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2007-05-08T19:31:00.000-07:00

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SOUTH KOREA FIRMS IN PERTAMINA DEAL

2007-04-30T23:56:00.000-07:00

Business News - Tuesday, May 01, 2007

Ika Krismantari, The Jakarta Post, Jakarta

State-run Korea National Oil Corporation (KNOC) and SK Corp. are to sign a memorandum of understanding (MoU) Tuesday on oil and gas exploration and production with Indonesia's national oil and gas firm, Pertamina.

The three companies will collaborate on oil and gas exploration and production both in Indonesia and other countries, KNOC exploration manager Sukyeon Hwang told The Jakarta Post following a meeting with senior officials from the Energy and Mineral Resources Ministry on Monday.

The meeting was only one of many to be held during a three-day visit by a South Korean business delegation, which comprises 190 senior executives representing major South Korean companies. They will be in Jakarta until Wednesday.

During Monday's meeting, another Korean energy firm, E1, said it would form a joint venture with Pertamina to build an LPG (Liquefied Petroleum Gas) plant in South Sumatra.

E1 representative Moon Soo Dong said the plant would have a designed capacity of 350 million cubic feet a day, and would cost about US$155 million to build.

He also said construction of the plant would begin in 2008, and that it was expected to commence commercial operations in the first half of 2010.

In the electricity sector, Korea Electric Power Corp. (Kepco) said that it agreed with state-owned electricity firm PLN to build a gas-fired power plant in Bojonegara, Banten, with an installed capacity of 750 megawatts (MW).

The plant is scheduled for completion between 2009 and 2010.

During the meeting, the world's largest LNG importer, Korea Gas (Kogas), said it was interested in taking part in the construction of a third train (processing unit) at the LNG plant in Tangguh, Papua.

The Tangguh LNG plant, owned by a BP Indonesia-led consortium, takes gas from a field that contains proven reserves of more than 14 trillion cubic feet. Trains I and II are currently in the final stages of construction. Based on existing contracts, Tangguh will deliver most of its LNG to South Korean firms Posco and SK Power.

According to a Kogas executive, who requested anonymity, the plan to invest in the Tangguh plant was part of the company's strategy to secure future LNG supplies from the plant.

Of the total of 24.6 million tons of LNG that South Korea imports every year, Kogas imports 5.3 million tons from Indonesia.

The company also expressed its interest in participating in the development of the country's gas fields by announcing its plan to take part in the next government tender for oil and gas blocks.

SOUTH KOREAN BUILD RAILWAY IN BORNEO

2007-04-30T23:37:00.000-07:00

RI, South Korea sign billion-dollar rail deal
05/01/07 10:02

Jakarta (ANTARA News) - Two South Korean companies signed an agreement with an Indonesian state firm Monday to build a railway line in Borneo in a deal worth one billion dollars, a report here said.

South Korea's POSCO and Canatect Ltd signed a memorandum of understanding with PT Kereta Api Indonesia, according to Detikcom news portal.

Indonesian Transport Minister Hatta Radjasa was quoted saying the railway line would be built in east Kalimantan, the Indonesian part of Borneo island.

No further details were available and a transport ministry spokesman declined comment.

The reported deal comes on the first day of a visit here by a large South Korean delegation made up of business leaders and government officials to follow up on an agreement to forge a strategic partnership between the two countries.

The agreement was reached during South Korean President Roh Moo-Hyun's visit to Indonesia in December.

Radjasa was quoted saying Monday's deal was the second since a new transport law was enacted, allowing the private sector to play a greater role in the development and operation of railways in Indonesia.

A Japanese consortia qualified this month to bid for a railway project in West Java at a cost of about 660 million dollars. (*)

S Korean bizmen to build railway track in E Kalimantan
04/30/07 23:52

Jakarta (ANTARA News) - South Korean businessmen were interested in investment in a railway track project for coal transportation to a special port in East Kalimantan, a member of cabinet said.

"Their investment is significant," Minister of Trade Mari E. Pangestu said after the signing of a memorandum of understanding between state-run railway company PT Kereta Api Indonesia and the businessmen here Monday.

She said that the ratification of the railway law has attracted the investors to invest in the sector.

Since it is a cooperation with PT KAI, she said she did not remember whether or not the businessmen would fully finance the project.

"The realization depends on the construction the rail tracks," Mari said.

Indonesian and South Korean businessmen also signed a deal on the building of an infusion factory in West Java.

Around 190 South Korean businessmen are also interested in investment in the textile industry.

They will evaluate whether or not they can invest in the sector and assist Indonesia to revitalize its textile machinery.

The minister said her office did not find any investment in 2006 and hoped there would be an increase this year.(*)

Copyright © 2007 ANTARA

OPEN SOURCE COMMUNITY SHOULD SET UP COMPANIES

2007-04-26T23:22:00.000-07:00

Open Source Community Should Set Up Companies
Thursday, 26 April, 2007 | 17:03 WIB

TEMPO Interactive, Jakarta: The government wants open source software developers to establish software companies.

Information and Communication Minister Sofyan Djalil has said that up until now, open source users have experienced problems because there are no user support services.

The support, said Sofyan, takes the form of usage consultation and assistance.

“As a result, the users are forced to be independent,” he said yesterday (04/25) in Jakarta.

The situation has resulted in open source software being considered less attractive by many computer users.

In addition, open source community could also take part in computer software legalization tenders in regional government offices by forming companies.

“So that government officials and general users know where to ask when they face a problem,” said Sofyan.
In addition, the software legalization process would be cheaper and could empower local potential in developing software.

According to Rusmanto, Editor-in-Chief of InfoLinux Magazine, there are already many open source developer companies.

“They are innumerable,” said Rusmanto.

In fact, all information technology companies in Indonesia are capable of providing open source software.

Many information technology companies, said Rusmanto, are ready to join government computer software legalization tenders.

“As long as the conditions are not discriminative and the tender is neutral,” he said.

Based on research results, the use of open source can reduce cost by between 50 and 70 percent compared to using proprietary software.

M Nur Rochmi

SEVEN GAS CONTRACTS SIGNED

2007-04-26T23:16:00.000-07:00

Seven Gas Contracts Signed
Thursday, 26 April, 2007 | 15:26 WIB

TEMPO Interactive, Jakarta: Seven gas trading contracts with a total volume of 738.52 trillion British thermal unit (TBTU) valued at US$3.1 billion were signed yesterday (04/25).

Head of Oil and Gas Executing Body Kardaya Warnika has said that of the total volume, almost half of them were used to meet the gas needs of electric generating plants belonging to PT PLN (the state-owned electricity company).

“Of the agreed amount, 343 TBTU are aimed at electricity needs whereas the remainder will be used for meeting gas needs in Pupuk Sriwidjaja's factory, fuel refinery in Balikpapan and Java,” said Kardaya after witnessing the contract signing in Jakarta, yesterday (04/25).

Among the seven signed contracts, four gas contracts were Pertamina EP's with US$430 million.

Kardaya said that Pertamina EP made use of flare gas from Semanggi, East Kandanghaur, Pegaden and Sukamandi Fields.

Financial Director of PT PLN Parno Isworo said that there was a possibility that the gas will be used for the Muara Tawar and other electricity generating plants in Java.

PLN bought the gas at a price of US$2.95 per MMBTU.

“By using gas, compared to oil-based fuel, we can reduce our expenses by around Rp36 trillion,” said Parno.

NIEKE INDRIETTA

GOVT PLANS MORE IMPORT, MARKET INTERVENTION TO CURB PRICE HIKE

2007-01-18T19:04:00.000-08:00

JAKARTA (Jakarta Post): The government may have to import more rice over the year, on the likelihoods of a shortage in supply of the staple food from still limited local production, and their current prices still running high.

Indonesia's domestic rice production --having been affected by last year's drought-- may remain low until the harvest time in March, Deputy the Coordinating Minister Bayu Krisnamurthi said, while the government still needs to distribute subsidized rice for the poor and supply the market from its national rice stock to keep prices at check.

"If the government's rice stock declines by all of this, then we will continue our policy to import rice," he told reporters Thursday after a meeting on the issue with the Trade Ministry, Agricultural Ministry, the National Logistics Agency (Bulog) andthe Central Statistics Agency (BPS).

Bayu declined to mention how much more rice the government may have to import again, saying it will be determined after a full assessment of the situation in March.

The government had previously decided to import at least 500,000 tons of rice this month, already holding biddings for it earlier this month.

Bayu expected the imported rice to begin coming in next week, which the government will use partly for the national rice stock, and to distribute twice as much subsidized rice for the poor than usual, totaling more than 600,000 tons until the end of February.

The rice will also be used for price stabilization efforts, with the government having assigned Bulog to continue supplying the market with rice at an even lower price of Rp 3,700 per kilogram, from Rp 4,000 previously.

Trade Minister Mari Elka Pangestu, meanwhile, had said the government will ensure distribution of the rice, including prevention of any attempts of hoarding, to prevent any shortages and price spikes again in the market.

Bayu explained that the rice price stabilization efforts has shown results, but admitted that the prices were still relatively high at between Rp 4,400 and Rp 4,950 (55 U.S. cents) per kilogram.

He only referred to rice prices in March last year at some Rp 4,300 a kilogram, without specifying at what exact price level the government is targeting.

"We want to bring the rice prices back to their level in November before they fluctuated, which is still favorable for

The government's policy to import rice has gathered pros and cons, with those supporting it arguing its necessity to ensure food security for the poor, while those against argue the policy will only be at the expense of domestic rice farmers.

BPS head Rusman Heriawan also mentioned that the rice import plan this month has yet done much to bring down rice prices, which has 3 percent since December, and could therefore affect the inflation rate this month.

Monthly inflation rose higher at 1.21 percent in December, from 0.34 percent in November, as rice prices creeped up by the end of last year. Although 2006's full-year inflation at 6.6 percent was lower than its 8 percent estimate, the rising riceprices had foiled previous optimism that inflation could end up even lower at 6 percent.(Urip Hudiono)

RI, AZERBAIJAN EXPLORE COOPERATION IN OIL AND GAS SECTOR

2007-01-18T18:58:00.000-08:00

JAKARTA (Jakarta Post): In a sign of a more concrete relations between Azerbaijan and Indonesia, ministries and companies from both countries have explored possible cooperation in education, transportation and energy.

In energy sector, both government officials and private sector have exchanged ideas on how they can embark on cooperation in oil and gas sector.

Azerbaijan Ambassador to Indonesia Ibrahim A. Hajiyev said that state-run oil and gas company Pertamina recently, for instance, had submitted to Azerbaijan government a proposal on possible cooperation in oil and gas sector for both countries.

"We have sent the proposals to our foreign ministry and our state committee on oil in Azerbaijan. They are now considering the proposals," he said during a press gathering at the Azerbaijan embassy on Thursday.

Hajiyev added that Azerbaijan and Indonesian companies have very good prospects in investing in both countries' oil and gas sector.

Located along petroleum-rich Caspian Sea, Azerbaijan, a nation of 8.5 million people, majority of them are Muslims, has huge oil and gas reserves.

With its booming oil industry, Azerbaijan was the world leader in economic growth last year, with 34 percent GDP growth from January-October 2006 while Indonesia, home to the world's largest Muslim population is Southeast Asia's biggest economy.

In transportation and education sectors, Azerbaijan has submitted its draft of treaties directly to the ministries to get a reciprocal responses.

"They have replied with their proposals. In general, they are acceptable for us. The final negotiation will take place, and the treaties will be signed soon. Transportation agreement will coveronly the air," Hajiyev said.

He said the agreement in education sector would enable both countries to have exchange of students.

Foreign Ministry director for South and Central Asia Mohamad Asruchin said that Indonesia and Azerbaijan will formalize its relations with establishment of a joint commission, paving wayfor regular meetings between officials from both countries.

"We already have draft agreement of establishing the joint commission. As a facilitator, foreign ministry hopes that private sector to seize business opportunities in Azerbaijan, and other Central Asian states.

Asruchin said that Indonesia could send skilled labor to Central Asian countries, especially in construction sector.(Abdul Khalik)

SINGAPORE SHIPBUILDERS RELOCATING TO BATAM

2006-11-19T23:25:00.000-08:00

Business and Investment - November 17, 2006

Fadli, The Jakarta Post, Batam

With Singapore restricting the growth of its shipbuilding industry due in part to environmental reasons, Batam and Karimun islands are taking advantage by attracting increasing numbers of shipbuilders from the neighboring country.

"Batam and Karimun have become the main destinations for Singaporean shipbuilders wishing to relocate. We welcome this trend because the industry has the potential to provide significant employment," said Chandra Dahlan, the chairman of the Batam Shipyard Offshore Association (BSOA).

BSOA figures show that there are currently 33 shipbuilders operating in Batam alone, with over 80 supplier companies. Chandra said that at least five of the shipbuilders had relocated from Singapore.

He added that with the strategic position occupied by the two islands, the trend would likely continue over the next few years.

Johannes Kennedy Aritonang, the chairman of the Batam branch of the Indonesian Chamber of Commerce (Kadin), also applauded the trend, saying it would help spur economic growth.

However, he pointed out that the relocation trend only involved small shipbuilders, which he claimed was the result of Singapore's inconsistency in implementing its environmental policies.

"At the moment, we can see the relocation only concerns small-scale companies, because despite its environment policies, Singapore is still holding on to the large-scale ones. They (the small shipbuilders) do contribute to the local economy, but to a limited extent," Johannes said.

If the trend continued, the environment in the two islands would suffer, he added.

"What Batam and Karimun want are the big shipbuilders, which comply with proper and globally standardized working mechanisms. But not the small companies, which often neglect environmental concerns."

US$1.1B PGN PIPELINE EXPECTED TO COME ONSTREAM NEXT MONTH

2006-11-19T23:06:00.000-08:00

Business and Investment - November 18, 2006

The Jakarta Post, Jakarta

President Susilo Bambang Yudhoyono has been drafted in to inaugurate a US$1.1 billion pipeline linking South Sumatra and West Java some time before the end of this year.

The pipeline, which will be operated by state-owned gas distributor PT Perusahaan Gas Negara (PGN), will supply between 300 million and 400 million standard cubic feet of gas per day (MMSCFD).

PGN's newly appointed president director, Sutikno, said Friday in Jakarta that the construction work was now 85 percent complete.

"We hope that operations can commence on Dec. 21," he said following an extraordinary shareholders, which endorsed his appointment as the company's top executive, replacing WMP Simanjuntak.

The project, comprising two pipeline tracks spanning a total of 1,106 kilometers from Grissik in South Sumatra to Rawa Maju in West Java, started last year.

"We hope we will be able to get additional gas supplies of about 300 million MMSCFD next year, thanks to this project," said PGN finance director Djoko Pramono.

The company said last year that when the pipeline came onstream, the company would see its 2007 revenues triple from the Rp 4.4 trillion (US$488 million) recorded in 2004.

The company booked a 22 percent revenue increase to Rp 5.4 trillion in 2005, as compared to 2004.

The gas distributor's net profit in the first nine months of this year rose 251 percent to Rp 1.5 trillion from Rp 427 billion a year earlier, while revenues from gas sales and transmission as of Sept. 30 jumped to Rp 4.9 trillion from Rp 3.9 trillion in the same period last year.

The meeting also endorsed the appointment of new development director Adil Abas, and also appointed Sutikno to double up as the company's business director.

Djoko was also named director for general affairs, while Simandjuntak was appointed to the company's board of commissioners.

PGN is the dominant player in the Indonesian natural gas market.

Next year, the company is planning to build another pipeline connecting Medan in North Sumatra and Duri in Riau. The 465-kilometer pipeline, which will have a total capacity of 250 MMSCFD, will cost about $490 million.(09)

GOVT PLANS NEW LEGISLATION FOR SPECIAL ECONOMIC ZONE

2006-11-19T22:33:00.000-08:00

National News - November 19, 2006
Urip Hudiono, The Jakarta Post, Hanoi

The government will issue a new regulation providing the legal basis needed for the special economic zone (SEZ) in Batam it is jointly developing with Singapore, ironing out as well several pending problems in business license administration, immigration procedures and labor skills.

The Office of the Coordinating Minister for the Economy is currently preparing the government regulation in lieu of law for SEZs, which is expected to come into effect "as soon as possible", said State Secretary Yusril Ihza Mahendra after a meeting Saturday between President Susilo Bambang Yudhoyono and Singapore prime minister Lee Hsien Loong on the sidelines of the APEC Summit here in Hanoi.

The government has decided not to embed the policies of SEZs in its revision of the country's Investment Law, which the House of Representatives is currently deliberating, as "there were too many SEZ-specific issues to be implemented (under one legislation)," Yusril said.

