Brunei-Indonesia trade hit $812 million in 2014

Trade value between Brunei and Indonesia increased by 4.10 per cent to to $812 million in 2014, a senior Indonesian diplomat said yesterday.

Out of the $812 million, over 90 per cent of the business transaction was in oil and gas, according to Rudhito Widagdo, Minister Counsellor of Economy at the Indonesian Embassy.

Indonesian exports to Brunei was valued at $135 million in 2014.

“Some of the transactions also came from the SMEs(small and medium enterprises) but there is no doubt that oil and gas played a big part in the trade value,” he told The Brunei Times following a business briefing held for Bruneian businesses and stakeholders.

This, Rudhito said, is an improvement from the trade value of $780 million recorded in 2013.

Indonesia is also on a mission to reduce its trade deficit with Brunei. He said that trade value between the two countries had fluctuated in the past five years.

In 2009, trade between Brunei and Indonesia reached $1.2 billion but decreased in 2010 to $948.2 million.

In 2011, trade went up again to $1.15 billion before dropping to $675.6 million in 2012. Trade improved by 27.8 per cent in 2013 to $863.5 million.

During these periods, Indonesia had always recorded deficit due to its huge import of crude oil, Rudhito said.

He said Indonesia is inviting more Bruneians to invest in several “high-potential” provinces in the country. This will boost capital flow from the Sultanate.

He hoped that yesterday’s briefing will inform Bruneian entrepreneurs about the business environment and investment opportunities in Indonesia.

“We always strive to do our best to improve the economic relations of the two countries. In shaa Allah, in time, it will bear fruit. I’m very positive,” he said.

Following a successful trade mission to Jakarta and Yogyakarta in October last year, the Indonesian Embassy will be organising another trade mission to Jakarta and Bandung from October 19 to 25.

Bruneian businessmen who will join the trade mission will have an opportunity to do business matching with Indonesian companies, district officers and trade associations. They will also meet up with governors and district heads.

The delegation will visit the Indonesian Trade Expo 2015.