The Minister of Trade (Mendag) Zulkifli Hasan (Zulhas) reported that Indonesia's trade performance in May 2022 again recorded a trade balance surplus of USD 2.9 billion. This trade surplus figure increased compared to May 2021 which was recorded at USD 2.7 billion. This value consists of a non-oil and gas balance surplus of USD 4.75 billion and an oil and gas balance deficit of USD 1.86 billion. This condition continued the surplus trend for 25 consecutive months since May 2020. "Indonesia's trade balance surplus in May 2022 was driven by a trade surplus with several trading partner countries. India contributed the largest surplus of USD 1.35 billion, followed by the United States of USD 0.99 billion and the Philippines USD 0.83 billion," said Zulkifli Hasan in a written statement, Saturday (6/18/2022). Cumulatively, Indonesia's trade balance still recorded a surplus of USD 19.79 billion during January-May 2022. This figure is much higher than the same period the previous year which recorded a surplus of USD 10.51 billion. The trade surplus from January to May 2022 was supported by a surplus in the non-oil and gas sector of USD 29.35 billion, and a deficit in the oil and gas sector of USD 9.56 billion. Zulkifli Hasan added, a high trade surplus will have a more positive impact on Indonesia's Gross Domestic Product (GDP) in the second quarter of 2022.
"When compared to last year, this year's trade balance is estimated to be much better," he added. Indonesia's exports in May 2022 were recorded at USD 21.51 billion, growing 27% compared to May 2021 year-on-year (yoy). Oil and gas and non-oil and gas exports both experienced high growth, respectively 54.49% (yoy) and 25.34% (yoy). The value of exports strengthened as demand increased due to concerns that world supply would be disrupted after Russia's invasion of Ukraine. Then, the increase in the price of leading export commodities compared to May 2021. In addition, exports of all sectors in May 2022 also strengthened compared to the same month the previous year. The mining sector became the mainstay sector with the highest growth rate of 114.2 percent (yoy), followed by the oil and gas sector at 54.5 percent (yoy), and the agricultural sector at 20.32 percent (yoy).
The quality of Indonesia's exports has also improved. This can be seen from the improving export growth of the processing industry by 7.78 percent (yoy). This export improvement was supported by products with high added value, such as ships, boats and floating structures (HS 89), nickel and its products (HS 75), and inorganic chemicals (HS 28). "To spur high value-added exports, the Ministry of Trade continues to accelerate the trade transformation program that focuses on increasing non-commodity exports and digitizing trade," concluded the Minister of Trade Zulkifli Hasan.