It may also be a faster and more effective way for the government to set up more investment-boosting SEZs throughout Indonesia.

"We'll talk with the House so that the new government regulation will not face too many challenges when the House deliberates on it," he said, without elaborating on the contents of the new regulation.

The government may initiate the issuance and imposing of a government regulation in lieu of law, with the House having to deliberate and approve or reject it within six months.

Investors have indeed been calling for the government to issue specific laws on SEZs, to provide the certainty of a legal basis for their investments. The government may issue one regulation for each SEZ.

The government will soon revise a 2000 government regulation providing incentives of reduced income tax for investments into 15 industry sectors and nine other region-based investment sectors.

Batam island, along with Riau Islands province's Bintan and Karimun, have since June been declared an SEZ, due to their strategic location near Singapore, with industries there now in need of space to expand. Potential investments in the Batam, Bintan and Karimun SEZ include the shipyard and electronics industries. The government plans to set up 14 SEZs throughout Indonesia.

Meanwhile, Coordinating Minister for the Economy Boediono said Friday's meeting was a follow-up briefing of a recent third round of talks of a joint steering committee established between Indonesia and Singapore for the SEZs.

The government will continue to improve the processing time for business licenses in Batam through the newly established one-stop investment center, Boediono said, and the setting up of an investor relation unit to handle any requirements and complaints from investors.

Immigration procedures for businesspeople from Indonesia and Singapore who frequent the SEZs will also be simplified and improved, using a so-called electronic card identity system for faster processing.

"We will also work together with Singapore in training related administrative officers, as well as skilled labor the industries will need at Batam Polytechnic," he said.

The Batam SEZ has since its establishment in June seen 37 investment projects worth US$90 million, providing up to 10,750 jobs, Investment Coordinating Board head M. Lutfi said.

The government is expecting to make Batam Indonesia's main export center, doubling its export value to US$3 billion, or making up 10 percent of Indonesia's total exports, in the next three years, Lutfi added.

FIRMS EYE UP 3 WATER-SUPPLY PROJECTS

2006-11-03T01:38:00.000-08:00

Andi Haswidi, The Jakarta Post, Jakarta

Three private firms have expressed a keen interest in investing in three water-supply projects worth Rp 1 trillion (around US$109 million) that have been put on the table by the government at the Infrastructure Conference and Exhibition 2006.

"Many investors are interested in our water projects. At least three of them have directly approached me today and stated their intention of tendering for piped-water projects," Public Works Minister Joko Kirmanto said at the conference in Jakarta on Thursday.

Joko said the three companies were Tyco Water of the U.S., Ami Water from Singapore and a local firm from East Kalimantan.

During the three-day infrastructure forum, which will end Friday, the government is offering three water-supply projects that will serve as models for private-public partnership (PPP) projects in the water sector.

The three projects are the Bandung water-supply scheme, which is worth Rp 300 billion, the Tangerang water-supply scheme, worth Rp 300 billion, both of which are located in West Java, and the Dumai water-supply project in Riau province, which is worth Rp 400 billion.

Joko said that the three companies had already conducted studies at the project locations, which would give them an advantage in submitting unsolicited bids.

The tenders for the projects will be launched this month, while pre-feasibility studies will be conducted in November, prequalification in December and acceptance of the final bids by as early as January 2007.

The government is aiming to tackle the chronic underdevelopment of the country's water-supply sector. At present, about two-thirds of Indonesia's 220 million people do not have access to a clean-water supply.

In cities, piped-water coverage averages only about 39 percent, while in rural areas coverage averages less than eight percent.

Under a 2005 presidential regulation, PPP projects can be identified and initiated both by the government and the private sector, but the private-sector promoters must be selected through an open and transparent tender.

The regulation permits tariffs to be set so as to allow for full-cost recovery. Should full-cost recovery exceed the ability of consumers to pay, the government must make good the difference through the payment of a subvention to the operator.

One possible problem facing PPPs is resistance from regional governments in the form of bureaucratic, anti-private sector ordinances.

Aware of this possibility, Joko said that he had ordered the Water Supply System Development Supporting Agency to assist investors when dealing with local administrations.

"I am sure that every regional government wants to work for the benefit of its residents. Local administrations will be allowed to stipulate their own rules as long as these don't conflict with our national objectives," he said.

The minister also said there would be no restrictions on which parts of the country investors, whether local or foreign, would be allowed to develop projects.

"Any restrictions will be set by the market itself. I don't think that many big overseas companies will want to invest in rural areas that can only generate insignificant revenues. They will aim for the big cities and leave the rest to the local government water utilities," he said.

U.S. FIRM SETS SIGHTS ON PURCHASES IN RI

2006-11-03T01:34:00.000-08:00

Tony Hotland, The Jakarta Post, Jakarta

U.S.-based private equity company Texas Pacific Group (TPG) said Thursday it had set up a local subsidiary, Northstar Equity Partners, as a reflection of its growing interest in investing in Indonesia.

TPG is the world's second biggest buyout firm and is reported to have about US$45 billion in assets at its disposal. It has acquired stakes in several major international corporations, such as Baxter International Inc. and Burger King.

TPG chairman David Bonderman met Thursday with President Susilo Bambang Yudhoyono at the latter's office, just a day after Yudhoyono opened the three-day Indonesia Infrastructure Conference and Exhibition 2006.

"Indonesia's economy is growing, a resource-based economy, so we feel now is the right time to start investing," said Bonderman.

Among those accompanying Yudhoyono were Coordinating Minister for the Economy Boediono, Finance Minister Sri Mulyani, Transportation Minister Hatta Radjasa and State Minister for State-owned Enterprises Soegiharto, while Bonderman was accompanied by TPG managing director Tim Dattels and Northstar Equity Partners managing director Patrick Wallujo.

Wallujo said Northstar had start-up capital of $100 million, although he said this figure could grow depending on the value of prospective investments.

"We are looking at the infrastructure sector as well as natural resources, such as biofuel energy and plantations," he said.

Later on, Bonderman met with Vice President Jusuf Kalla, who was accompanied by Emirsyah Satar, the president director of state-owned airline PT Garuda Indonesia, prompting suggestions that the American firm might be interested in acquiring a stake in the debt-ridden airline.

During a question-and-answer session at the presidential office, presidential spokesman Dino Patti Djalal abruptly cut short a journalist who had asked Bonderman whether Northstar was interested in taking a stake in Garuda.

Garuda has long been a chronically loss-making venture, reportedly primarily due to mismanagement. It is seeking to restructure its $794 million debt, while the government is weighing up the options of either injecting fresh capital into the airline or selling it to investors.

RI PRESIDENT PROMISES TO ELIMINATE INVESTMENT OBSTACLES

2006-10-31T19:43:00.000-08:00

Shanghai, China (ANTARA News) - Visiting Indonesian President Susilo Bambang Yudhoyono said he would eliminate major obstacles in every sector in Indonesia to ensure the entry of foreign investment into the country.

"I reitrate that I will do my best to eliminate the major obstacles in every important sector," he said when opening the Indonesia-China Energy Forum (ICEF) II in Shanghai, China, on Saturday.

The president made the remarks in comment on the existing interest of Chinese investors not only in the energy but also in the mining and mineral sectors.

"We are endowed with huge mineral and other resources. I hope Chinese companies will invest in these sectors," the president said.

In the governmnt`s efforts to create legal certainty, Susilo said he had asked all governors in the country to conduct coordination, cooperation and better understanding not only in their own jurisdictions but also with the other provinces and correlate their moves with the national policies.

The head of state also explained that Indonesia had changed the way in which it was managing its oil and gas sector with the objective of having a modern and competitive oil and gas industry.

The president said, Indonesia was providing opportunities for investment in its oil and gas sector at the upstream and downstream levels by cutting the operational costs, so as to make it more atractive to domestic and foreign energy companies.

"We also need major investment to finance measures to improve and expand the infrastructure sector," he said.

In addition, Yudhoyono said Indonesia had also a new power policy by creating similarity for all investors through investment scheme for competitive power market, risk distribution inter investors, improvement of the regional government regulation, consumers and people protection.

"We also promote the new policy on coal to step up production so as to meet the increasing domestic demand and control its sustainability and improve its competitiveness in the international market," he said, adding that for Indonesia and China energy had become the key to success in development, to prosperity and stability.

"The prosperity of our people, the health of our economy and our political stability depend on the trust of sustainability and the aviability of energy resources," he said.

Meanwhile, Chinese Senior Deputy Prime Minister Huang Zu in his address said the strategic partnership between China and Indonesia which was agreed on last year should be stepped up in a bid to turn out good results for the two countries.

Regarding the cooperation in the field of energy, it was expected that ICEF II would bring about better results compared with ICEF I which was held in Bali in 2002.

"ICEF I which was conducted four years ago has turned out positive results and the present ICEF II is also expected to bring about better results in energy cooperation," Huang Zu said, hoping that through this forum not only Chinese investors would come to Indonesia but Indonesian investors would also come to China.

President Susilo Bambang Yudhoyono on the occasion was accompanied by Energy and Mineral Resources Minister Purnomo Yusgiantoro, State Enterprises Minister Sugiarto, Head of the Investment Coordinating Agency Muhammad Lutfi and Chairman of the Indonesian Chamber of Commerce and Industry (KADIN) MS Hidayat.

During his five-day stay in China, President Yudhoyono and his entourage would also visit the tourist city of Guilin and Nanning to attend the China-Asean Relations Commemorative Summit and meet Chinese Prime Minister Wen Jiabao.(*)

INDONESIA TO OFFER 111 PROJECTS WORTH US$16.74 BLN

2006-10-31T19:39:00.000-08:00

Jakarta (ANTARA News) - The government will offer 111 projects worth US$16.74 bln at a two-day infrastructure summit that starts today (November 1, 2006), deputy coordinating minister for infrastructure Suyono Dikun said.

He said the main target is to offer 10 projects worth US$4.51 bln.

"For the 10 projects we will issue information memorandum to potential investors at the summit. Hopefully, right after the summit, we can start the bidding process," Dikun told XFN-Asia.

He said the government hopes interest on the remaining 101 projects valued at US$12.23 bln will follow suit.

The projects range from power plants, toll roads, water, gas pipelines and transportation infrastructure.

"The number (of total projects to be offered) is not fixed. It could change but that is the plan," said Dikun, who heads the summit's steering committee.

During the first infrastructure summit in January last year, the government offered 91 projects worth more than US$22.5 bln, but has so far secured deals for only nine. (*)

REGIONS OFFERS MAJOR INVESTMENT PROJECTS

2006-10-31T19:23:00.000-08:00

The Jakarta Post, Jakarta

Domestic and foreign investors will have plenty of tempting opportunities laid out before them this week. On top of large, national-level projects that the central government plans to offer at the upcoming infrastructure conference, the regions are also lining up ventures for investors to put their money into.

More than 16 provinces will put projects worth some US$3.47 billion on the block at the upcoming Indonesian Regional Investment Forum (IRIF) on Nov. 2-3, says the event organizer.

Toni Gourlay of Sound Initiatives said the projects were in such sectors as tourism, infrastructure, agribusiness, power generation, food processing and manufacturing.

Among the participating provinces, Riau's are the most valuable, including a new highway worth $506 million, the $1.41 billion Dumai international airport, the Pasir Pangarayan-Dumai railroad worth $555 million and a $222-million power plant in Rokan Hulu regency.

Meanwhile, Jakarta province is offering a project worth $110 million for the expansion of the Tanah Abang market.

More than 800 foreign and domestic investors, and business leaders will attend the two-day forum, which will be opened by President Susilo Bambang Yudhoyono, Gourlay said.

"We have also specially invited one of the most influential thinkers on business strategy today, CK Prahalad, as the keynote speaker for this event to enlighten local bureaucrats on how to make their regions more investor-friendly," steering committee chairman Irman Gusman said.

"The problem is that these bureaucrats are not businessmen and in this forum we want to help them meet the needs of investors," Irman explained.

The idea for the forum was initiated by the Regional Representatives Council. (JP/09)

GOVT SUGGESTS EIGHT SOE TO GET ADDITIONAL CAPITAL

2006-10-16T21:27:00.000-07:00

The government has suggested eight SOEs (state owned enterprises) to get additional capital in the form of government funds (PMN) in year 2007.

State Minister for SOE Sugiharto said here Thursday (12/10) the eight governments suggested SOEs are in urgent need of additional capital for their restructuring.

PT Pupuk Iskandar Muda will get US$22 million, PT Kertas Leces US$ 19.4 million, PT Kereta Api Indonesia US$ 11.1 million, Garuda Indonesia US$ 55.6 million, Perum Sarana Pengembangan Usaha US$ 5.6 million, Industri Kereta Api US$ 11.1 million, PT Boma Bisma Indra US$ 8.3 million, and PT PTPN XIV US$ 11.1 million.

House Commission VI suggested two more SOEs to get PMN. They are PT Aceh Asean Fertilizer and Permodalan Nasional Madani.

In view of the 2007 privatization program, the government is selling a maximum 30 per cent of its share to several SOEs. Of the total, 10-20% goes to the State Budget of Revenues and Expenditures and the remainder to SOE.

The move, Sugiharto said, is to see to it that the government remains being the majority share holder.

Commenting on the increased privatization target of US$ 366.7 million, the minister hoped that could come from 14 SOEs that will shortly be privatized. The total includes BNI Bank, Krakatau Steel, PT Jakarta Hotel Development, PT Kertas Padalarang, PT Intirub, PT Reksadana, and PT Kertas Basuki Rachmat.

Meanwhile, the divestment of Perusahaan Gas Negara Stata Gas Corporation) is to be conducted by way of secondary offering and is still being analyzed, Sugiharto said.

source: http://www.bipnewsroom.info

PRESIDENT DECLARES PALM SUGAR PROJECT NATIONAL PROGRAM

2006-10-12T21:48:00.000-07:00

Jakarta (ANTARA News) - President Susilo Bambang Yudhoyono has declared the sugar palm development project part of the national food security program and the alternative energy program, like castor oil, sugarcane and cassava development projects.

Coordinating Minister for People`s Welfare Aburizal Bakrie told the press at the Presidential Office here Thursday that the President made the decision after receiving information about the prospect of this sugar palm development in the creation of job opportunities, alleviation of poverty, enhancement of food security and production of alternative energy resources.

North Sulawesi now has a factory that processes palm sugar into crystal sugar, according to Aburizal. This is the first sugar processing factory in the world, which is oriented to export, has given jobs to 2,222 farmers who serve as sap tappers.

The price of crystal sugar is Rp50,000/kg, and 30 percent of this palm sugar consists of molasses, a basic material for ethanol, which can be used as an alternative energy source.

In the implementation of the sugar development program, the government plans to build six processing factories in North Sumatra, West Java, East Java, Southeast Sulawesi, West Kalimantan and East Kalimantan at a total cost of Rp60 billion from the State Budget in 2007.

The operation of the six new processing factorie is expected to open job opportunities for some 300,000 workers, Aburizal said, and pointed out there are 800,000 of sugar palm plantations in Indonesia today. The optimal cultivation of those plantations will give jobs to some five million people, he added.

The President is scheduled to visit Tomohon, North Sulawesi province, in December 2006 to inaugurate the second crystal sugar factory in Indonesia. On the occasion, the President will hold a dialogue with sugar palm farmers in the province. (*)

Copyright © 2006 ANTARA

October 13, 2006

TOP TRADERS GET PRESIDENT'S SEAL OF APPROVAL

2006-10-12T20:39:00.000-07:00

The Jakarta Post, October 13, 2006 - Jakarta

President Susilo Bambang Yudhoyono presented the Primaniyarta Awards to 23 companies assessed as the best performing exporters this year, and praised them as economic heroes during a ceremony Wednesday.

He said that total exports this year could reach US$100 billion as they amounted to $64.6 billion during the first eight months alone, up 17.1 percent from the same period last year.

Mineral exports posted the highest growth at 35.20 percent, followed by agricultural commodities at 21.7 percent and manufactured products at 14.6 percent.

"We should further develop our exports, notably the products of labor-intensive and resource-based businesses as they have a strong competitive edge on the international market," Yudhoyono said.

He noted that the export sector, besides private and government consumption, had been the main locomotive of economic growth over the past few years. However, investment needed to be increased if the export sector was once again to be the prime mover of the economy as it was before the 1997 economic crisis.

"The government has launched several reform packages to improve the investment climate as it is only through robust new investment that we will be able to create the jobs we need," he said at the opening of the five-day Trade Expo Indonesia at the Kemayoran Fairground.

