As industry players mull steps to strengthen bilateral trade relationship between Nigeria and other countries, the director of Indonesian Trade Promotion Centre (ITPC), Hendro Jonathan, has disclosed that Nigeria’s trade balance surplus with Indonesia is currently at $459 Million, which he describes as a positive growth sign for the country.
Jonathan made the disclosure during a media briefing in Lagos to announce the Equipment and Manufacturing West Africa (EMWA) 2021 exhibition, with the theme ‘Industrialisation and Innovation; Revitalising the industrial Sector to Unlock Nigeria’s Potential.’ A trade surplus is an economic measure of a positive balance of trade, where a country’s exports exceed its imports. A trade surplus occurs when the result of the above calculation is positive. He noted that the total volume of trade between Nigeria and Indonesia stands at $2 Billion, adding that it is still growing.
He also explained that in the bilateral trade relationship with Nigeria, the conversation has always focused on the value of trade, not volume, adding that in terms of trade volume, it is positive for Nigeria, because the export from Nigeria is higher when compared with the imports from Indonesia. For Indonesia to be at par with Nigeria in terms of trade surplus there is need for the country to import more commodities to Nigeria to the tune of $459 Million, he intoned.
“Nigeria sells more to Indonesia when we compare it. Therefore, the trade balance is more positive on the Nigeria side than Indonesia. However, we are increasing our import gradually and hopes to be even with Nigeria. We import crude oil, used cartons, rubber latex from Nigeria and export pharmaceutical products, palm oil, paper products, printing materials, vehicle tyres and textile to Nigeria,” he said.