Rattan export ban will benefit local industry: Minister

The Jakarta Post, Jakarta | Tue, 11/08/2011 1:40 PM

Trade Minister Gita Wirjawan has assured that a regulation that will ban rattan exports will benefit all domestic stakeholders, especially local rattan farmers.

The ministerial regulation will ensure that rattan produced by farmers would be used by local craftsmen.

“I have discussed [the regulation] with the industry minister, the forestry minister and the governors of Central Kalimantan and West Sulawesi,” Gita said Monday as quoted by tribunnews.com.

He added that the regulation would also put an end to illegal rattan exports which harm the environment.

“We have promised to provide the rattan industry and craftsmen with training and development, not just in Java but also in Kalimantan and Sulawesi,” Gita said, pointing out that Kalimantan and Sulawesi were

Indonesia's main rattan production centers.

If everything goes according to the government plan, the ministry will ban rattan exports in December this year.

Rp 950b targeted for Maluku fish export project

The Jakarta Post, Jakarta | Tue, 03/01/2011 3:23 PM | Business

The government is targeting to invest Rp 950 billion (US$108.3 million) in efforts to make Maluku province the world’s biggest seafood exporter by 2015.

Previously, the Maluku governor requested Rp 16 trillion for the purpose, but the amount was declined.

Up to Rp 120 billion will be channeled toward fish farming.

Fishing from the ocean dominated 2009’s fish production, Fadel said.

“This catching method will be changed to an industry more focused on farming,” he said.

The government is planning to build fish ports to support the export activity. Up to 12 areas in region are likely to be developed for this purpose, he said.

The government will allocate Rp 2 billion to build ports, but its plan will also need at least Rp 2 trillion in investment.

According to the government, Maluku has the potential to produce 1.6 million tons of fish a year.

Japan's export growth accelerates for second month

The Associated Press, Tokyo | Thu, 01/27/2011 11:39 AM | Business

Japan's export growth accelerated for the second straight month in December, indicating a revival of overseas demand critical to the country's recovery.

Exports from the world's third-largest economy rose 13 percent from a year earlier on greater shipments of machinery and motor vehicles, the finance ministry said Thursday. North American demand was especially strong, reflecting an improving U.S. economy.

The latest result beat market expectations and is an improvement from the 9.1 percent year-on-year growth recorded in November.

Exports have been a key driver of Japan's economy, which has relied on the rest of the world to offset lackluster demand at home. A steady slowdown in export growth between February and October last year, as well as a strong yen, had triggered concerns that the economy was faltering.

Economists are more optimistic about 2011. A strengthening global economy usually translates to more orders for Japanese goods.

"As the yen appreciation trend seems to have run out of gas, we think exports should sustain growth on the strength of the U.S. economy," said Yuriko Tanaka, an economist at Goldman Sachs in Tokyo, in a note to clients.

On Tuesday, the central bank upgraded its economic outlook for the fiscal year ending March 31. It now expects real gross domestic product to expand 3.3 percent, up from 2.1 percent forecast in October.

While the Bank of Japan maintained its assessment that the country's recovery "seems to be pausing" and that exports were "somewhat weak," it predicted that the economy will gradually find its footing again.

Imports rose 10.6 percent in December. That resulted in a 34 percent bigger trade surplus of 727.7 billion yen ($8.8 billion).

Exports to China, Japan's biggest trading partner, rose 20.1 percent in December from a year earlier, according to the finance ministry report. Shipments to the U.S. climbed 16.5 percent, while those to the European Union rose 9.7 percent.

For the 2010 calendar year, Japan's exports rose 24.4 percent, marking the first annual expansion in three years. Shipments to China hit a record high of 13.09 trillion yen ($160 billion), accounting for more than 19 percent of Japan's exports.

GM to export $900 million in autos, parts to China

The Associated Press | Mon, 01/24/2011 11:23 AM | Business

General Motors Co. says it plans to export $900 million in vehicles and parts to China under a two-year agreement signed with its flagship joint venture, Shanghai GM.

The agreement was among various trade and investment deals signed in connection with Chinese President Hu Jintao's state visit to the United States, the company said in a release Sunday.

Vehicle exports will be worth $500 million and components worth $400 million under the agreement. The amount of GM's current exports, excluding the deal, was not immediately available.

"We are committed to working with both countries to promote bilateral trade," Kevin Wale, president and managing director of the GM China Group.

China overtook the U.S. to become the world's biggest auto market, by sales of new vehicles, in 2009. Last year, passenger car sales rose by a third to 13.7 million vehicles, while total vehicle sales topped 18 million.

GM's strong growth in China and other fast growing emerging markets has proven a lifeline in tough times, helping to offset lagging growth in the U.S. and Europe.

Shanghai GM sold 1.03 million vehicles in China last year, as the country's leading passenger car maker. Overall, GM and its joint ventures sold 2.35 million vehicles in China in 2010, up nearly 29 percent from a year earlier.

During the summit between Hu and President Barack Obama, China announced $45 billion in contracts and said it would increase its investments in the U.S. by several billion dollars - deals that Obama said will support 235,000 American jobs.

Pertamina eyes Middle East, Africa export markets

The Jakarta Post, Jakarta | Tue, 01/11/2011 7:29 AM | Business

State-owned oil and gas firm Pertamina on Monday announced plans to export 150,000 kiloliters of lubricant to the Middle East and Africa this year, among its efforts to become a world-class company.

“We are looking at Egypt, Jordan and several African countries,” Pertamina marketing and trade director Djaelani Sutomo said Monday as quoted by kontan.co.id.

The Pertamina lubricant Fastron is currently exported to countries including Singapore, Philippines, Timor Leste, Myanmar, Australia, Japan, Pakistan, United Arab Emirates and Belgium.

The head of Pertamina Lubricant’s brand and communications department, Redesmon Munir, said he was satisfied with Pertamina's ability to penetrate the Japanese market.

“Japan is a sexy market ... It has a large purchasing power and consumers pay attention to quality and service excellence,” he said.

Last year, Pertamina exported 80,000 kiloliters of lubricant, worth US$240 million.