The Primaniyarta Awards have been presented by the Trade Ministry annually since the 1990s as part of the effort to promote exports and motivate companies to become more active in marketing their products worldwide.

Best export performance is assessed based on increases in export sales, diversification of export markets and products, and the development of Indonesian brand names on the international market.

Resource-based exporters continued to make up the majority of the 23 Primaniyarta awardees this year, which included eight small and medium-scale businesses.

Among the winners were PT Musim Mas, a palm-oil company based in Medan, North Sumatra, which received an award for best performing exporter. This was the seventh time that Musim Mas has won the award.

PT Megasurya Mas from Sidoarjo, East Java, received the exceptional achievement award for promoting its own brands and expanding its exports of soap and margarine products to more than 60 countries in Asia and Africa. This year marked its second Primaniyarta award.

Other awardees were companies that utilized natural gas (such as PT Pupuk Kaltim), timber (such as PT Cahaya Sakti Furintraco) and agricultural products (fruits, spices and palm oil).

Only two of the awardees -- PT LG. Electronics Indonesia and textile firm PT Daya Manunggal -- were not entirely dependent on local natural resources.

PROFILE ON PT KRAKATAU STEEL

2006-09-27T20:28:00.000-07:00

Krakatau Steel Group operates an integrated steel industry. Its holding company is state-owned steel maker PT Krakatau Steel (KS), which was established in 1971. It took over steel factory Trikora. KS is wholly owned by the government. It has increased its authorized capital several times. In 2003, its authorized capital was IDR 2 trillion (US$200 million).

In 35 years, here was no significant increase made in expanding its capacity. Currently KS has 35 million tons of annual production capacity. Its production still falls far short of the requirement in the country. The country’s downstream industry has to rely much on imports for steel basic materials.

At the time B.J. Habibie was Research and Technology Minister and chairman of the agency managing strategic industry including PT KS, the steel maker already planned to build an integrated upstream steel industry. However, the plan is never come to reality, because of the monetary crisis in 1998.

In 2006, PT KS has made another plan to build expansion plant for development of the pellet in South Kalimantan. South Kalimantan was chosen as the most suitable place as it has large iron ore reserves on the island of Sebuku, estimated to have deposit of 560 million tons of iron ores. So far the country still imports iron ore mainly from Brazil and Chile.

The palletizing plant will have 2 million tons annual production capacity for the beginning year. It was reported that five international companies have indicated interest in the project. They are Metallurgical China Construction (MCC) and Sino Steel from China, Essar and Ispat International from India, and Trans Asia International from Europe. The factory to cost around US$460 million is part of PT KS’s expansion program of US$ 897 million to be carried out by phases until 2010.

In utilizing the iron ore reserve, KS will cooperate with PT Sebuku Iron Leteric Ores (PT SILO) as the mining operator in the island of Sebuku and with CV Source Daya Alam which holds the mining authority in the Karang Tunggal sub-district, Tasikmalaya, West Java.

From part of its strategic plan, PT KS plan to expand its production capacity. In the first stage it will expand its capacity by 1 million tons a year in 2008 and continues the expansion program to bring its annual capacity to 10 million tons in 2013 and to 20 million tons in 2020.

Installed production capacity of PT KS in 2005.
Sponge Iron: 2.3 million ton per year (HYL I: 1 million tons; HYL III: 1.3 million tons)
Steel Slab: 1.8 million tons per year (Plant I: 1 million tons; Plant II: 800,000 tons)
Steel Billet: 675,000 tons per year
HRC: 2.5 million tons per year
CRC: 650,000 tons per year
Wire Rod: 450,000 tons per year

PT KS Subsidiaries

There is 3 subsidiary companies under PT KS, they are PT. Krakatau Wajatama (concrete reinforcing iron producer), PT KHI Pipe Industries, and PT Pelat Timah Nusantara (PT LATINUSA=Tin plate producer).

PT Karakatau Wajatama was establish in 1992 producing various types of high quality steel bars such as INP, IWF, H-Beam, U-Channel, and L-Angles, Deformed and Plain Bars and steel wire rod. This company has three production facilities – Section Mill, Bar Mill, and Cold Wire Drawing.

PT KHI Pipe Industries (PT KHI) was established in 1972, producing steel pipe. This company has an annual production capacity of 155,000 tons of spiral pipe. PT KHI is the only producer of spiral pipes in Indonesia with international recognition.

Its factory is located over a 160,000 m2 plot of land in Cilegon, producing welded spiral steel pipes with diameters from 4 to 8 inches from various types of steel with a thickness of up to 25mm. Its products include column pipes, oil and gas pipes, water pipe, and protection services.

PT LATINUSA was established in 1982 as a joint venture with PT Tambang Timah and Nusantara Ampera Bhakti. Latinusa produces tin coated thin steel plate as a basic material for can in the Cilegon Industrial Estate. Latinusa has an annual production capacity of 130,000 tons in sheet and rolls with prime quality (90%) and non prime quality (10%) that can be used for milk can or food critical, general can or non critical.

Supporting Infrastructure and Facilities

PT KS has supporting facilities separately managed such as an industrial estate under subsidiary PT Krakatau Industrial Estate Cilegon (PT KIEC), power plant under PT Krakatau Daya Listrik (PT KDL), water processing plant under PT Krakatau Tirta Industri (KTI), port facility under PT Krakatau Bandar Samudera (KBS), health care subsidiary under PT Krakatau Medika.

PT KIEC was established in 1982. KIEC was built to accommodate upstream and downstream steel and chemical industries. KIEC also has property business such as hotel, office building and sport facilities.

PT KDL was established in 1996, wholly owned by PT KS. The company operates a power plant supplying electricity to all consumers in the KIEC and surrounding areas. PT KTI produces clean water to supply consumers in the industrial estate and surrounding areas such as the public in Cilegon.

PT KBS operates the special port of Cigading in Cilegon, Banten. KBS handles loading and unloading of bulk cargoes such as iron ore, dry bulk, gypsum, sugar, soybean meal, coal, and scrap iron. With 855 m outer quay and 243 m deep quay and 75 m barge quay, it makes Cigading become one of big port in Indonesia with the deepest basin. The port could accommodate and serve 10 ships at the same time.

PT KS also has to subsidiaries operating as consultant. One is PT Krakatau Information Technology (Krakatau IT) was established in 1993. It operates as information technology service company. The second is PT Krakatau Engineering was established in 1988 operating as EPC (Engineering, Procurement, and Construction) contractor and consultant (studies, project management and industrial management).

List of Contacts

PT KRAKATAU STEEL
Address:
ADB Building
Jl. Industri No. 5, Cilegon 42435, INDONESIA
Website: http://www.krakatausteel.com/

PT KRAKATAU WAJATAMA
Address:
Wisma Baja Building, 7th Floor
Jl. Jend. Gatot Subroto Kav. 54, Slipi,
Jakarta Selatan 12950, INDONESIA

PT KHI PIPE INDUSTRIES
Address:
Wisma Baja Building, 7th Floor
Jl. Jend. Gatot Subroto Kav. 54, Slipi,
Jakarta Selatan 12950, INDONESIA
Website: http://www.khi.co.id/

PT PELAT TIMAH NUSANTARA (LATINUSA)
Address:
Jl. Letjen. S. Parman No. 7-8, Slipi,
Jakarta Barat 11480, INDONESIA
Website: http://www.latinusa.co.id/

PT KRAKATAU INDUSTRIAL ESTATE CILEGON
Address:
Wisma Baja Building, 8th Floor
Jl. Jend. Gatot Subroto Kav. 54,
Jakarta Selatan 12950, INDONESIA
Website: http://www.kiec.co.id/

PT KRAKATAU DAYA LISTRIK
Address:
Krakatau Industrial Estate Jl. Amerika I,
Cilegon 42443, Banten, INDONESIA
Website: http://www.kdl.co.id/

PT KRAKATAU BANDAR SAMUDERA
Address:
Jl. Letjen. S. Parman Km. 13, Cigading,
Cilegon 42445, INDONESIA
Website: http://www.cigadingport.com/

PT KRAKATAU INFORMATION TECHNOLOGY
Address:
Wisma Baja Building, 7th Floor
Jl. Jend. Gatot Subroto Kav. 54, Slipi,
Jakarta Selatan 12950, INDONESIA
Website: http://www.kit.co.id/

PT KRAKATAU ENGINEERING
Address:
Wisma Baja Building, 7th Floor
Jl. Jend. Gatot Subroto Kav. 54, Slipi,
Jakarta Selatan 12950, INDONESIA
Website: http://www.krakataueng.co.id/

INDONESIA METAL MINING INDUSTRY PROFILE

2006-09-24T22:20:00.000-07:00

In 2005, nickel mining industry woke up from slump development in 2003-2004. As until now, no other investor interested in copper mining in Indonesia, the futures of copper mining will depend on the operational activities of PT Freeport and PT Newmont, which have large recoverable reserves, enough for around 20 years. As already occurred in the last 5 years, copper price is expected to continue rising as already started in 2005, related to the rising copper consumption by China. Copper production in Indonesia is expected to increase by an average annual rate of 2.0% in coming 5 years from 1.09 million tons in 2006 to 1.18 million tons in 2020.

Until now, PT Freeport Indonesia and PT Newmont Nusa Tenggara will remain the only two copper mining companies in Indonesia marked by Grasberg and Batu Hijau copper mines. Grasberg is reported as one of the largest copper mine in the world. The two companies are producing porphyry copper ore containing gold and silver.

Gold mining industry in Indonesia has actually very promising prospect with regard to the huge resources available in West, Central and East Kalimantan.

In West Kalimantan there is a village called Beringin in Singkawang Regency have 35 million tons of alluvial placer gold containing 169 mg of gold per cu.m.

In Central Kalimantan, there are a lot more villages having huge gold ore deposits, which include:

Village Tumbang Liling (42 million tons deposit of 280 mg of gold per cu.m)
Village Cempaka Buang (15 million tons deposit of 300 mg of gold per cu.m)
Village Tewang Tampang (24 million tons deposit of 220 mg of gold per cu.m)
Village Batuah (31.3 million tons deposit of 268 mg of gold per cu.m)
Village Baamang Tengah (30 million tons deposit of 184 mg of gold per cu.m)

All of the villages are in Waringin Timur Regency, Central Kalimantan.

In East Kalimantan, there is a village called Muara Asa recorded of having a total gold ore deposit of 300 million tons containing 400 mg of gold per cu.m.

There are many other villages having adequate amount of gold ores, including those located in Banten Province, and West Java Province. Although not as spectacular as those in Kalimantan.

Silver production fluctuated from 255.4 tons in 2000 to 238.7 tons in 2005. Silver mining in Indonesia is combining with gold mining, highly notable silver ore deposits are found in Dairi - North Sumatera, Kelapa Kampit – Belitung, and in Papua (Kucing Liar, Grasberg Deep, Big Gossan and DOM).

Nickel production in term of Ni+Co in matte produced by PT Inco increased from 55,589 tons in 2000 to 77,471 tons in 2005 with an average growth rate of 10.7% per year. PT Aneka Tambang (Antam) produced 10,111 tons of Ni in FeNi in 2000 then gradually dropped to 7,945 tons in 2010 with an annual growth rate of (-13.6%).

Tin metal is produced by PT Timah and PT Koba Tin, which increased from 47,129 tons in 2000 to 67,600 tons in 2005 with an annual growth rate of 8.1%. Tin mining prospect will still expected to be in Bangka-Belitung province, particularly in Simpang Rusa and Koba, which are in the mining areas of PT Timah and PT Koba Tin.

Bauxite production grows slowly in 2000 – 2005 due mainly to some depletion of PT Antam’s bauxite recoverable deposits. Bauxite production was 1,151 thousand tons in 2000 then fluctuated to drop to 1,082 thousand tons in 2005 with annual growth rate of (-0.7%) per year. The future of bauxite mining will be in Riau island, including Pualu Bintan (101 million tons) and Kampung Bugis (1,332 million tons), which are in PT Timah’s mining areas. There are also huge bauxite deposits in West Kalimantan with total 2,368 million tons deposits, but nothing done until now to exploit the deposit, yet. They are located in the villages of Balai Tinggi (54 million tons), Kendawang Kanan (532 million tons), Baru Lombang (198 million tons), Tanjung Batu Belati (1,146 million tons), Menyumbang (200 million tons), and Menukung village (238 million tons).

Iron sand production is produced by PT Antam at a very discouraging development, producing only 489 thousand tons in 2000 then decline to only 26 thousand tons in 2005, despite abundant recoverable reserves is available. Iron sand deposit is plentiful in South Kalimantan, especially in Batu Licin (125 million tons) and Sebuku Islands (626 million tons).

In order to decrease the dependence on raw material import, PT Krakatau Steel, the only integrated steel industry in Indonesia, plans to set up new palletizing plant in South Kalimantan. The plant will use iron ores from South Kalimantan and West Kalimantan. In the first stage, PT KS will build sponge iron plant with a production capacity of 300,000 tons per year, and will be expanded to around 4 million tons per year. Government also encourages the mining companies to support PT KS’s plant and develop the iron mining in Kalimantan.

LIST OF CONTACTS

PT. FREEPORT INDONESIA
Address:
Plaza 89 Building, 5th Floor
Jl. HR. Rasuna Said Kav. X-7 No. 6, Kuningan,
Jakarta Selatan 12940, INDONESIA
Website: http://www.ptfi.co.id/

PT. NEWMONT NUSA TENGGARA
Address:
Menara Rajawali Building, 26th Floor
Jl. Mega Kuningan Lot f 5.1,
Jakarta Selatan 12950, INDONESIA
Website: http://www.newmont.co.id/

PT. INTERNATIONAL NICKEL INDONESIA (INCO)
Address:
Plaza Bapindo Building Citibank Tower, 22nd Floor
Jl. Jend. Sudirman Kav. 54-55,
Jakarta Selatan 12190, INDONESIA
Website:

PT. ANEKA TAMBANG TBK.
Address:
Jl. Pemuda Ujung-Raya Bekasi Km. 18, Pulogadung,
Jakarta Timur 13210, INDONESIA
Website: http://www.antam.com/

PT. TIMAH TBK.
Address:
Jl. Jend. Sudirman No. 51,
Pangkal Pinang 33121
Bangka Belitung, INDONESIA
Website: http://www.timah.com/

PT. KOBA TIN
Address:
Arthaloka Building, 12th Floor
Jl. Jend. Sudirman Kav. 2,
Jakarta Pusat 10220, INDONESIA
Website: http://www.ptkoba.co.id/

PT. KRAKATAU STEEL
Address:
ADB Building
Jl. Industri No. 5, Cilegon 42435, INDONESIA
Website: http://www.krakatausteel.com/

DEVELOPMENT OF STEEL INDUSTRY IN INDONESIA

2006-09-04T21:48:00.000-07:00

Indonesia will deficit on steel supply on 2009. Steel consumption in the next 3 years will need 11.7 million tons, instead of local steel production only 5.7 million tons.

Lack of steel supply on hot rolled coil (HRC) and cold rolled coil (CRC) is done since 2001. In 2001 local consumption was 3.25 million tons, instead of local production only 2.16 million tons. So lack of supply around 1.08 million tons was supplied by import. Lack of steel local supply, because of there is no new investment or expansion for steel mill or manufacturer since 1998.

Steel local producer only produce steel for construction supply. Meanwhile, the biggest local need of steel is for automotive industry, such as electrical galvanized and galvanic. Consumption of this kind of steel increase very significant for 32% in the year 2003-2004. This cause of national automotive industry increases their production.

To solve lack of steel supply in Indonesia, the government since April 2004, reduce steel products import duty to 0%, such as hot rolled coil/ plate (HRC/P). Because of that local demand on steel product continue to increase, in 2004 local consumption increase to 4.2 million ton from 3.18 million tons in 2003. Also in 2005 local consumption increase to 4.3 million tons.

Increasing on local consumption is not followed by local production. In 2002 local production of HRC/P reach 1.62 million tons, otherwise local production continue to decrease to 1.52 million tons in 2003 and 1.32 million tons in 2004. Local consumption of HRC/P in 2004 mostly for produces CRC (36.9%) and pipe industry (23.3%). The other is for produce steel profile (14.6%), shipbuilder (2.1%), and automotive (2.1%).

RUBBER YARN EXPORT MARKET FROM INDONESIA

2006-08-28T20:20:00.000-07:00

The price of world rubber yarn has been increasing in the last few years, but unfortunately this good opportunity has not been used by Indonesia’s rubber yarn producer to boost their exports, which have been fluctuating in the last five years.

