Yemisi Izuora
Indonesia which currently enjoys a $302.7 million non-oil-and-gas trade surplus with Nigeria, is set to widen the scope of its business with the country.
There is a possibility of new business discussion coming as a trade mission team is ready to visit Nigeria and South Africa on July 20 to 26 in a bid to expand trade with the non-traditional markets, which have large populations and high growth rates.
“Both South Africa and Nigeria are gateways to access the larger African market,” said Trade Minister Enggartiasto “Enggar” Lukita in a press statement.
“South Africa is key to access members of SACU [Southern African Customs Union] while Nigeria is a gateway to Ecowas [Economic Community of West African States].”
He added that the visit was slated to accelerate the signing of preferential trade agreements (PTA) between Indonesia and each of the two African countries.
Representatives from 21 firms will join the team. They will offer, among others, agricultural and automotive products, coffee, crude oil, construction, food processing, furniture, palm oil products, paper, spices, footwear, textiles, building materials, poultry and finance.
Enggar said government to government trade was also possible as Indonesia, for example, needed oil and gas as well as weapons from the countries, while Indonesia might sell transportation equipment and palm oil to them.
South Africa has a population of 55 million with 18.10 inflation rate in June and Nigeria has 182 million people, while the entire continent is home to some 1.62 billion people with solid population growth.
In 2016, Indonesia saw a US$437 million trade surplus with South Africa, but a $969.2 million deficit with Nigeria as a result of oil and gas imports from that country.