Tugas.

Please read the following situation below. Then, write an essay consisting of 3 paragraph.
Elaborate your own opinion with the references related to situation given.

Export and import are two things that are

interrelated. Please explain the condition of export and import in a country which has a healthy
economic condition. You can also add the examples to support your ideas.

Answer :

Indonesia's exports in April 2022 were recorded at USD 27.32 billion, higher than the previous
month and growing by 47.76% (year on year). Both oil and gas and non-oil and gas exports
experienced high growth, namely 48.92% and 47.7% (yoy). The potential for strengthening
export values will continue to be high in line with the positive trend of commodity prices in the
global market which is expected to continue going forward. This has also been well balanced by
consistently strong growth in non-oil and gas exports. This is clear evidence of improvement in
the fundamental economic structure. The government will continue to make efforts to make these
improvements sustainable.

Even though the direct impact is estimated to be relatively small for Indonesia's trade
performance, the Government continues to monitor the potential impact of tensions between
Russia and Ukraine, one of which is through the transmission of volume and global commodity
prices. On the one hand, the increase in global commodity prices has had a positive impact on
our exports, especially related to energy, mineral and metal commodities which Indonesia
exports in large quantities so as to maintain the momentum of national economic growth.
Strengthening exports are expected to continue to support the trade balance surplus so that it
continues to have a positive impact on real sector activity.

The increased liquidity obtained from export activities will have a positive impact on domestic
consumption and investment activities, which is expected to maintain the momentum of
economic recovery.

However, the Government will continue to be aware of the indirect impact of the Russia-Ukraine
conflict, both related to the weakening of global economic performance and related to the
increase in commodity prices. Disruption of global trade will suppress the pace of global
economic recovery which is projected to slow down. Meanwhile, the surge in commodity prices,
especially energy and food, will push up domestic inflation. Various efforts have been made by
the Government to maintain price stability and adequate availability of staple food and energy
needs, including providing a policy cushion in the form of cooking oil social assistance for low-
income groups.
The quality of Indonesia's exports also continues to be seen. The proof is that the export of the
manufacturing sector as the highest contributing component of non-oil and gas exports continues
to grow consistently, with an annual growth of nearly 30 percent, namely 27.92% (yoy). The
manufacturing sector is a sector that has high added value in the economy, especially in terms of
job creation. Improvements in this sector are monitored in line with employment absorption in
February 2022. The direction of the Government's policy will continue to promote exports with
high added value by downstreaming Indonesia's Natural Resources (SDA). Some examples of
these products are iron, steel and ferronickel as processed minerals which are now starting to
support Indonesia's exports with rapid growth. The Government's natural resources downstream
priorities are mining and minerals (nickel hydrate, iron and steel), CPO (margarine, bath soap),
oil and gas and coal (ethylene, propylene, and others).

Meanwhile, Indonesia's imports in April 2022 were recorded to remain strong, although slightly
slowing from the previous month at USD 19.76 billion, or growing by 21.97% (yoy). On an
annual basis, oil and gas and non-oil and gas imports continued to grow rapidly by 88.48% (yoy)
and 12.47% (yoy). Meanwhile, based on usage, in April 2022, imports of raw/auxiliary
materials, capital goods, and consumption goods still grew positively and strongly by SP -
19/BKF/2022 Page 2/2 25.51% (yoy), 15.16% (yoy), and 4.21% (yoy). The increase in imports
of consumer goods indicates the recovery of people's purchasing power. While the increase in
imports of raw materials and capital goods indicates an increase in industrial activity in the
country, one of which is driven by improvements in the domestic industrial climate. This is also
in line with Indonesia's Manufacturing PMI figures which are increasingly expansive.

Indonesia's export and import performance in April 2022 showed more positive conditions
compared to the same month and period in the previous year. The trade balance surplus in April
2022 was recorded at USD 7.56 billion, an increase compared to the previous month which
recorded a surplus of USD 4.54 billion. This condition continued the surplus trend for 24
consecutive months. In addition, this surplus is also the highest in history, beating the record in
October 2021 which was recorded at USD 5.74 billion.

A high trade balance surplus will have an increasingly positive impact on Indonesia's GDP in the
second quarter of 2022. In addition, this will also support the stability of the Rupiah exchange
rate amidst global risk pressures so that it will cushion Indonesia's economic stability. When
compared to 2021, the direction of strengthening in 2022 is estimated to be much better. This is
due to the condition of a larger trade balance surplus, as well as the pandemic which is
increasingly leading to endemic which reduces mobility barriers.