In Indonesia, rubber yarn has developed for quite a long time and now there are four producers of the commodity with a total production capacity of 17,208 tons per year. They are PT CILATEXINDO GRAHA ALAM, PT BAKRIE RUBBER INDUSTRY, PT PERKEBUNAN NUSANTARA III, and PT SWASTHI PARAMA MULYA.

According to the Central Bureau of Statistics (BPS) in 2001 the exports stood only at 6,337 tons worth US$9,282 thousand, and in 2002 increased by 5.7% to 6,697 tons, but in 2003 reached only 4,409 tons estimated at US$9,818 thousand. After increasing to 6,576 tons in 2004, the rubber yarn export in 2005 dropped to 5,542 tons worth US$13,971 thousand.

Of the destination of Indonesia’s rubber yarn exports in 2004, the biggest was Hong Kong with 2,987 tons (45.4% from total exports), followed by Turkey (644 tons=9.6%), South Korea (632 tons=9.6%), the United States (622 tons=9.5%), and Thailand (621 tons=9.4%).

List of Contact

PT. CILATEXINDO GRAHA ALAM
Address:
Jl. Raya Narogong Km. 23 Desa Dayeuh,
Cileungsi, Bogor 16820 – INDONESIA
Tel: (62 21) 8230153
Fax: (62 21) 8230152

PT. BAKRIE RUBBER INDUSTRY
Address:
Bunut Kisaran, Kisaran,
Asahan 21211, North Sumatera – INDONESIA
Tel: (62 623) 42501, 41884
Fax: (62 623) 42451
Email: bakrieri@indosat.net.id

PT. PERKEBUNAN NUSANTARA III (State-owned Company)
Address:
Jl. Sei Batanghari No. 2,
Medan 20122, North Sumatera - INDONESIA
Tel: (62 61) 8452244, 8455775, 8453100
Fax: (62 61) 8455177, 8454728
Website: www.ptpn3.co.id
Email: ptpn3@indosat.net.id

PT. SWASTHI PARAMA MULYA
Address:
Desa Ganda Mekar Km. 24, Cibitung
Bekasi 17520 - INDONESIA
Tel: (62 21) 88321318
Fax: (62 21) 88320008, 88320910

LIST OF LUBRICATING OIL PRODUCER IN INDONESIA

2006-08-28T01:05:00.000-07:00

1. PERTAMINA
Start operations: 1956
Status: State-owned company
Factory location: Jakarta, Surbaya, Cilacap
Brands: Mesran, Prima XP, Mediteran SX, Rored EPA, Fastron
Production capacity: 280,000; 90,000; and 135,000 kiloliters/years

2. PT DIRGA BUANA SARANA
Start operations: 1989
Status: Local investment
Factory location: Jakarta
Brands: Union 76, Valvoline
Production capacity: 24,000 kiloliters/years

3. PT WIRASWASTA GEMILANG INDONESIA
Start operations: 1996
Status: Local investment
Factory location: Bekasi
Brands: Evalube, Penzoil
Production capacity: 120,000 kiloliters/years

4. PT AGIP LUBRINDO PRATAMA
Start operations: 1998
Status: Local investment
Factory location: Pasuruan
Brands: Agip
Production capacity: 40,000 kiloliters/years

5. PT NUSARAYA PUTRAMANDIRI
Start operations: 2001
Status: Local investment
Factory Cilegon, Banten
Brands: Penlube
Production capacity: 83,333 kiloliters/years

6. PT CASTROL INDONESIA
Start operations: 1998
Status: Foreign investment
Factory location: Merak, Banten
Brands: Castrol
Production capacity: 26,666 kiloliters/years

SINGAPORE COMMITTED TO STRENGTHENING DEFENSE COOPERATION WITH RI

2006-08-22T19:31:00.000-07:00

Jakarta (ANTARA News) - Singapore is committed to strengthening defense cooperation with Indonesia through the Defense Cooperation Agreement (DCA) to be further discussed by the two neighbors at the end of August 2006.

The purpose of the defense cooperation between the two countries is to build stronger mutually beneficial partnership, Singapore`s Defense Minister Teo Chee Hean said here Tuesday after meeting with his Indonesian counterpart, Defense Minister Juwono Sudarsono.

The different interpretation of several points in the discussion on the defense cooperation between the two countries is common in efforts to foster understanding aimed at developing cooperation and partnership mutually beneficial to both sides, he explained.

Giving an example, he pointed out that the Indonesian Air Force and Singapore`s Air Force have long engaged in cooperation in promoting their capabilities on the basis of mutual trust and mutual benefit.

What already achieved by the two air forces in the defense cooperation indicates that two military bodies can work together and become friends to each other, according to Hean.

More over, Indonesia and Singapore have long exchanged their military officers to share their experiences, he said, adding that the core of the defense cooperation is very close and strong interaction between the Armed Forces as well as people of the two countries, which can be further promote in the future.

Thus, different interpretation is not an important impediment in strengthening the future defense cooperation based on understanding and mutual benefit between the two countries, he revealed.

As part of the effort to strengthen defense cooperation, Indonesia and Singapore have carried out joint military exercises in the Military Training Area (MTA) since 2000. The two countries have agreed to launch joint military exercises in MTA I in Tanjung Pinang waters and MTA II in the South China Sea.

However, Indonesia has noticed that Singapore has frequently violated Indonesian sovereignty during the joint military exercise, including the involvement of the third parties such as the United States and Australia.

Indications that Singapore has often committed violations have caused Indonesia to make a unilateral decision to stop the use of MTA facilities in 2003. To resume defense cooperation between the two countries, Singapore`s Prime Minister Lee Hsien Loong has forwarded a DCA concept to President Susilo Bambang Yudhoyono in Bali in 2005.

Indonesia has accepted the concept, which includes the use of MTA in the enclosure. But up to fourth round of the meeting on resumption of the defense cooperation, the two countries have not reached agreement.

Minister Juwono Sudarsono disclosed that the factor hampering the talks to reach agreement is different interpretation of six matters, including the period of the bilateral defense cooperation, the involvement of the third parties, the settlement of disputes, and Indonesia`s acknowledgement of Singapore`s traditional right in the South China Sea.

The two countries have agreed to continue the bilateral talks at the end of August and the beginning of September 2006 in Indonesia to seek solution to the difference, according to Juwono.(*

RI'S FIRST RETAIL BONDS UP FOR GRABS

2006-07-18T20:15:00.000-07:00

Urip Hudiono, The Jakarta Post, Jakarta

The government officially launched Indonesia' first-ever retail bond sale Monday.

Individual investors interested in the three-year treasury bonds, which carry a 12.05 percent fixed coupon, can place minimum orders of Rp 5 million (US$543) with designated sales agents up until Aug. 4. The actual auction of the bonds will be held on Aug. 9.

Speaking during the launch ceremony, Finance Minister Sri Mulyani Indrawati said she expected the introduction of retail bonds would help encourage the development of an "investment society" in Indonesia, in which citizens could participate in helping finance the country's development needs through capital market investments, besides the paying of taxes and depositing of funds in the banking sector.

The right to purchase the bonds is limited to Indonesian citizens, although non-nationals will be able to buy them later on the secondary bond market.

"All the proceeds of the bond sales will go into the state budget so that investors can rest assured that their money is being used accountably ...," Mulyani said.

The government has set an indicative target of Rp 2 trillion from the retail-bond sale, which will form part of the total Rp 35.8 trillion in expected net proceeds from government bond sales this year. The proceeds will be used to help finance the budget deficit, now expected to come in at Rp 37.6 trillion, or 1.2 percent of gross domestic product.

Mulyani was upbeat about the market's appetite for the retail bonds, pointing to their main attraction for individual investors, namely, higher yields compared to bank deposits, and potential capital gains if their prices rise in trading on the secondary bond market.

"We will see how the market actually responds to this new investment instrument. What is important now is that all the necessary information be made available to potential investors," Mulyani said, adding that the government intended to regularly offer retail bonds in the future.

Fully informing the investing public during the three-week-long offer period was crucial, the Finance Ministry's director of bond management, Rahmat Waluyanto, explained, as the government did not want the retail bond market to experience a similar crash to that seen by the country's mutual fund industry last year. This crash was due to a lack of understanding on the part of investors about capital market investment.

"Investing in bonds and mutual funds is different from stocks, which are higher risk and tend to be shorter term in nature. Investors should have long-term horizons for bonds and mutual funds, and avoid being panicked by market fluctuations," he said, explaining why the government had decided to postpone the retail bond auction from Aug. 2 to allow the sales agents more time to better inform investors.

Meanwhile, Bank Indonesia (BI) Governor Burhanuddin Abdullah welcomed the launching of the retail bonds, saying they would provide an alternative investment instrument for the public, and would eventually help reduce the central bank's monetary costs.

"People can invest their money somewhere else besides deposits, the funds from which are sometimes used by the banks to buy our bills," he said.

High inflation and interest rates have recently eroded the demand for loans, encouraging lenders to put their excess funds into BI money-market bills.

The government also hopes to lower its borrowing costs following the introduction of retail bonds as local bonds are not subject to the same risks of fluctuation associated with overseas bonds and loans.

Bank Mandiri president Agus Martowardojo said that the retail bond sale was timely given the current bullish bond market and that the coupon rate was attractive. However, he said that the government needed to clarify its policies on taxation and funding sources to eliminate investor doubt.

Mandiri is one of the 11 designated sales agents for the bonds , with the others being Danareksa Sekuritas, Bank Bukopin, Bank Permata, Bank Danamon, Trimegah Securities, Bank Mega, Bank NISP, Bank Panin, Citibank and Valbury Asia Securities.

GOVT ROLLS OUT ONE-STOP INVESTMENT SERVICE FOR SEZ'S

2006-07-17T00:26:00.000-07:00

The Jakarta Post, Jakarta

The government will set up a "one-stop investment office" for the newly declared special economic zones (SEZs) of Batam, Bintan and Karimun islands, as a first step to making the area a magnet for foreign direct investment.

Immigration procedures and labor permits concerning foreign workers -- along with taxation and customs services -- will be simplified through the integrated investment service, which is expected to be up and running in Batam by September.

Speaking after a meeting Saturday of a Joint Steering Committee for the development of the SEZs, Coordinating Minister for the Economy Boediono said the establishment of the one-stop investment office would be among concrete action taken to fix any remaining bureaucratic snags still hampering investment into the pilot-project area.

"We are taking immediate steps (to develop the SEZs). Even before the meeting, we have been working to set up the integrated investment system," he said. "In the medium-term, we would like the SEZs to be a working model, suitable for application in other areas."

Indonesia and Singapore signed last month a framework agreement on economic cooperation to transform the three major islands of Riau Islands province into SEZs.

A Joint Steering Committee was established for policy-making and oversight, whose members include Boediono, Trade Minister Mari E. Pangestu, Investment Coordinating Board head M. Lutfi, Manpower and Transmigration Minister Erman Suparno, and Finance Minister Sri Mulyani Indrawati.

Singaporean counterparts include Trade and Industry Minister Lim Hng Khiang, Manpower Minister Ng Eng Hen and Singapore Economic Development Agency head Lim Siong Guan.

Singaporean Trade and Industry Minister Lim Hng Khiang said both sides had been working hard to improve the area's investment climate, expecting implementation results over the next three months.

"We are looking at all issues related to how the SEZs can enhance Indonesia's competitiveness in attracting foreign investment.

"First is the institutional framework; second, policies that have to be put in place; third, the regulatory framework according to which the policies are being implemented; fourth is the infrastructure, and fifth is incentives," he said.

Further explaining the one-stop investment office, Trade Minister Mari E. Pangestu said the government was in the throes of integrating the online systems of the tax and customs offices, and would continue to address problematic regulations, as well as looking into possible incentive policies.

"But it is more about creating certainty and consistency, and how to develop the area's bonded zone concept last year to create a better flow of goods for both exports and domestic needs," she said.

Meanwhile, concerning labor issues, Manpower and Transmigration Minister Erman Suparno said his ministry would assign officials at the one-stop investment office to facilitate foreigners applying for their work permits on the spot, rather than having to process them in Jakarta.

The ministry recently issued a decree slashing the processing time for work permits to only a week from two months, although foreigners will still be subject to the country's other labor laws and regulations, Erman said.

EAST TIMOR ANNOUNCES $80 MILLION POWER SUPPLY PROJECT

2006-07-05T02:23:00.000-07:00

Dili ANTARA News: - East Timor announced Wednesday that an 80 million dollar biomass power project funded mostly by Thai and British investors was planned for the tiny nation.

The agreement comes despite the nation being embroiled in a political crisis which saw its prime minister Mari Alkatiri step down last month. An interim premier to head government until elections next year is yet to be appointed.

"I am extremely pleased that, despite the upheaval of the last couple of months, international investors continue to show faith in the future of Timor-Leste," Jose Ramos-Horta, who is tipped as a contender for the interim position, was quoted by AFP as saying in a statement.

Ramos-Horta, who resigned his posts as foreign and defence minister a day before Alkatiri stepped down in protest over the crisis, said the investment was East Timor's biggest yet aside from its major gas development projects.

The Nobel laureate is continuing in the positions however until a successor is appointed.

The half-island nation has rich gas reserves which have already earned it millions of dollars in revenue.

The project will be run by Energy Generating Enterprise Timor-Leste, a joint venture between the East Timorese government, which will contribute 10 percent of capital, and Thai and British private investors.

It will initially generate about 10 megawatts of power at a cost of almost half the prevailing price, Praphad Phodhivorakhun, president of Thai company KYTBW, said according to the statement.

East Timor's infrastructure was largely obliterated by the Indonesian military and the militias they supported when the tiny nation voted for independence from Indonesia in 1999.

Unrest again rocked the country in May this year when 21 people were killed and some 150,000 people fled their homes amid battles between rival factions of the military and police as well as violent gangs roaming the streets.

BAKRIE START CONSTRUCTION OF US$ 350 MILLION 'SUPERBLOCK'

2006-06-22T02:13:00.000-07:00

The Jakarta Post, Jakarta

Publicly listed property firm PT Bakrieland Development Tbk kicked off the construction Wednesday of the Rp 3.5 trillion (US$368 million) Rasuna Epicentrum "superblock" in Kuningan, South Jakarta.

The development will consist of an office tower, apartments, a concert hall, a media center and a park along a nearby riverbank.

President director Marudi Surachman, accompanied by the other members of the Board of Directors, led the groundbreaking ceremony at the 44.7-hectare site in front of the company's Rasuna Club near Jl. Rasuna Said.

"This officially starts the construction of the infrastructure for the whole superblock," he said.

The infrastructure he referred to includes basic facilities, such as the drainage system, and electricity, telecommunications, water and gas networks, as well as the waste treatment system and access roads.

"Infrastructure is the most important part of this project. As a superblock, the Rasuna Epicentrum will boast high quality buildings that provide all possible comforts to tenants and visitors," Marudi said.

He added that the construction of the infrastructure would be carried out in three phases and was expected to be completed in less than two years.

Bakrieland has appointed local contractor Hutama Karya to construct the infrastructure.

While the infrastructure was being developed, Bakrieland would also start on the construction of a 48-story office building, to be called the Bakrie Tower, as well as the Epicentrum Walk, the Lifestyle Center and an apartment building. It would also renovate the existing Pasar Festival shopping center.

The entire development was expected to be completed in 2010.

According to chief marketing officer Ferry S. Supandji, 80 percent of the space in the Bakrie Tower has already been sold, even though construction will not start until July.

"We have sold about 50,000 square meters out of the total floor space of 60,000 square meters. Most of those taking space in the tower are member companies of the Bakrie Group. A number of other companies, including foreign firms, have also taken space," he said.

Marudi said the "superblock" would be unique in the capital.

"For example, people walking along the Epicentrum Walk will be treated to music and performances by entertainers every day," he said.

JAPAN ALLOCATED RP. 3 TRILLION FOR RAIL PROJECT

2006-06-13T01:09:00.000-07:00

TEMPO Interactive, Jakarta: Japan has allocated about Rp3 trillion for a four-track railway line project.

These funds will be utilized to construct the first phase of a four-track railway line between Manggarai and Bekasi.

“The funds have not been spent because we are still negotiating with land owners,” Yoyo Sulaiman, head of the project, said yesterday (11/6) in Jakarta.

Japan, Yoyo said, has asked that there will not be any tender offered to any parties if the team has not finished negotiating with land owners.

“So, if the lands have already been purchased, we'll carry out the tenders,” he said.

Yoyo said he plans that the first phase of land purchasing will be accomplished this year.

As for the second phase, he has cannot yet confirm when the purchase will be completed.

