CPO & rubber predicted to be drivers of exports in 2017

The Deputy for Distribution and Service Statistics, Central Statistics Agency (BPS), Sasmito Hadi Wibowo, said the export potential in 2017 is in commodities, specifically crude palm oil (CPO) and its derivatives. "I think the potential lies in commodities, CPO, and if possible, its derivatives. About a third of our exports are in the form of cooking oil, actually made from palm oil. Palm oil, however, has hundreds of derivatives," Sasmito said at the BPS building, Thursday (16/2). According to Sasmito, if Indonesia can develop exports of other derivatives, the export prospect this year will be even better. "For example, cosmetics, chemical products, if that can be done, it would increase the added value," he said. Furthermore, a commodity that can boost export potential this year is rubber. According to Sasmito, rubber and its derivatives have already been quite developed. Therefore, the growth in the number of vehicles in various countries can become a good export market share for Indonesia. "Although there is synthetic rubber, which depends on BBM prices. If BBM goes up, the price of synthetic rubber will become more expensive. BBM is likely to increase in the future, so the opportunity for rubber is also good," he said. Later, Sasmito said that manufactured products can also boost exports in 2017. "Including tires as a derivative of rubber. Also printer products. There is a popular printer brand that is manufactured here, so we also export a lot," he explained. Meanwhile, he said that Indonesia cannot expect much from the oil and gas sector because oil exports are still negative. "(Oil and gas) is rather difficult, but we must maintain our gas exports," he said. He also said that coal commodities are less likely to support exports this year because they cannot be reprocessed in Indonesia. "We cannot do anything with coal, just keep digging and shipping it," he said. Sasmito added that, with current commodity prices in recovery, Indonesia need not worry about US president number 45 Donald Trump's policy. However, he said that commodity price trends will still fluctuate. "If the supply in the destination country is high, demand will be lower and prices will fall. But if they are lacking, prices will go up," he said. http://nasional.kontan.co.id/news/cpo-karet-diprediksi-jadi-mesin-ekspor-2017