Market Research: Water and Industrial Pumps In Indonesia (2007) part.1




Imports dominate the Indonesian water and industrial pumps market, accounting for more than 90 percent of the total market. Japan, China, Singapore and Germany are the key competitors for U.S. exporters. The total market demand in 2006 for water and industrial pumps was $862 million. If the domestic and export markets remain stable, it is predicted that the growth of total domestic demand will increase by 10 to 15 percent annually over the next five years.
Indonesia’s water and industrial pumps market represents growing potential for
U.S. exporters. In 2006, U.S. water and industrial pumps accounted for $159 million, or 18 percent of the market.
U.S. was the main supplier, contributing 18 percent of the country’s imports followed by Japan (17 percent), China (10 percent), Singapore (8.5 percent) and Germany (5 percent). U.S. pump companies that are represented in Indonesia include Aurora, Byron Jackson, David Brown, Durco, Fairbank Morse, Goulds, Ingersoll-Dresser, ITT, Milton Roy, Mission, Myers, Peerless, Patterson, Pulsafeeder, Reddy Buffaloes, Ropar, Viking, Warren Rupp, Wilden, and Wortington.

Industry sources believe U.S. products will continue to find a good market in Indonesia. U.S. brands known for their quality and durability have progressively gained market share in the past three years. American water and industrial pumps manufacturers need more exposure to the water and industrial pumps sector in Indonesia.

Indonesia Fact:
Geography Area: 2 million sq. km. (736,000 sq. mi.), about three times the size of Texas; maritime area: 7,900,000 sq. km. Cities: Capital–Jakarta (est. 8.8 million). Other cities–Surabaya 3.0 million, Medan 2.5 million, Bandung 2.5 million plus an additional 3 million in the surrounding area. Terrain: More than 17,000 islands; 6,000 are inhabited; 1,000 of which are permanently settled. Large islands consist of coastal plains with mountainous interiors. Climate: Equatorial but cooler in the highlands.

People Nationality: Noun and adjective–Indonesian(s). Population (July 2006 est.): 245.5 million. Annual population growth rate (2006): 1.3%. Ethnic groups: Javanese 45%, Sundanese 14%, Madurese 7.5%, coastal Malays 7.5%, others 26%. Religions: Muslim 88%, Protestant 5%, Catholic 3%, Hindu 2%, Buddhist and other 1%. Languages: Indonesian (official), local languages, the most prevalent of which is Javanese. Education: Years compulsory–9. Enrollment–94% of eligible primary school-age children. Literacy–90% (2005). Health: Infant mortality rate–28/1,000 (2005). Life expectancy at birth–68 years (2005). Work force: 94.2 million (2005 est.). Agriculture–46.5%, industry–11.8%, services–41.7%.

Economy GDP (2005): $281.3 billion; (2006 est.): $351.9 billion. Annual growth rate (2005): 5.6%; (2006 est.): 5.5%. Inflation (2005): 10.5%; (2006 est.): 6.1%. Per capita income (2005): $3,600 (est., PPP). Natural resources (10.4% of GDP): Oil and gas, bauxite, silver, tin, copper, gold, coal. Agriculture (13.4% of GDP): Products–timber, rubber, rice, palm oil, coffee. Land–17% cultivated. Manufacturing (28.1% of GDP): Garments, footwear, electronic goods, furniture, paper products. Trade: Exports (2005)–$86.2 billion including oil, natural gas, appliances, textiles. Major exporters–Japan, U.S., China, Singapore. Imports (2005)–$63.9 billion including food, chemicals, capital goods, consumer goods. Major importers–Japan, China, Singapore, and Thailand.

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