ADB WILL LOAN INDONESIA US$900 MILLION

2006-06-13T01:06:00.000-07:00

TEMPO Interactive, Jakarta: The Asian Development Bank (ADB) will loan between US$800 million and $900 million to the Indonesian government. This was conveyed in a meeting of the Consultative Group on Indonesia (CGI) in Jakarta, today. “This is a soft loan with market interest,” said ADB Director Edgar Cua, in Jakarta yesterday (12/6).

Edgar said the loan will be used for the economic reform program, and infrastructure project and program. The loan will also be used for development in social welfare including education and health. For 2007, ADB has also planned to lend between US$1 billion and $1.1 billion.

ADB, said Edgar, took into account the improvement in Indonesia's macro-economic condition. For that reason, ADB suggested that the government invest to increase economic growth. “From the budget aspect, the government has an opportunity for higher investment to increase economic growth,” he said. ADB will also support the Indonesian government in the reform of finance.

The Government of Indonesia decided to build the Giant's Coal Electric Generator

2006-06-06T20:48:00.000-07:00

ANTARA - Jakarta: The government decide to build immediately several the coal electric power generator with the strength 10,000MW in order to overcomes the occurrence of the electricity crisis in 2009 - 2010.

Minister Energi and Mineral Resources, Purnomo Yusgiantoro in the press conference after special kabinet meeting in the president's Jakarta office, on Tuesday explained the development of the electricity generator needed the fund around Rp70 trillion (US$7 billion).

"If to produce electricity around 10 thousand MW this needed the fund around US$7-8 billion or if being multiplied Rp9,200, around Rp70 trillion rupiah," he said.

However, according to Purnomo the number still the estimate breakingprep early and very possibly changed for example resulting from the problem of land clearing for example case.

According to him, the development of the crash program of 10 thousand MW this electric power will be built by PLN-State Owned electric company by means of choosing directly the prepared investor built this generator. "We had two choices, the tender was open and the direct election." If the contractor brought the fund, could was done that was named the direct election. The direct election, not the direct appointment. The direct election like beauty contest, he said.

Now for the direct appointment of the investor who did the project, continued Purnomo only could be done in areas that experienced the electricity crisis like in South Sulawesi.

"In Indonesia had several areas of the crisis that during now to speed up this filling indeed was in PP No 3/2005. That was published last year. That was enabled for the area of the crisis, that indeed needed the electricity generator", he said.

Was related to this, Purnomo also confirmed that PLN appointed directly the Bosowa group to build the generator of non-fuel electricity in South Sulawesi. "South Sulawesi including kriris. The electric generator has several now. Yesterday there had generator shut-down also, Because indeed the growth of his requirement was very high like in Java, around 13 percent", he said.

Appointing Bosowa, he continued came from the process of the PKUK proposal (the Holder of the Electricity efforts Power) that knew precisely the condition for electricity of an area.

Purnomo explained to support the development of this the coal electric power generator, the government also prepared the development of the infrastructure of coal handling to increase the production around 87 million tonne per the year to 2009/2010.
At this time, he continued the government was also compiling the basic rule that enabled PLN to carry out the development of this generator.

"Also was planned by us to form the co-ordination team that they task was to monitor this electricity generator," he said.

Contact information:

BOSOWA GROUP
Address:
Jl. Urip Sumuhardjo No. 188
Ujung Pandang 90232 - South Sulawesi
INDONESIA
Tel: (62 411) 444444
Fax: (62 411) 447744

ESSAR POWER PLAN TO BUILD POWER PLANT IN INDONESIA

2006-06-01T00:27:00.000-07:00

The Hindu -- June 1, 2006

New Delhi, May 31 (PTI): Essar Power, which had recently bid for setting up a coal-fired power plant in Indonesia, on Tuesday said it is eyeing more coal and gas-based plants in the south east Asian country.

"We are looking at more coal and gas-based power plants in Indonesia," Essar Power Managing Director A K Shrivastava said at a conference here.

The company is planning to bid for three projects in that country. While two projects are coal-based with a capacity of 1,000 MW each, the third one is a gas-fired station with a capacity of 500 MW.

Earlier this month, the Ruias-controlled company had emerged as among the two shortlisted firms for a 600 MW power plant in Java, Indonesia. Besides Essar, an international consortium led by Japan's Marubeni is also in the fray.

The tariff-based bids were invited by Indonesian state-owned electricity firm PT Perusahaan Listrik Negara early this year.

Industry sources said Essar is unlikely to get the project as its bid has been slightly higher than that of Marubeni. However, the Indonesian firm has not announced of any decision on the project so far.

Essar Power runs a 515 MW plant at Hazira in Gujarat. The company is in the process of expanding this plant to 1,500 MW over the next three years. The company aims at becoming an integrated power utility in the country with interests in generation, transmission as well as power trading.

INFRASTRUCTURE PROJECTS OPPORTUNITY

2006-05-11T01:49:00.000-07:00

Source: Indonesian Commercial Newsletter - April 2006

Indonesia is undoubtedly in a great need for new infrastructures across the span of the economy. The government of Indonesia has put infrastructure in high priority list for the country's short and medium term development. The government has announced that the country needs around US$ 130 billion to developed new infrastructures projects for the period of 2005-2009 to maintain gross domestic product growth of more than 6% a year over the same period. Of this huge amount of fund needed, the government is able to meet only 17% of the budget, and the remaining 83% is expected to derive from private sectors.
There is, however, some doubt on whether funding is the main problem or is it the lack of legal and operational certainty.

In the first "infrastructure summit" in January 2005, the government unveiled a list of 91 priority infrastructure projects offered to private sectors with an estimated value of US$ 22.5 billion.

Many of the projects were developed in cooperation with state owned enterprises (SOE) prior to the financial crisis but have languished for lack of financing. Valued at approximately US$ 22.5 billion (in aggregate), the sectoral distribution
of the project is as follows:

FOREIGN INVESTOR ALLOWED TO HAVE UP TO 49% OF RETAIL COMPANY

2006-05-11T01:06:00.000-07:00

Source: Indonesian Commercial Newsletter - April 2006

The Government of Indonesia has issued a regulation allowing foreign individuals or companies to have up to 49% stake in modern retail companies or shop.

Under previous regulation, foreign investor were allowed to own supermarkets and small shops in the country without specifying the percentage of ownership.

The foreign investors, however, are allowed to have stake indirectly from stock exchange. Direct acquisition or investment of supermarket and shops modern is still banned for them.

The association of retail companies (APRINDO) said the regulation should be more concrete in banning foreign investor from holding the majority stake.

APRINDO secretary general become the majority shareholder if the remaining 51% stake is split by number of local partners.

Key of contact:

ASSOCIATION OF INDONESIAN RETAILING MERCHANTS (APRINDO)
Address:
E-Trade Building, Ground Floor
Jl. KH. Wahid Hasyim No. 55,
Jakarta Pusat 10350, INDONESIA
TEL:(021) 3928545
FAX:(021) 323267
email: aprindo@cbn.net.id

PENDIDIKAN DAN PELATIHAN EKSPOR INDONESIA

2006-05-08T21:32:00.000-07:00

Sebagai lembaga pendidikan dan pelatihan ekspor yang berada di lingkungan Badan Pengembangan Ekspor Nasional Departemen Perdagangan, Balai Besar Pendidikan dan Pelatihan Ekspor Indonesia (PPEI) senantiasa siap membantu meningkatkan kemampuan sumber daya manusia para pelaku bisnis, (eksportir maupun calon eksportir), khususnya skala kecil dan menengah, dengan berbagai pengetahuan praktis dan keterampilan yang diperlukan untuk menjadi eksportir handal dan berdaya saing.

Berbagai program pelatihan baik jangka panjang (1-3 bulan) maupun jangka pendek (1-10 hari) dirancang oleh praktisi ekspor dan instruktur PPEI yang berpengalaman, dengan memfokuskan pembahasan atas masalah-masalah aktual perdagangan yang sedang menjadi trend, sesuai dengan kebutuhan nyata dunia usaha.

Selain program pendidikan dan pelatihan dengan sistem tatap muka PPEI juga mengembangkan program Advanced Distance Learning (pelatihan jarak jauh) dengan sistim TV Conference secara interaktif baik tingkat internasional maupun nasional. Pelatihan jarak jauh tingkat internasional telah dilakukan antara lain menghubungkan Jakarta dengan Osaka, Tokyo, dan Bangkok. Sedangkan tingkat nasional menghubungkan Jakarta dengan Surabaya, Medan, Makassar dan Banjarmasin. Kedepan akan dikembangkan pelatihan jarak jauh antara Jakarta dengan negara-negara ASEAN. Program ini dilakukan mengingat lokasi Indonesia yang terpencar di berbagai pulau, sehingga dapat dimanfaatkan oleh mereka yang berlokasi jauh dari Jakarta.

Sejak didirikan pada tahun 1990, sampai saat ini (2005) PPEI telah melatih lebih dari 27.000 peserta dan telah mendapatkan predikat Center of Excellence dalam kerangka kerja ASEAN Economic Ministry/AEM Ministry of Economic Trade and Industry/METI Economic and Industrial Cooperation Committee (AMEICC) Human Resource Development Working Group Japan, yang salah satu kegiatannya adalah menyusun kurikulum bersama di lingkungan ASEAN untuk bidang International Trade. Kegiatan ini sangat mendukung peningkatan mutu dan daya saing usaha kecil menengah Indonesia bukan hanya di tingkat ASEAN tetapi juga internasional.

KEGIATAN PPEI :
PPEI membekali para peserta dengan pelatihan bermutu dan pelayanan pengembangan sumber daya manusia, yang antara lain terlihat dalam hal :

Program pendidikan dan pelatihan PPEI dirancang sedemikian rupa agar memenuhi berbagai kebutuhan dunia usaha, bekerjasama dengan para praktisi eksportir.
Bekerjasama dengan lembaga – lembaga baik di dalam maupun di luar negeri, PPEI menyajikan berbagai pelayanan pasca pendidikan dan pelatihan, guna mendorong lahirnya wiraswastawan-wiraswastawan baru ekspor di dalam wadah Inkubator Bisnis Ekspor.
Simulasi Ekspor dipersiapkan PPEI guna memaksimalkan penguasaan materi ekspor impor bagi para peserta, sehingga peserta memahami secara mendalam proses ekspor mulai dari perencanaan sampai kepada realisasi ekspor dan penerimaan pembayarannya.
Resource Center dipersiapkan untuk mendukung kelancaran arus informasi yang dibutuhkan oleh peserta dalam kegiatan ekspornya, baik yang berupa literatur maupun yang berupa informasi elektronik.

INDONESIAN TRADE PROMOTION CENTER - SÃO PAULO, BRAZIL

2006-05-08T20:58:00.000-07:00

ITPC, shorts for Indonesian Trade Promotion Centre is a Government Organization under the supervision of the National Agency for Export Development (NAFED) . Both institutions are part of the global trade network abroad supervised by the Indonesian Ministry of Industry and Trade, with a common goal to enhance the export of Indonesian products throughout the world.
Facing the rapid growth of the global economy, especially in a very competitive environment, ITPC is expected to bridge and connect the potential traders between countries.

Main Activities of ITPC

Participation on overseas trade promotions and trade exhibitions
Organizing business transactions
Trade Inquiries
Market intelligence, observing the local government policy,the competitors,and the potential business opportunity in Brazilian business communities
Matchmaking assistance, arranging the meeting between Indonesian exporters and Brazilian importers
Providing information on Indonesian product supply by sector and companies
Providing advice and information on Government trade regulation and procedures

How ITPC HELPS The Brazilian Importers

Assisting the trade visits arrangement to Indonesia, in an effort to personally meet manufactures and exporters
Preparing and collecting information on Indonesian companies participating in overseas trade exhibitions
Providing assistance in coordinating and facilitating business contact between Indonesian exporters and the Brazilian importers.
Conducting various reports, market briefs, country profile as well as importers profile
Arranging business contact for Indonesian exporters and Brazilian importers
Conducting mini display of Indonesian product in the ITPCSP showroom

Next event in Brazil

15º INTERNATIONAL HANDICRAFT FAIR
Curitiba - Paraná - Brazil
Date: 05-14 May 2006
Place: Parque Barigui

More information:

15º INTERNATIONAL HANDICRAFT FAIR
Porto Alegre - RS - Brazil
Date: 19-28 May 2006
Place: Shopping DC Navegantes

More information:

7º EXPOBOR
7º International Fair of Rubber, Technology, Machinery and artefacts.
São Paulo - Brazil
Date: 9-12 May 2006
Place: Expo Center Norte

More information:

TOYS, PARTIES & CHRISTMAS FAIR
São Paulo - BRAZIL
Date: 20 - 23 May 2006
Time: from 9am until 7pm
Place: ITM - São Paulo - BRAZIL

More Information:

ARTMUNDI - WORLD-WIDE HANDICRAFT FAIR
São Paulo - BRAZIL
Date: 11 - 20 August 2006
Place : Anhembi

More information:

Contact ITCP - São Paulo, Brazil
Indonesian Trade Promotion Centre
Alameda Santos 1787, Conj. 111
Cerqueira César
São Paulo - SP
CEP 01419-002
BRAZIL
Phone: +55 11 3263-0472
Fax: +55 11 3253 8126

Director: Djamian Lumban Gaol
Marketing:
Leonardo Djajaraharja
Fabio Sin
E-mail:
itpcsp@terra.com.br
itpcsp@itpcsp.com.br

INDONESIA PLANT TO INCREASE EXPORTS TO MIDDLE EAST

2006-05-03T00:40:00.000-07:00

Antara -- 2 May 2006

Abu Dhabi (ANTARA News) - President Susilo Bambang Yudhoyono has asked Trade Minister Mari Elka Pangestu to immediately reactivate the Indonesian Trade Promotion Center (ITPC) in the Middle East with regard to tapping the regional market.

"I have asked the trade minister to reactivate the ITPC again so that it does not stay idle," he said at a press conference here on Tuesday.

He said Indonesia must not be inferior to other countries such as China, India and Malaysia which also wished to increase exports to the region in its efforts to tap the regional market.

"Our export performance must be better," he said.

He said Indonesia wished to increase not only exports of goods but also services and in view of that it had to be active again in promoting its goods and services.

On Qatar the President said Indonesia and the country had agreed to hold a meeting in a near future in Jakarta to discuss concrete steps to increase economic, trade and investment cooperation between the two countries.

The President is here as part of his tour of some Middle East countries including Qatar.

He was accompanied by Coordinating Minister for Economy Boediono, Foreign Minister Hassan Wirajuda, Trade Minister Mari Elka Pangestu, State Minister for State Enterprises Sugiharto and chief of the Capital Investment Coordinating Board Mohamad Lutfi.(*)

RI, SLOVAKIA SIGN ECONOMIC COOPERATION AGREEMENT

2006-05-03T00:35:00.000-07:00

Antara -- 2 May 2006

Jakarta (ANTARA News) - Indonesia and Slovakia signed a new economic cooperation agreement here on Tuesday to renew the old one which was made before the latter became a member of the European Union.

The director general of America-Europe affairs of the ministry of foreign affairs, Eddi Hariyadhi, signed the agreement on behalf of the Indonesian government. Signing on behalf of the Slovakian government was State Secreraty/Deputy Minister of Economy Laszlo Pomothy.

Eddi said under the agreement the two countries expressed their committment to free market principles and to promoting and facilitating for a wider economic cooperation between individuals as well as legal entities including business associations.

"In a meeting in Bratislava, Slovakia, earlier the two countries had discussed steps to increase economic cooperation through trade and investment promotions and technical cooperation including promoting the role of businessmen and possible establishment of joint ventures in a third country," he said.

He said the two countries were currently considering to hold the first meeting of the Joint Commission for Economic Cooperation in 2007 to identify various potentials for economic cooperation and formulate concrete steps for the cooperation.

Trade between the two countries in 2005 reached US$97.5 million. Indonesia`s exports to Slovakia reached US$92.8 million while its imports from that country US$4.7 million.

"Slovakia wishes to make the trade more balanced," he said.

Laszlo Pomothy said Slovakia wished to cooperate in the fields of energy, industry, machinery industry, agriculture, chemical and automotive industries, technology, environment, defense industry, health, road construction and railway system.

"Slovakia has also offered investment cooperation in manufacturing and tourism particularly in view of its position as an entry gate to Europe," he said.

Asked about priorities of economic cooperaton he said that Indonesia and Slovakia still had yet to determine them in the next meeting.

Pomothy said the president of Slovakia planned to visit Indonesia to strengthen the cooperation between the two countries.

"The schedule still has yet to be adjusted to the activities of the Indonesian President," he said.

