian economy has been a steady 5 to 6% over the last 10 years. This shows a more stable rate than the economies of Brazil, Russia, India and China (BRIC) or Organisation for Economic Co-operation and Development (OECD) countries.

In between the years of 2004 and 2012, import numbers to Indonesia increased three fold, as much of the population were deemed as ‘middle-class’, which meant that there were higher purchases of oil and an increased consumption of goods. From the middle of 2013, imports have declined as a result of low commodity prices, low investment and weak domestic consumption. The main import products are: oil and gas (around 17 percent of total imports), boilers, mechanical appliances (around 19 percent); steel and iron (around 5 percent), organic chemical materials (around 5 percent) and vehicles (4.5 percent). The main countries who partner with Indonesia are: China (accounting for 25 percent of total imports), Japan (11 percent), Singapore (around 7 percent), Thailand (6.8 percent) and the United States (around 6 percent). In terms of products, the main imports are refined petroleum ($27B), computers ($2.5B), crude petroleum ($13B), vehicle parts ($3B) and petroleum gas (almost $3B).

Importing from Indonesia? Contact our local experts

1.00 GBP
British Pound
1.00 GBP = IDR
Indonesian Rupiah
1.00 IDR = INF GBP
GDP growth (annual %)

Importing from Indonesia: What is trade finance?

Trade finance is a revolving facility which alternative financiers offer - it enables organisations to buy products and can help ease cashflow issues.

Often, an alternative financier will fund most of the cost of the receivables, including charges (e.g. VAT charges).

Trade finance offers added advantages over more traditional bank finance including asset finance or business loans. Trade finance provides quick funding without affecting existing bank relationships.

How does it work?

If you're an organisation importing or exporting inventory outside of your own country, then a trade finance facility would help you to fund this through offering a letter of credit (LC) or some form of cash advance.

I’m looking to import from XXX, how can Trade Finance Global help, and how does it work?

If you are looking to import products from other international markets, you may require import finance, which is an agreement between yourself (the importer) and the foreign exporter. A non-bank lender would act as the intermediary, paying the foreign exporter on your behalf until you get the inventory and have then sold them to your buyer. Repaying the funder then happens over an agreed period of time.

Read the TFG Importers Guide here.

Importing from Indonesia? Contact our local experts

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