TRADE BETWEEN INDIA AND INDONESIA

Presented By: Abhijit Kadam Donna Sebastian Titus Pinto Utsav Gupta

Social Etiquettes
Meeting and Greeting
y Shake hands and give a slight nod when meeting for the first

time. Shake an Indonesian woman's hand only if she initiates the greeting. y Greet people with "Selamat" (sell-a-mat), which means peace. y Demonstrate respect by waiting until the guest of honour has ordered before you do so.

Body Language
y Do not touch a persons head. y Sitting with good posture. y Point with your thumb, not your index finger. y The left hand is considered unclean. y American-style backslapping is considered offensive. y No physical contact between men and women is made in

public, except a possible handshake.

Dining and Entertainment

y Social events generally start late. y Most Indonesians are Muslim and consume no liquor or y y y y

pork. The guest of honour is usually seated next to the host. When you are asked to begin the meal, you should refuse twice and then begin. Request the bill by making a scribbling gesture on the palm of your hand. Party should be held from 7:00 to 9:00 p.m.

Gifts
Appreciated Gifts y Food can be a welcome gift. Meat products must be 'halal', which is the Muslim designation of permitted foods. y Songbirds are prized pets. Tapes and CDs of the music of champion songbirds are popular. Gifts Avoid Giving y Alcohol y Perfumes containing alcohol y Pork y Pigskin products y Knives y Toy dogs or gifts that picture dogs y Images of nude or partially clad women [even in paintings or sculptures with artistic merit] y Leather items of any kind should not be considered as gifts.

Business Etiquettes

y Print your business cards in English, with the reverse side printed y y y y y

in Indonesian. The meetings traditionally start late, and your Indonesian business associates will probably arrive late. Indonesians love to bargain. Giving concessions too quickly will be viewed as naivet. Personal visits are important to Indonesians. They do not take well to faxes, telephone calls or messages. Indonesians want very much to please. An untruthful answer may be given so as not to disappoint anyone. Indonesians rarely disagree in public.

Appearance
y For men includes dark trousers and a light-colour long-sleeved shirt and

y y y y y y

tie, without a jacket. Many businessmen wear a short-sleeved shirt without a tie. Western businessmen are encouraged to wear batik to formal social situations, although a shirt and tie are also acceptable. Women wear blouses that cover at least their upper arms. Skirts should be knee length or longer. For women, business suits and hosiery are reserved for more formal offices, while pants and pantsuits are best avoided. Women are limited to clothing colours that are muted or dark. "Lounge suit" requires men to wear a business suit. This term may be included on an invitation. Jeans may be worn for very casual, but never shorts for men or women.

Behaviour
y Women do not offer a handshake to an Indonesian man. y Indonesian Chinese may bow, or combine a bow with a handshake. y Before answering a question, Indonesian business protocol demands that

y y y y y

the respondent make a respectful pause--lasting as long as 10 to 15 seconds. Sucking in air through your teeth is one way to signal a definite answer of 'no.' A man is addressed as Pak (Mr.) orBapak(Sir) . A lady is addressed as Ibu. People are called by their first name. Do not use red ink when writing, or having printing done (Chinese). Use of the language Bahasa Indonesia is also mandated for many advertisements and publications.

Business gifts
y Indonesian business protocol requires that a businessman say

that his wife sent the gift. y During the first meeting, gifts such as tokens representative of your country or that feature your company logo. y Gifts of food are always appreciated by Indonesians.

Exports to Indonesia
Values in Rs. Lacs S.No. 1. Commodity
ANIMAL OR VEGETABLE FATS AND OILS ; PRE. EDIBLE FATS; ANIMAL OR VEGETABLE WAXEX. COFFEE, TEA, MATE AND SPICES. ELECTRICAL MACHINERY AND EQUIPMENT ,TELEVISION IMAGE AND SOUND RECORDERS AND REPRODUCERS. FERTILISERS. IRON AND STEEL MINERAL FUELS, MINERAL OILS AND PRODUCTS OF THEIR DISTILLATION; BITUMINOUS SUBSTANCES; MINERAL WAXES. ORGANIC CHEMICALS

2009-2010
1,615,593.21

2010-2011
1,266,654.35

2. 3.

19,624.88 50,395.37

11,663.65 66,951.30

4. 5. 6.

7,766.97 15,993.86 1,257,755.84

10,343.56 15,910.31 993,461.38

7.

74,807.26

66,762.72

Imports from Indonesia

Values in Rs. Lacs S.No. Commodity
ALBUMINOIDAL SUBSTANCES; MODIFIED STARCHES; GLUES; ENZYMES. ARTICLES OF IRON OR STEEL. ARTICLES OF STONE, PLASTER, CEMENT, ASBESTOS, MICA OR SIMILAR MATERIALS. CERAMIC PRODUCTS. CEREALS. COFFEE, TEA, MATE AND SPICES. COTTON.

2009-2010
2,022.72 11,471.69 3,862.00

2010-2011
1,327.64 6,463.79 3,372.71

1. 2. 3.

4. 5. 6. 7.

1,595.67 10,671.68 7,503.95 49,712.56

1,310.76 13,849.90 6,441.11 40,927.98

Restricted Items
y The use of import licensing, have been progressively eliminated.

(i) the regulation of timing of the import of rice and sugar; (ii)verification and other requirements for the export of tin and granite; and (iii) the ban on the export of logs and sands.
y INDONESIA announced a ban on import of soyabean, soyameal

and maize (corn) from India and China in 2007.

y Indonesia may be looking to ban the exports of low-grade thermal

coal by 2014.