Slovakia`s director general of trade and tourism of the ministry of economy Josef Harvath meanwhile said Indonesia would benefit much from its cooperation with Slovakia following the latter`s membership in the EU.

"By cooperating with Slovakia, Indonesia could at the same time also cooperate with other EU member countries," he said.

He said tourism cooperation between the two countries was potential. He said around 4,000 Indonesians were in Slovakia every year. "The figure is based only upon visa requests and therefore it could be higher as some other might come there though other Euroopean countries," he said.(*)

SAUDI ARABIA INVEST US$4 BLN IN INDONESIA

2006-05-03T00:32:00.000-07:00

Xinhuanet -- 2 May 2006

Saudi Arabia to invest US$4 bln in Indonesia's oil sector www.chinaview.cn 2006-05-02 20:13:16

JAKARTA, May 2 (Xinhua) -- Saudi Arabia would invest about 4 billion U.S. dollars in Indonesia for building an oil refinery with total capacity of 400,000 barrels per day (bpd), said Iin Arifin, vice presidential director of Indonesian state oil firm Pertamina, here on Tuesday.

Arifin said that currently Pertamina was conducting a feasible study and the result would be reported to Indonesian Vice President Jusuf Kalla next week.

"To build a refinery with capacity of about 100,000 bpd, we need 1 billion US dollars (on average), so for the Saudi Arabian project, it needs about 4 billion U.S. dollars," said Arifin.

He said that Saudi Arabia would supply the crude oil to be processed at the refinery, then the production would be fully consumed for Indonesia's domestic need.

Now Indonesia still imported 300,000 bpd of oil to meet its consumption, he said.

MARINE BUSINESS MANAGEMENT GOING TO PRIVATIZE

2006-05-02T02:27:00.000-07:00

TEMPO Interactive, Jakarta: The management of the marine sector will be fully transferred to private parties. The government's role has been so dominant that maritime industrial growth was slow.

Marine Affairs and Fisheries Minister, Freddy Numberi, said the transfer to private ownership will be in the form of business renovation. To develop the privatization of the marine business, the government will invite foreign investors to provide the funds. “Until now, marine management has been obstructed by bureaucracy. We will transfer it to private parties soon.” he said yesterday.

Freddy admitted there are many regional regulations that became obstructions for investment activity. As a result, several foreign investors were slow in realizing their investment and they were only noted in the files of the Investment Coordinating Board.

Starting 2007, said Freddy, he will intensify the coordination system in the central and provincial governments, besides expediting investment and coordination for budget efficiency. Next year, the allocated fund for the Marine Affairs and Fisheries Department will be Rp3.02 trillion. Eighty percent will be allocated for regions.

Freddy said in the next five years, marine sector development will face serious challenges, some of which are conflict among fishing groups from different areas, illegal fishing, and the Indonesian outer islands' management. “The other problem is the rise of production costs due to the fuel oil price increase,” he said.

OIL AND GAS EXPORT RISE IN Q1

2006-05-02T02:12:00.000-07:00

The Jakarta Post, Jakarta

A recent rise in the value of oil and gas exports amid rising crude oil prices has helped boost Indonesia's already strong export performance for bituminous fuels and rubber by 12 percent during the first three months of the year as compared to the same period last year.

Indonesia's total exports from January to March 2006 reached US$22.3 billion, the Central Statistics Agency (BPS) reported Monday, compared to $15.5 billion during last year's first quarter.

The country's oil and gas exports up to the end of March surged by almost 19 percent to $5.1 billion, as international oil prices averaged around $62 per barrel. The price of oil has now increased further to $72 per barrel.

In March alone, exports of oil and gas increased by 4 percent to $1.7 billion from February, BPS director Choiril Maksum said, as Indonesian crude prices for the month rose to US$61.72 a barrel from $61.19 in February.

Combined with non-oil and gas exports during the month, which saw an incidental rise in exports of fisheries products, March's total exports rose to $7.4 billion, up 1.33 percent from February.

The country's non-oil and gas exports, accounting for more than three-quarters of the country's total exports, rose nearly 11 percent to $17.2 billion in the first quarter from last year's first quarter, with the main markets being the 25 nations of the European Union, the U.S. and Japan.

Of first quarter non-oil and gas exports, shipments of bituminous fuels, which include Indonesia's abundant coal resources, saw the biggest increase -- almost 53 percent -- to book a value of $1.32 billion as compared to $867 million in last year's first quarter.

Following bituminous fuels, exports of rubber and rubber products also enjoyed a significant increase of 21 percent to $1.25 billion. The prices of both coal and rubber have been gaining lately on the global market.

Exports of furniture, however, fell 6 percent to $516 million in the first quarter.

The BPS also reported that Indonesia imported a total of $13.23 billion worth of goods between January and March, down 2.54 percent from the same period the previous year, with most of the imports coming from Japan, China and the U.S.

A positive signal for the economy is that imports of capital goods rose 21 percent to $2.2 billion in the period, reflecting a revival in investment and the future production of local industry, although imports of raw materials declined 8 percent to $9.7 billion, which could signify still slowing consumption.

Overall, the country had a trade surplus of $9.12 billion in the first three months of 2006, a 44 percent jump from the $6.29 billion recorded in the same period last year.

The government expects Indonesia's total exports to continue growing by between 7 and 13 percent this year from last year's record high of $85.6 billion.

MID-EAST AS NEW BUSINESS TARGET

2006-04-27T21:25:00.000-07:00

The Jakarta Post -- 28 April 2006
Emanuel Shahaf, Jerusalem

The government and legislature of Indonesia have both recognized the importance for the nation to involve itself, at some level, in the efforts to work towards peace in the Middle East. President Susilo Bambang Yudhoyono has expressed this wish several times and so has the House of Representatives' Commission I when recommending more government involvement in the area, as reported by this paper on March 21.

While the above expressions of interest have been of a general nature, what both, government and the House really mean is that they would like very much to establish a representation in Palestine, which, due to geopolitical circumstances, requires the agreement of the government of Israel.

Israel, from its point of view, has an interest in Indonesia's involvement in the Middle East but naturally expects a nation that wants to play a part in the peace process, to establish relations with both sides.

As a result, Indonesia, reluctant as always to make any move that could be interpreted as recognition of Israel before there is a peace agreement with the Palestinians, is torn between its interest to get involved and play a part and its disinclination to do anything that would indicate an opening towards the Jewish State. In this situation, nothing is happening and the interests of all concerned are not being served.

One of the main reasons that Indonesia is so reticent to make a move towards Israel, even within the framework of establishing relations with the Palestinians, is the perception that such a development would possibly cause unrest in Indonesia among those radical groups that still vociferously are against any rapprochement with the Zionist state.

While this concern can be understood, time and again it has been proven that the Indonesian public is often more astute and tied to reality than its politicians. Foreign Minister Hassan Wirayuda's meeting with his Israeli counterpart Shalom in 2005 was widely reported and caused no great public outcry.

The ongoing mid-level contacts between Indonesia and Israel via their embassies in Singapore receive scarce notice anywhere and economic contacts are lively if mostly inconsequential.

At the same time, the upset victory of Hamas in the Palestinian elections and the difficulty this movement has moderating its agenda while being subjected to tremendous international pressure, mainly from the West, make the need for a Muslim interlocutor who has interests vis-a-vis both sides of the conflict ever more important. Palestine President Mahmoud Abbas' recent letter to President Yudhoyono adds further urgency to the matter.

It is time that Indonesia makes up its mind -- does it want to play in the Middle East or does it not? Indonesia would like to support the Palestinians but cannot get itself to make the minimum effort that is necessary when many other Muslim countries, not to talk about the Palestinians themselves, have overcome their problem long ago and established overt relations at some level with Israel.

Indonesia wants Israeli investments, know-how and technology but is not willing to provide any kind of safety net to Israelis who want to do business here. If Indonesia indeed wants to get involved there is a price to pay.

The price is clear and sensible, and what is even better, it is not even expensive: Let Israel open an office in Jakarta just like Taiwan, a nation also not officially recognized by Indonesia. In return, Indonesia will open an office in Ramallah or Abu Dis on the outskirts of Jerusalem to maintain contact with the Palestinians and another one in Tel-Aviv, to liaise with Israel.

Once the contacts with Israel which until now have existed but were officially denied time and again, will be in the open they will be subject to public scrutiny and thus enable the legislature to make sure that they will be used in the commercial and business fields to advance the Indonesian economy.

And it will permit Indonesia to really push for a peaceful solution in Palestine, supporting the Palestinians.

Indonesia's offices in Palestine would be able to serve the many Indonesian pilgrims who come to Jerusalem and at the same time it would establish a presence that could open additional options in any future peace negotiations when it comes to the disposition of the Muslim holy places in the city. The presence on the ground of a moderate Muslim nation can only help in these difficult times and the Indonesian public would surely recognize the significance.

While this suggestion may give the legal advisors of the Foreign Ministries on all sides some headaches, the Taiwan solution is there to be copied providing a reasonable compromise between the as of yet not-acceptable diplomatic recognition and the counterproductive status-quo.

Let's stop this constant stream of denials of meetings that have taken place or not, let's stop the foreplay and get down to business.

The writer is a retired (Israeli) diplomat who served in South East Asia from 2000-2003. He can be reached at techasia2006@yahoo.com .

INDONESIA - RUSIA TRADE FIGURE

2006-04-27T21:20:00.000-07:00

The Jakarta Post -- 28 April 2006

Indonesia and Russia have pledged to increase the value of bilateral trade to US$1 billion, an increase of about 85 percent, from $550.9 million last year by exploring untapped business opportunities.

The commitment was made during a meeting between a Russian trade delegation and Indonesian trade officials in Jakarta on Thursday.

"Considering that there are still many potentialities we haven't yet tapped, we're optimistic we can achieve the target in the next two years," Herry Soetanto, the director general of international trading cooperation at the Trade Ministry, said at the meeting.

During the meeting, which was also attended by representatives of 25 enterprises from Russia, he said Indonesia's exports to Russia over the last five years had increased by an average of 57.87 percent a year.

Last year, Indonesia's exports to Russia reached $348.1 million, an increase of 57.9 percent from $220.48 million in 2004. Its exports included vegetable oils, machinery, electrical tools, coffee, tea, spices, tobacco, footwear and textiles.

Indonesia's imports from Russia -- mainly consisting of steel, fertilizer, paper, steel and finished iron products, finished metal products, and organic chemicals -- increased by an average of 70.20 percent during 2001-2005.

But last year, Indonesia's imports from Russia only increased by 39.8 percent to $202.8 million from $145.11 million in 2004.

Indonesian Ambassador to Russia, Susanto Pudjomartono, also expressed optimism that the target could be achieved, saying that Russia could increase its exports of heavy equipment, mining equipment, and oil and gas sector equipment.

Meanwhile, Indonesia could increase its exports of agricultural and forestry products, as well as various manufactured products.

To facilitate trade, the two sides have agreed to set up trading houses in Indonesia and Russia.

However, Herry admitted that the absence of a proper trade finance system could hamper the efforts to increase bilateral trade. The fact that Russia was not yet a member of the World Trade Organization (WTO) could also be a problem.

But Fedor N. Poselyanov, a member of the Russian delegation and a former consul general at the Russian Embassy in Jakarta from 1972 to 1998, said he was confident that all of the difficulties could be resolved in the near future.

Russia is currently pursuing negotiations with a number of countries, including the U.S., as part of its efforts to become a member of the WTO.

JICA TRAIN INDONESIAN SME CONSULTANTS

2006-04-24T21:11:00.000-07:00

The Industry Ministry, in cooperation with the Japan International Cooperation Agency (JICA), a Japanese government organization that provide technical and grant assistance, is holding a six-month training course for 100 small and medium enterprise consultants.

During the course, which started Monday, the participants will study a corporate evaluation system known as shindan in Japanese from 14 Japanese and seven Indonesian trainers from various universities and governmental agencies.

Director General of Small and Medium Industry Sakri Widhianto said after the opening ceremony that the participants would attend 888 hour-long sessions, including 360 hours of field activities, during the Rp 5 billion (about US$ 556,000) training course.

The trained participants would be given certificates as evaluators and consultants, and placed with SMEs across the country, he explained.

"We want the participants to become professional consultants who can give thorough consultancy services to small and medium enterprises on business management, including production techniques, finance and the work environment," he said.

He added that it was hoped that the participants, who hailed from various governmental and research agencies, as well as business associations, would be able to help SMEs upgrade their operations, and work in an effective and efficient manner.

The training course is part of the Strategic Investment Action Plan (SIAP) formulated by Indonesian and Japanese governments in June 2005.

Source: the Jakarta Post

INDONESIA-SOUTH AFRICA INCREASE TRADE

2006-04-24T20:56:00.000-07:00

Indonesia and South Africa are seeking to increase bilateral trade and investment ties through direct facilitation in the banking and transportation sectors.

Business relations between the two countries are limited due primarily to the absence of banking and transportation facilities, Trade Minister Mari Pangestu said Monday.

"We cannot not directly export most of our products to South Africa because of the transportation problem, Most of our goods have to be reexported through Dubai and other countries. It is this sort of problems that we need to resolve soon," said Mari.
Mari was speaking after accompanying Vice President Jusuf Kalla to a meeting with visiting South African Deputy President Phumzile Mlambo-Ngcuka.

Mari said that more trade would be unlikely in the near future unless the trade and investment infrastructure between the two countries was improved in order to allow businesses to work together..

Mari will lead an Indonesian trade delegation to South Africa in May as part of the effort to establish such infrastructure and promote Indonesian products and firms at a trade exhibition there.

"We need to boost promotion and provide more opportunities for Indonesian businesspeople. In general, South Africa is a gateway for entering other African markets. That is why we will attend the trade exhibition there," she said.

Last year, two-way trade between Indonesia and South Africa was valued at US$577 million, with Indonesia mostly exporting palm oil and rubber products, while South Africa sent minerals to Indonesia.

Indonesia also sells garments, textiles and electronic products to South Africa and buys fertilizer from that country, although trade volumes are limited.

Indonesia hopes to increase its exports of other manufactured products to South Africa and other countries on the continent so as to reduce unemployment at home.

At present, unemployment -- both open and concealed -- stands at more than 45 million people.

The government is currently working to revive the country's labor-intensive manufacturing sector, which has yet to recover from the devastating impact of the late 1997 Asian financial crisis.

Meanwhile, during a joint press conference with Kalla, Vice President Mlambo-Ngcuka said there is "greater opportunity in open-cut mining in Indonesia than there is in South Africa" and that South African companies should explore coal-mining opportunities in Indonesia.

"I actually don't think that South African companies realize this. This is some information that we intend to take back so that we can encourage our companies to explore more business opportunities here," she said.

Vice President Kalla said Indonesia hoped to see the participation of South Africa in developing the country's coal-liquification industry.

HOW TO INCREASE INVESTMENT AND REAL SECTOR ACTIVITIES

2006-04-18T20:56:00.000-07:00

"...some opportunities remain open for Indonesia to improve economic performance. Experiences so far have shown the importance of real sector management, particularly in terms of improving investment climate and accelerating infrastructure development. These steps will be vital in increasing national economic capacity in order to fulfill demand as well as minimize susceptibility to external shocks..."

The above was an excerpt from the Indonesian Economic Report 2005, a report containing comprehensive report and Bank Indonesia’s view on the economy for the year 2005, economic challenges and prospects, and policy direction ahead. The report was launched during the seminar on “Challenges in Encouraging Investment Increase and Real Sector Activities” held on Monday, 20 March 200, in Bank Indonesia Jakarta. The discussion was also in line with the issuance of Presidential Instruction (Inpres) No.3 Year 2006 concerning the Policy Package to Improve Investment Climate which contains a set of programs and actions aimed to improve investment climate covering various aspects. “In the year 2005, Bank Indonesia issued several policies aimed to restore macroeconomic stability. In order to support the tight biased monetary policy in controlling inflation, Bank Indonesia issued various policy packages aimed to control exchange rate volatility by way of controlling speculative transactions, controlling excess liquidity in banks, and maintaining coordination with the government in managing the demand for foreign currencies,” explained Bank Indonesia Governor, Burhanuddin Abdullah, during the opening of the seminar.

The seminar presented Hartadi A. Sarwono, Bank Indonesia Deputy Governor, who talked about the economic prospects, risk factors faced, and the direction of monetary and banking policies. Pradjoto, a banking law expert, presented his view on legal certainty and good governance as efforts to increase investments. Meanwhile, Komara Djaja, Secretary of the Coordinating Minister of Economic Affairs, discussed steps for implementing the policy package to improve investment climate, as well as future infrastructure development.

