I

ndonesia says growth for the nation’s non-oil exports will likely increase by 15 percent in 2011, down from 30 percent in 2010.

Trade Minister Mari Elka Pangestu said on Wednesday that the government predicted exports would top US$164 billion in 2011, up from $127 billion in 2010.

“We set a lower target because we are already back to normal after the global crisis,” Deputy Trade Minister Mahendra Siregar said, adding that export growth appeared high in 2010 after rebounding from a sharp drop in 2009 due to the crisis.

Mahendra said that exports were $127 billion in 2010, up 30 percent from $97.5 billion in 2009 on the back of skyrocketing prices for commodities such as crude palm oil (CPO) and coal, Indonesia’s prime non-oil exports.

Mari said that this year’s exports would depend heavily on increasing prices for principal export commodities, such as textiles, footwear, paper, CPO and its end products, and processed cocoa products.

Textile and footwear exports, for example, were expected to grow by more than 10 percent and 20 percent respectively.

“The growth will result from numerous investments in these sectors last year that will be realized through 2011 and a better market development,” she said.

Mari said that exports of CPO and its processed products would grow by 16 percent due to new investment plans worth $1.2 billion this year and a possible CPO price increase in the international market, while exports of semi-finished cacao products would increase by 61 percent resulting from production capacity expansion at several factories.

According to Mari, five countries — the US, Japan, China, Singapore and Malaysia — would remain the major importers of Indonesia’s products and were expected to comprise from 43 to 47 percent of the nation’s export revenue.

Mari said that the 2010 non-oil export value of $127 billion would be exceeded in 2011, since from January-November 2010 period alone, it had reached $115.9 billion. (lnd)