Indonesia is a country located in the South-Eastern part of Asia

The country comprises thousands of islands that are located in the vicinity of each other

  • Due to its location, almost all of Indonesia’s major trading partners are located in the Asian region
  • At present, Asia accounts for nearly 76% of all exports from Indonesia, thereby highlighting its importance
  • Some of the major trading partners of Indonesia include China, India, Japan, and Singapore


Indonesia is considered to be a country that is rich in natural minerals

  • This is one of the primary reasons why Indonesia’s top export is mineral fuels
  • The country is also among the leading producers and exporters of coal and related products

Indonesia is considered to be a country that is rich in natural minerals

  • This is one of the primary reasons why Indonesia’s top export is mineral fuels
  • The country is also among the leading producers and exporters of coal and related products

Indonesia is Among the World’s Largest Exporters of Mineral Fuels

Indonesia is Among the World’s Largest Exporters of Mineral Fuels

During the year 2019, Indonesia’s largest export was mineral fuels and related products

  • The country exported mineral fuels worth $39 billion, which accounts for nearly 21.3% of the total exports
  • The second most exported product was animal and vegetable oils, accounting for less than 8%
  • This indicates that mineral fuels are the most dominant industry in Indonesia when it comes to international trade

There are five major components of Indonesia’s mineral exports. These include palm oil, coal, petroleum gas, copper, and gold

  • Out of these five, the two most dominant sub-sectors are palm oil and coal
  • Indonesia is the leading exporter of palm oil in the world
  • Similarly, coal is also extremely important for its economy. Indonesia has vast reserves of coal. Coal and related products from Indonesia are exported to several parts of the world, including the US, China, Japan, and Singapore

However, during 2020, the demand for Indonesia’s coal has declined to an extent

  • This is because of two major reasons, the COVID-19 crisis as well as the increasing focus on renewable sources of energy
  • The COVID-19 crisis has meant that the demand for travel has reduced to a great extent. Many parts of the world have been under strict lockdowns
  • Since people are not travelling, the demand for fuels has come down
  • In addition to this, there is also an increasing push for the use of renewable sources of energy
  • An increasing number of nations are looking at alternative sources such as wind energy and solar energy
  • This implies that Indonesia’s coal exports could suffer in the near future as well

Therefore, it is extremely important for Indonesia to try to diversify its exports away from mineral fuels. This could help the country in mitigating any potential risks and maintain its trade position


To conclude, it is clear that there are several reasons why Indonesia is among the leading exporters of mineral fuels and related products. The country is rich in minerals and continues to make the most of them. However, it must look to diversify its exports in the future. Institutions such as Euro Exim Bank offer customized support to traders in the form of financial instruments and bespoke trade advisory services. Euro Exim Bank offers financial instruments such as Bank Guarantees and Letters of Credit (LCs). Further information about Euro Exim Bank and its key product offerings is available here.