Burhanuddin also presented Indonesia’s economic prospects for 2006, in which the economic growth is estimated to be within the range of 5.0-5.7% and inflation rate would decrease in line with exchange rates that are stable and tend to strengthen. Recovered economic activities are estimated to occur in the second semester of 2006 due to the possibility of improved investment climate and business certainty. Meanwhile, rupiah exchange rate development in 2006 is predicted to be relatively stable with a tendency to strengthen gradually in line with improvements in private sector capital flows, improved risk premiums, and the end of global monetary tightening cycle. The source of supply for foreign currencies particularly from FDI is expected to improve and thus would decrease exchange rate volatility compared to year 2005. In line with the strengthening exchange rates, inflationary pressure is expected to decrease further and reach 7-9% (yoy) by the end of 2006.

Credit for Cow Slaughterhouse Business in Bali is Rising

2006-04-18T00:46:00.000-07:00

Banking in Bali has allocated credit amounting to 18,5 billion rupiahs to 99 businessmen in cow slaughterhouse commodities for the last three months. “This means a raise of 64% from the outstanding banking credit in Bali to the businessmen from the cow slaughterhouse business”, said the Head of Bank Indonesia Bali during the Coordinating Meeting between Banking, Small and Micro Scale Business Enterprises (UMKM) in Cow Slaughterhouse and the Government Agency for Animal Farming for Bali on April 4, 2006 in Denpasar, Bali. Based on the data from Bank Indonesia Office of Denpasar, the credit for businessmen in cow slaughterhouse has shown an upward trend, from 28,8 billion rupiahs in December 2005 to 47,3 billion rupiahs in March 2006. The rising trend of credit to the businessmen is given by 6 commercial banks having business operation in Bali.

The meeting which was held as a follow-up to the Workshop for Business Prospects and Funding Potential by Banking in Denpasar on December 8, 2005, was part of the series of activities conducted by Bank Indonesia in order to improve banking intermediation function. Moreover, it is hoped that the meeting will support the improvement of leading commodities in the regional areas.

As in other regions, the main problem in credit channeling from banking to UMKM is the general perception held by banking of the high risk for credit chanelling to UMKM. Apart from that, other problems are the minimum information regarding the UMKMs that deserve to be given credit and the minimum knowledge on the condition and prospect of the leading sectors. “It is hoped that this meeting will give access for banking to more comprehensive and detailed information concerning the prospect and potential of cow slaughtering business in Bali. Therefore, a wider business cooperation between players of UMKM and banking will be made possible”, added Ketut. If this plan goes well, in return it will bring a very positive impact on the national economy, especially in supporting the economic growth and creating more job fields.

In the future, Bank Indonesia is planning on intensifying the holding of workshops both in Jakarta and other regions. This also includes follow-up activities in the forms of facilitation of follow-up meetings in the regional areas held by advocacy desk in coordination with the related local government agencies. Besides holding of workshops, Bank Indonesia will also intensify other follow-up meetings and training considered necessary for banking.

Indonesia offer full support on foreign investments

2006-04-18T00:37:00.000-07:00

Speech by H.E. Boediono
Coordinating Minister for Economic Affairs
At The United States-Indonesia Society (USINDO) Corporate Outreach Dinner
On “Advancing the Partnership between the United States and Indonesia”
and “Recognition of Corporate and Major Donors to USINDO’s Aceh School Program”
March 23, 2006

It is indeed my great pleasure to speak in front of this distinguished forum this evening.
Let me first take this opportunity to join you in commending those of you who have in various ways extended your support to us in coping with the impacts of the most devastating natural disasters I can remember ever happened in this country. I know that the presence of US troops,
medical and rescue teams in the very first days after the tsunami did make a lot of difference to the survivors in Aceh. Subsequently, generous contributions and supports from people, corporations and governments all over the world has made life after the tsunami more bearable for the people in Aceh and Nias. Now, we are all delighted to see that Aceh is on the road to recovery and peace.
It is ironic but true that you need a heart touching disaster to bring peoples closer together. President Clinton was quoted as saying that one third of American households contributed to the tsunami victims, an unprecedented display of human solidarity and sympathy indeed.

Ladies and Gentlemen,
If you live here or visit for more than a few days, you must have observed how vibrant our democracy is. Almost every major issue – regional, national, or international – is openly and vigorously debated in public. Sometimes it takes the form of streets protests with a lot of noise and, regrettably at times, it is accompanied with violence. But if we are willing to see through all these, what is behind those dynamics, we observe progress, slow but unmistakable progress.
One such dynamic that must have raised a question in your mind is about the public attitude toward foreign investment. If you follow the media lately, some of you may get the impression that anti-foreigner and anti-foreign investment sentiment are on the rise in this country. Perhaps some of you may even have a sense that such negative attitudes are specifically directed toward Americans and American investments, and they are getting stronger.
I would submit to you that such a perception is not entirely correct. What we are actually seeing is democracy at work. What we see is a form that dominates substance. But there indeed is a substance in it, though it is not one of rising anti-foreigner, anti-foreign investment, anti-American and anti-American investment sentiment. In my view it is a form of growing awareness among the public here that business and economic activities by domestic or foreign companies must produce tangible benefits for the ordinary people especially those around the localities, not just for a small group of people. This, I think, is a legitimate demand and it can surely be accommodated without violating fair business practices and without spoiling the business and investment climate. The government and the business community can work together in earnest to meet such demands. But at the same time, it is important that the government must take a firm and clear stance toward unreasonable demands that eventually spoil the healthy business and investment climate in the country.
The government, and I think most of the thinking public here, believe that our future rests on our success in opening ourselves up to the world. The only route forward for us is to intelligently participate in globalization. Yes, some of us still see the specter of intense competition and rapid tempo of change with weary eyes. But deep in our heart we believe that closing our borders is not the solution. The best strategy is to prepare ourselves, our institutions, our people to meet squarely the challenges

Ladies and Gentlemen,
Now let me say something about US-Indonesia relations. As the oldest democracy, I am sure the US would like to see Indonesia progress well, as the third largest democracy and the largest one among Moslem nations. Our success will resonate strongly among other Moslem nations and Asian countries.
It is within this context, I look at the development of the bilateral relations between our two nations as very encouraging. The recent visit of Secretary Rice to Jakarta reaffirmed just that.
The two governments are committed to work together on issues of mutual interests such as the maintenance of international peace and security by defending freedom, advancing democracy, and promoting prosperity, as well as building a stronger relationship to support Indonesia’s economic reform and growth.
On economic relations, I am happy to see the renewed vigor in our cooperation within the US-Indonesia Trade and Investment Framework Agreement or the TIFA. I hope the Trade and Investment Council Meeting next month in Washington, DC will solidify the foundation for both sides to embark upon a more strategic economic relationship. On development cooperation, we welcome the US initiatives to help Indonesia to get access to the Millennium Challenge Account (MCA). Last but certainly not least, we welcome the steady recent revival of interest of US corporations to explore business opportunities in this country.
During my meeting with Secretary Rice, I asked her support to encourage American investors and businessmen to take part in our efforts to accelerate economic development. Dr. Rice’s response to the idea was forthright and she said that she would like to see more US investors come here, and hopes the two governments can work together to make corporations see what an extraordinary opportunity now emerges again in Indonesia after the difficult period of adjustment and transition after the crisis.
We fully understand that, on our part, Indonesia needs to make special efforts to improve our investment and business climate to attract more investment. On this, let me very briefly update you on Indonesia’s recent economic development and our policy priority to improve the investment climate.

Ladies and Gentlemen,
On the macro economic front things seem to be moving in the right direction. Economic growth is slowly but surely recovering. A 5.6% annual growth last year was still well below our pre-crisis performance, but it was the highest growth performance since the crisis. Barring exceptional circumstances we expect our economy to grow by close to 6 percent this year and in the range of 6 to 7 percent in the subsequent two to three years.
On the stability front the trend in the past 4 years has been toward sustainable
macroeconomic balances. Last year, due to both internal and external factors our financial markets experienced a short but sharp turbulence. But we are now witnessing a dramatic recovery from the set back. We believe that this recovery reflects a growing market confidence and the anticipation of a dramatic turn-around in growth later this year and next. The Rupiah is now trading at around Rp.9,100, per USD significantly stronger than the Rp.11,000 per USD level of only 6 months ago.
On the monetary policy front our independent central bank, Bank Indonesia, has been increasingly more adept in managing monetary and financial stability. In handling last year’s financial “mini crisis” for instance, Bank Indonesia took a decisive step by raising interest rate by over 5 percent in a series of moves beginning in mid 2005. Bank Indonesia has been consistent in its message, and reinforced in its policy, that its prime objective is to bring inflation down into single digits by the end of 2006 and to regional averages over the next few years.

Ladies and Gentlemen,
While growth and stability are necessary macroeconomic goals, what matters most to the ordinary people (and this is crucially important in a democracy) is whether there is any improvement in their welfare. One of most basic conditions for such improvement is the creation of more jobs and here we have our greatest challenge. The latest data indicate that the economy is currently adding a net 1.2 to 1.4 million jobs a year. However, with new additions to the workforce at approximately 1.6 to 1.8 million workers, we are not making progress, in fact we are losing ground especially when you factor in those already unemployed that need jobs.

Ladies and Gentlemen,
We understand that addressing the challenges of macro stability, economic growth and job creation requires an agenda with clear priorities. And most important for sustaining growth is to capitalize on the current momentum of increasing confidence to boost private investment. Let me now briefly turn to the reform strategy designed to do just that.

Reform Strategy
We have decided to adopt a three pillars strategy designed to create incentives for private investment. First, we need to address the investment climate issues that are faced by all firms including importantly the infrastructure sector. Second, we need to take steps to expedite the implementation of high profile cases that are important in their own right but maybe even more important for the perceptions they create. Finally, we need to address some issues in the financial sector to restart lending, facilitate access to financing and improve the structure of capital markets more broadly.
The first pillar is not difficult to describe as we have just issued policy packages in
infrastructure and investment that include numerous measures in multiple areas. In both cases these packages are based on numerous surveys and discussions with stakeholders which allowed us to identify areas where there are obstacles for all or almost all investors. From this list we created policy matrices where issues are dealt with according to a clear timetable and responsibility at the Ministerial level.
The two policy packages on infrastructure and investment aim at improving the
investment climate. The second pillar of the strategy of our reform involves the acceleration of some key outstanding high profile cases. These cases take special handling as they are important in and of themselves, and they often reflect unique circumstances to influence broader perceptions. Thus we have adopted a more proactive policy, for example in the case of the Cepu oil field project which was resolved last week. Earlier there was an agreement with Newmont on the civil charges around Buyat Bay. Currently, we are looking at the problems holding up the execution of 91 projects that we offered for investment in the infrastructure summit last year.
The final reform pillar includes access to credit at reasonable cost and appropriate
maturities. Financing is normally not an important problem for international investors but it is often a crucial one for domestic investors, especially for small and medium enterprises. The availability of adequate and reasonably priced sources of financing for small and medium enterprises is economically and politically important, and the more so because we have opted to take the democratic route to development. To do this we have agreed with Bank Indonesia that an additional package addressing financial sector reforms is needed and this is underway. We believe strongly that this third pillar is needed to support the reforms in pillars one and two.

Ladies and Gentlemen,
Let me close my remarks by commending USINDO for what it has done together with all “its supporters” to promote deeper and broader bilateral relations between the US and Indonesia.
It is therefore my profound hope that I would be able to count on your continued support for the next chapter of Indonesia’s maturing open-market democracy.

Thank you very much.

LINK EXCHANGE [2]

