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 II.  BILATERAL TRADE WITH THE PHILIPPINES
     Value in US$ Million

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In 2006, Indonesia ranked 14th as trading partner of the Philippines, 15th as export market and 13th as import supplier.

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• GDP at present is a window of opportunity for RP companies to supply lower priced products that are not too quality sensitive but considering their depressed purchasing power.
  
  

• There is a continuous demand for fruit juices, noodles, biscuits, sardines and other processed food brought about by food shortage due to distribution bottlenecks.
  
  

• Over 20 million Indonesians now own mobile phones, representing roughly 12 percent of the country 234 million population. This is a significant opportunity for content providers to offer their services/facilities.
  
  

• IT market will reach US$1.9 billion in 2007 with a compound annual growth rate of 10% from 2002 to 2007. Indonesia expects to bring opportunities to local and foreign vendors, as the country strives to embrace and deploy technologies in the hope to compete with countries in the ASEAN region.
  
  

• Increased in wages led to the increase demand for consumer goods, i.e. women's / girls' wear and articles of apparel.
  
  

• There is a continuous strength in the motor vehicle industry like the uptrend in the sales of metal and automotive parts of Toyota and Ford vehicles.
  
  

• The market for cosmetics in Indonesia was estimated at $1.06 billion in 2006 and projected to grow by 6-10 percent in 2007. Although the market is supplied primarily by domestic producers, about 13 percent of these products are imported and this share is expected to increase by 5-10 percent in the future.
  
  

• Positive economic outlook, consumer lifestyles, awareness of personal grooming, growth of modern retail outlets and high-end shopping malls should lead to positive growth in the cosmetic sector. Given this, coupled with a population of more than 230 million people, Indonesia presents a good opportunity for cosmetic products.
  
  

• Philippine movie industry has gained a foothold in the Indonesian film industry. Indonesia is very much interested in showcasing Philippine movies, i.e. Feng Shui, Pamahiin, Ang Pamana, Ouija, Sigaw, Kubrador, Ang Pagdadalaga and Donsol, all translated in Bahasa language. 
  
  Source:  ADB Economic Update, Article on Indonesia Mobile Market,
                    Indonesia ICT Overview,  Buy USA Info.Net, PTIC Jakarta

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1. http://www.mindbranch.com - Indonesia Mobile Market
   
   

2. http://www.cia.gov/library/publications/the_world_factbook -   Economic indicators. FREE access.
   
   

3. http://www.id.com/getdoc.jsp  - Indonesia ICT Overview. FREE access.
   
   

4. http://www.adb.org - The Economic Update.  FREE access.
   
   

5. http://www.buyusainfo.net - The Market for Cosmetics in Indonesia . Free Access

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