Israel-Iran Conflict Heats Up, BPS Says Effect on Indonesian Exports and Imports is Minimal

BPS (Photo: Antara)

JAKARTA - The global geopolitical situation is currently heating up, especially the conflict taking place in the Middle East between Israel and Iran. The conflict between the two countries is considered to have an impact on the world economy.

So, will Indonesia's trade performance be affected?

Acting Head of BPS Amalia Adininggar Widyasanti said that Indonesia's trade performance with Iran and Israel was relatively small. Both of them are not Indonesia's main trading partners.

"I underline that, in general, it can be concluded that the value of Indonesia's goods trade with Iran and Israel is relatively small. "Both of them are not Indonesia's main trading partners in the Middle East region," said Amalia at a press conference in Jakarta, Monday, April 22.

Amalia said that the Middle Eastern countries that are Indonesia's largest trading partners are Saudi Arabia, the United Arab Emirates, and Oman.

Furthermore, Amalia said that Indonesia's export performance to the Middle East throughout 2023 was 19.2 billion US dollars. He said that this figure was only around 4 percent of total trade last year.

Meanwhile, continued Amalia, throughout 2023 the value of Indonesia's exports to Iran was recorded at 195.13 million US dollars, or around 2.51 percent of Indonesia's total exports to the Middle East.

Meanwhile, the value of Indonesia's imports from Iran reached 11.72 million US dollars or approximately 0.12 percent of total imports from the Middle East. Thus, continued Amalia, Indonesia experienced a trade balance surplus with Iran of around 183.41 million US dollars.

"The three main commodities exported by Indonesia to Iran include fruit, vehicles and their parts and chemical products," he explained.

Meanwhile, continued Amalia, the main commodities that Indonesia imports from Iran are fruit, mineral fuel, and organic chemicals.

Meanwhile, said Amalia, the value of Indonesia's exports to Israel reached 165.77 million US dollars or only 1.83 percent of total exports to the Middle East. Meanwhile, the import value was only 21.93 million US dollars or only 0.22 percent of Indonesia's total imports from the Middle East.

"Thus, Indonesia also experiences a goods trade balance surplus with Israel," he said.