CAD Strategy; Govt Pushing for Coffee, Cocoa Exports to Switzerla



Mahinda Arkyasa

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  • TEMPO.CO, Jakarta - The government continues to focus on curbing the current account deficits (CAD). One way is by increasing the exports of leading commodities from Indonesian plantations to a number of developed countries, one of them Switzerland.

    "There is a huge export opportunity to Switzerland and coincidentally Switzerland applies free trade agreements," Cooperatives and SMEs Minister Teten Masduki said in Jakarta on Monday, January 13, 2020.

    The main commodities of Indonesian plantations, said Teten, are coffee and cocoa. Indonesia also wants to increase the exports of horticultural products, bamboo-based products, herbal medicines, and marine products.

    Switzerland is considered a potential export destination as it is one of the gateways to Europe's market.

    "We can actually use Switzerland as an entry point to the European market, so we will take full advantage of the cooperation," Teten said.

    Teten further added that Indonesia's trade balance with Switzerland is now at a surplus, thanks to the export of mining products such as gold and other precious metals. However, for horticultural commodities, the export volume is very small. For coffee, Indonesia's export value to Switzerland has only reached USD 30 million.