2006-03-20T00:58:00.000-08:00

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Bargain Priced Model Ships
Our model ships will call to mind the romantic open seas. They are expertly crafted and finely detailed to make exquisite home accents that would grace any nautical decor theme room. Our model ships are a must buy at our everyday low discount prices.
Great Selection of Angel Figurines at Bargain Prices
Our angel figurines would make lovely inspirational pieces to add to your curio or display case. Our collection of angel figurines are articulately crafted and finely detailed by the artisan, and are available at our everyday low discount prices.
Unique Night Lights
Our night lights will help guide your family through the darkness. They lighten up any room and would make a lovely addition to your home. The unique designs of these bold and finely crafted night lights make them perfect end table centerpieces.
Unique Oil Warmers
Our aromatherapy oil warmers will look great as a home accent as it permeates aromatic scents throughout your home. These uniquely designed and elegantly crafted oil warmers are the perfect solution to your aromatherapy needs and make great gifts.
Discount Priced Mantle Clocks
Our mantle clocks would make a fine addition to your mantelpiece. These elegant timepieces are working examples of the clockmaker's art. Our discount priced mantle clocks are uniquely crafted and finely detailed and would make great gifts.
Discount Priced Dolphin Gifts And Collectibles
Our dolphin gifts and collectibles might be exactly what you're looking for if you would like to send a dolphin gift to a loved one or are in search of new dolphin collectibles. These playful creatures will make a great addition to any home decor.
Bargain Priced Patriotic Lights
Our patriotic lights will brighten up your home and be a wonderful way to show your american spirit. Our patriotic lights include lamp and plate sets, nightlights, and lamps. These lights will bring life to your 4th of july celebration.
Unique Desktop Clocks at Great Prices
Our desktop clocks will help you to never miss an appointment again. These stylishly designed desktop clocks would look great in any home or office. Our discount priced desktop clocks are finely detailed and each one represents its own unique look.
Christian Home Decor Online Store
Our Christian home decor will display your spiritual faith to all who enter your home. Many of these finely crafted devotional works also contain prayers and quotes from the Bible. Our discount priced Christian home decor would make a great gift idea.
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Great Selection of Nautical Clocks
Our nautical clocks will give the seafarer a lovely decoration for living room, den or office. These elegant timepieces are finely crafted examples of the clockmaker's art. Our discount priced nautical clocks feature lighthouses, boats, and coasts.
Great Selection of Eagle Decor at Discount Prices
Our eagle decor will grace your living room, den, or office with the symbol of freedom and independence. We carry a large variety of various discount priced eagle decor such as a decorative plates, clocks, candle holders, lamps, and wall plaques.
Unique Gifts And Gift Ideas at Great Prices
Our gifts may be exactly what you're looking for if you would like to give a loved one a warm sentiment. There are discount priced gifts for everyone - from baby to grandparents - and every occasion - from valentines day to christmas.
Online Shopping for Miniature Figurines
Our miniature figurines make cute, little curios for a curio shelf or cabinet. These adorable accent pieces are intricately crafted and uniquely designed and available at our low, discount pricing. Our miniature figurines also make great gift ideas.
Wall Plaques
Our wall plaques make lovely home accents that are sure to fill those empty wall spaces with a stylish look. Our discount priced wall plaques are uniquely designed and finely detailed by the artisan to become a focal point of any room.
Unique Coffee Mugs at Great Prices
Our coffee mugs will help you start your day in a bright and cheerful mood. Our discount priced coffee mugs are handsomely designed and finely crafted to keep your hot beverages warm and your cold drinks cool. They also make the perfect gift idea.
Shop Online For Vases
Our vases include bud vases, decorative vases, glass vases, floor vases, ginger jars and urns. These lovely home accent pieces are articulately designed and crafted by the artisan and are available at our everyday low discount prices.
Christmas Angels at Our Online Store
Our christmas angels will make lovely festive decorations for your home or christmas tree. These finely crafted, discount priced christmas angels feature ornaments, tree top angels, plaques, candle holders, and figurines to name a few.
Unique Dolphin Figurines at Great Prices
Our dolphin figurines will bring these graceful creatures to life in your den or living room. Our large selection of discount priced, playful dolphin figurines, will make a wonderful addition to your dolphin collectibles.
Great Selection of Gifts For Girls
Our gifts for girls is a unique collection of gift ideas for the daughter, granddaughter, niece, or any special young lady on your shopping list. Our wide assortment of discount priced gifts for girls include girls room decor, jewelry and much more.
Corporate Gifts & Other Treasures
Our corporate gifts provide you with some of our best corporate gift ideas for personnel or corporate gift giving. Our discount priced corporate gifts consist of those that graciously express appreciation and other valuable sentiments.
Great Selection of Fish Figurines at Discount Prices
Our discount priced fish figurines and fishing related merchandise will bring one of life's most popular pastimes into your home. Our finely detailed fish figurines and fishing decor will make wonderful additions to your fishing collectibles.
Unique Cow Figurines at Great Prices
Our cow figurines will add to the classic country look of your home. We carry a varied selection of discount priced cow figurines and other cow decor such as a cookie jar, salt & pepper shakers, tea sets, key holder, clock and pens.
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Shop Online For Sports Figurines
Our sports figurines will bring an inspirational scultpture to any athlete's desktop. These fine pieces are crafted in intricate detail by the artisan to create a realistic looking action figure. Our discount priced sports figurines make great gifts.
Birdhouses
Our birdhouses will give your garden a unique resting place for the birds in your neighborhood. These discount birdhouses are well crafted and exquisitely designed to bring years of nesting pleasure for your feathery friends. A great gift idea too.
Unique Decorative Plates at Great Prices
Our decorative plates are an often overlooked, but lovely home accent pieces that can brighten up the decor of any room. Our discount priced decorative plates are handsomely designed and rest on a plate stand. They make a great gift idea.
Dinnerware
Our dinnerware will brighten your dinner table at any time of the day. With unique designs and our low discount prices, our dinnerware sets are truly a great buy. They also make great gift ideas for the homemaker in your life, or as a wedding gift.
Discount Priced Christmas Stockings
Our christmas stockings will make darling decorations to hang by your chimney with care this holiday season. Our plush christmas stockings feature the likes of santa, rudolph, and even snowmen. We have a unique selection available at discount prices.
Porcelain Figurines & Other Treasures
Our porcelain figurines are a finely crafted collection of elegant sculptures and curios that would make lovely decorations in any home. Our discount priced porcelain figurines make beautiful display pieces that could be cherished forever.
Indoor Fountains Online Store
Our indoor fountains will give your home that special feeling of peace and tranquility. We carry a wide variety of indoor fountains that are articulately crafted and designed, and are available at discount and wholesale prices.
Fine Selection of Dinnerware Sets at Bargain Prices
Our dinnerware sets are creatively styled and of the highest quality. Our designs range from quirky and whimsical to the refined, and are available at discount prices. We have a wide selection of finely crafted dinnerware sets to choose from.
Wall Cabinets & Other Treasures
Our wall cabinets are the answer to your storage and display problems in areas where space is limited. These finely crafted and uniquely designed wall cabinets are not only beautiful, but affordable at our everyday low discount prices.
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Garden Decor & More
We carry a large selection of unique and exquisite garden decor at discount prices. You'll find water fountains, garden sculptures, garden furniture, birdhouses, bird feeders, plant stands, wind chimes and a host of garden accents.
Coasters & More
Our coasters not only protect your tables and furniture, but they make a stunning addition to your home or kitchen decor. Our discount priced coasters are crafted with handsome designs so you have a place to rest your drinks in style.
Western Figurines at Our Online Store
Our western figurines will bring the spirit of the old west to your den or living room. The freedom of the open range is splendidly captured in each of our finely crafted and expertly designed works. Our discount western figurines make great gifts.
Shop Online For Coat Hooks
Our coat hooks are of unique and creative design that can not only hang coats, but hats, scarves, keys, and towels as well. With a wide selection of decorative coat hooks to choose from, you'll find one to go with nearly any home decor theme.
Unique Hummingbird Figurines at Great Prices
Our hummingbird figurines will add a touch of elegance and beauty to your home. The graceful hummingbird and delicate flowers make for a wonderful centerpiece. We carry a wide selection of discount price hummingbird figurines and other related items.
Shop Online For Cookie Jars
Our cookie jars with their vivid colors and finely detailed features make them a cheerful accessory for any kitchen counter. Our uniquely crafted porcelain and ceramic cookie jars are a great buy at our everyday low discount prices. Great gift idea.
Swan Figurines Online Store
Our swan figurines at will bring this graceful symbol of love into your home. Our artistically crafted swan figurines are made from glass and crystal. You're sure to find a discount priced swan figurine that will make a fine swan gift or home accent.
Cabinets at Discount Prices
Our cabinets would make handsome pieces to solve your display and storage needs. Whether you're looking for bathroom cabinets, corner cabinets, curio cabinets, media cabinets or storage cabinets, you'll find it here at our affordable discount prices.
Great Selection of Incense
Our incense assortments are ready and waiting to enhance your surroundings with lovely scents. Our incense will create harmony in your environment and is a must for a tranquil evening. We carry a wide selection of discount priced incense scents.
Bargain Priced Mens Watches
Our men's watches are boldy masculine and create a sense of complexity and an expesive look...at a discount price. Our stylish men's watches are water resistant and use quartz timing and are great for work or play. They also make great gift ideas.
Asian Decor at Discount Prices
Our Asian decor will bring the serenity and beauty of the Far East into your living room. The cultures and traditions are exemplified in each finely detailed decoration to create feelings of grace and harmony. Many great discount priced gift ideas.
Unique Bird Houses
A bird house will give the feathered friends in your neighborhood a beautiful and peaceful place to call home. We have a wide assortment of bird houses to choose from that are well built and available at discount prices.
Bath Sets at Our Online Store
We carry a large selection of bath sets and spa gift sets that include body lotions, shower gels, massage balms, bath sea salts, and soaps. We also have soap dish, dispenser, cup, and toothbrush holder sets. All at our everyday low prices.
Windchimes & Other Treasures
Our windchimes hum lovely tunes on those breezy days. These enchanting windchimes will make beautiful garden accents that will last for years to come. Our large assortment of discount priced windchimes make finding the perfect one easy.
Bargain Priced Candles
Our candles will not only make lovely home accents but also serve as aromatherapy candles. The unique designs of these beautifully detailed candles make them excellent additions to your home decor. Their scents also make them great for aromatherapy.
Bargain Priced Nfl Merchandise
The NFL merchandise found in our NFL store are a great way to show your team dedication on game day. Our discount priced NFL merchandise make a great gift idea for your favorite football fan that is sure to score a touchdown.
Earrings & Other Treasures
Our earrings will give you or that special lady in your life a touch of elegance and style. Look like a million bucks without breaking your bank account with the uniquely designed and finely crafted earrings that are available at our discount prices.
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Mexican Decor
Our Mexican decor make the perfect home accents for any room with a Spanish decorative theme. The bright colors of chili peppers and gracious sentiments are common in the merchandise of our Mexican decor collection. They also make great gift ideas.
Christmas Ornaments & Other Treasures
Our christmas ornaments will add a touch of beauty to your christmas tree this holiday season. Our elegantly detailed christmas ornaments feature santa, snowmen, angels, snowflakes, and even a nativity scene. You will also love the discount prices.
Magazine Racks & More
Our magazine racks will hold all of your favorite subscriptions with style, while reducing the clutter on the coffee table. These magazine racks exemplify the craftmanship of the artisan with an elegant, yet sturdy design. They make great gift ideas.
Candle Chandeliers at Bargain Prices
Our candle chandeliers will help you drench your home with a mood setting, romantic candlelight. Our discount priced candle chandeliers include shabby elegance, wrought iron, acrylic drops, and leather styles. They also make great gift ideas.
Online Shopping for Clocks
Our clocks would grace any wall, desktop, or mantle. Our huge selection of discount priced clocks are articulately crafted and uniquely designed. Our decorative clocks include antique look clocks, desktop clocks, kitchen clocks, wall clocks and more.
Discount Priced Pocket Knives
Our pocket knives would make a great addition to any enthusiasts collection. Our discount priced pocket knives are crafted with designer finish handles and stainless steel blades and include switchblade knives, multifunction and defefenders knives.
Online Shopping for Holy Crosses
Our holy crosses are not only great inspirational works that proudly show your faith, but are gorgeous home accents too. Our wide selection of discount priced holy crosses are designed with intricate detailing to become great faith inspired creations.
Unique Taper Candles
Our taper candles make lovely home accents and are made available for use with our candle holders. These discount priced taper candles come in tall and short varieties, as well as scented and unscented. Great for aromatherapy or as gift ideas.
Bath And Body & Other Treasures
Our bath and body gifts go beyond bed and bath with a wide selection of exquisite bath and beauty products. Our extravagant assortment of discount priced products for bath and body works miracles on your skin and we have many scents to choose from.
Shop Online For Gifts For Boys
Our gifts for boys is a collection of unique gift ideas for that special young man on your shopping list. We have many great discount priced gifts for boys to choose from, so finding a gift that he'll always enjoy and never forget is a snap.
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Bargain Priced Incense Holders
Our incense holders will not only fill your home with aromatic fragrance, but also look great doing it. Our uniquely designed and discount priced incense holders are the perfect solution to your aromatherapy needs and make great gift ideas.
Country Home Decor Online Store
Our country home decor will take you back to yesteryear at a time when life was simpler. Inspired by scenes of barns, dirt roads, horses and the family pet, our beautifully designed country home decor will make your guests feel right at home.
Fine Selection of Welcome Signs at Bargain Prices
Cordially invite your family and friends to your home or garden with an exquisitely designed welcome sign. We carry a large selection of decorative welcome signs and a wide variety of other types of garden decor and accents at discount prices.
Wedding Gifts & Other Treasures
Our wedding gifts provide you with our best wedding gift ideas including fairy tale photo frames, extravagant accents, gorgeous goblets laden with radiant beads and elegant figurines that capture the essence of a newly married couple's love.
Great Selection of Lawn Ornaments at Bargain Prices
We carry a large selection of decorative lawn ornaments at discount prices. Look no further if you would like to find lawn ornaments for your yard and garden that are both exquisitely designed, yet affordable.
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Unique Gifts For Dad
Our gifts for dad are a great collection of unique gift ideas for dad for Father's Day, his birthday, or just to show him how much you care. Our discount priced gifts for dad include accessories for his desk and decor for his office or den, and more.
Mothers Day Gifts & Other Treasures
Our Mother's Day Gifts will give you the opportunity to express your feelings and emotions that are often understated, but never forgotten. Show mom how much you care by giving her a unique gift of love from our online store this Mother's Day.
Fine Selection of Southwest Decor at Discount Prices
Our southwest decor is filled with home accent pieces that are reminiscent of the Southwestern America desert and the Native American art of the region. Our discount priced southwest decor is intricately crafted and uniquely designed by the artisan.
Your Best Source For Jewelry
Our jewelry allows you to accessorize without breaking your bank account. You're sure to find something that will make a perfect addition to your jewelry collection. We carry discount priced jewelry such as watches, rings, earrings, and bracelets.
Giraffe Figurines
Our giraffe figurines will bring the energy of the serengeti into your home. Tall and elegant, these giraffe figurines will make for a unique home accent for your shelf, bookcase, or desk. We carry a wide selection of discount priced giraffe decor.
Bargain Priced Wall Clocks
The wall clock store offers a large variety of wall clocks ranging from wooden pendulum clocks to kitchen clocks. Their everyday low discount prices simply can't be beat.
Online Shopping for Curio Cabinets
Our curio cabinets will hold all of your treasures, trinkets, collectibles and figurines with elegant style. These elegantly proportioned curio cabinets will graciously accent your favorite room. They are available to you at our low discount prices.
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Online Shopping for Candle Lamps
Our candle lamps will lighten up any room in your home with a warm glow. The unique designs of these finely crafted candle lamps are simply breathtaking. Our discount priced lamps would make great gift ideas or beautiful home accents.
Fine Selection of Bird Feeders at Discount Prices
Our bird feeders will give your feathered friends a cozy place to eat and rest. Our bird feeders are both uniquely designed, as well as affordable. We carry a large selection of bird feeders to help make your outdoor decorating both fun and easy.
Unique Bathroom Shelves
Our bathroom shelves not only make handy storage places for bath supplies, but add a touch of elegance to the room. They also make great display areas for curios and figurines. Our everyday low discount prices make these bathroom shelves a great buy.
Discount Priced Candelabras
Our candelabras will provide a grand display piece for your living room or den. Our ornately designed candelabras will make an enchanting addition to your home. These discount priced candelabras also make great gift ideas.
Fine Selection of Gift Boxes at Bargain Prices
Our gift boxes make wonderful displays, but are even better when the hold a gift that comes straight from the heart. Our discount priced gift boxes are handsomely decorated with unique designs to make any gift seem that much more special.
Unique Home Furnishings at Great Prices
The home furnishings store is filled with quality merchandise that is both unique and affordable. We carry a large selection of discount priced home furnishings to make your indoor decorating both fun and easy.
Lion Figurines at Discount Prices
Our lion figurines are regal creations that display the ambience and elegance of the "king of beasts". In all their royal splendor, our discount priced lion figurines and decor will make great accents for your home and garden.
Fine Selection of African Decor at Bargain Prices
Our African decor consists of beautiful works of art, decorations and home accents based on an African design theme. These finely crafted, discount priced items will bring an aura of the African tribal culture into your home.
Shop Online For Necklaces
Our necklaces will allow you or that special lady in your life to accessorize in style and elegance and at an affordable discount price. Our unique collection of necklaces are finely crafted and richly detailed to give the look of class and beauty.
Perpetual Calendars at Discount Prices
Our perpetual calendars make unique home accent pieces that add a touch of country style to a room. Our discount priced perpetual calendars are finely crafted and contain a clock so you're never at a loss for the date or time. Make great gift ideas.
Wind Twirlers at Bargain Prices
Our wind twirlers will make a great yard accessory. Sold in packs of six, these wind twirlers come in assorted styles and colors and feature a twist design. They will catch the light and create a colorful, fluctuating effect as they spin in the wind.
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Scented Candles Online Store
Our scented candles are a great way to meet all of your aromatherapy needs by providing fresh aromatic fragrances. Our discount scented candles also make lovely decorative candles that will add an elegant touch to your home. Many scents available.
Your Best Source For Pendulum Clocks
Our pendulum clocks will add a distinctive touch of elegance to your home. Our exquisitely designed pendulum clocks are finely crafted and feature quartz movement for superb accuracy. These discount priced pendulum clocks would make great gift ideas.
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Unique Key Holders at Great Prices
Never again forget where you placed your keys with one of the many key holders found here. A great home accent, our key holders are uniquely designed in many different styles and themes to go with most home decor themes. Also a great gift idea.
Bathroom Cabinets
Our bathroom cabinets will add a lovely touch of elegance to your bath. Our discount priced bathroom cabinets include vanity cabinets, wall cabinets, medicine cabinets, linen cabinets, and floor cabinets to name a few.
Fathers Day Gifts at Bargain Prices
Our Father's Day Gifts are a wonderful collection of great gift ideas for dad on his special day. We have a huge selection of discount priced Father's Day gifts to make finding the perfect gift for dad both fun and easy including tools, and more.
Shelves Online Store
Our shelves not only make a handy place to store your belongings and display pieces, but they make lovely home accents as well. We carry a wide selection of discount priced bathroom shelves, corner shelves, curio shelves, display shelves and more.
Discount Priced Southwestern Decor
Our Southwestern decor is inspired by traditional Southwest art that features the cactus, bull skulls, and Native American art including Kokopelli. These discount priced home accents are uniquely designed to bring an aura of the desert to your home.
Beach Decor & More
Our beach decor will combine a splash of sunshine with the azure waves of the ocean to bring the feel of surf and sand to your home. These discount priced home accents will add color and seaside fun to any room. Great gift ideas for the beach lover.
Beach Decor & More
Our beach decor will combine a splash of sunshine with the azure waves of the ocean to bring the feel of surf and sand to your home. These discount priced home accents will add color and seaside fun to any room. Great gift ideas for the beach lover.
Unique Tea Sets at Great Prices
Our teas sets are a decorative collection of teapots, creamers, and sugar bowls. Our discount priced tea sets are uniquely designed and intricately detailed to provide beautiful kitchen decor pieces to your tea time. They make great gift ideas too.
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Great Selection of Tropical Decor at Discount Prices
Our tropical decor will add a taste of the South Seas and infuse the feeling of relaxed luxury into your den or living room. Palm trees, pineapples, wicker and surfboards are a common site in this unique collection of discount priced home accents.
Fine Selection of Leopard Figurines
Our leopard figurines would be a sight to behold in your den, foyer, or living room. This most graceful of felines, the leopard, will make a lovely addition to any safari collection. We carry discount priced leopard figurines and other leopard items.
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Great Selection of Christian Gifts
Our Christian gifts consist of an exquisite collection of sculptures, candleholders, plaques, clocks and angels that stir the soul with grace and beauty. You can find glorious scenes of the life of Christ depicting milestones from birth to ascension.
Shop Online For Country Decor
Our country decor will bring back feelings of a more quiet time when farms were prevalent and families seemed closer. Our discount priced country decor features barns, farm animals, fruit and other nostalgic decorations and home accents.
Safari Candles Online Store
Our safari candles are a great way to bring a touch of the serengeti to your home. The discount priced safari candles we carry are designed with the african nature lover in mind and include tiger, zebra, giraffe, leopard, and snakeskin themes.
Led Lights & Other Treasures
Our LED lights have a luminous secret. They turn into an enthralling light show as luscious colors slowly change, illuminating them from inside out. Our delicately sculpted led lights make a beautiful display. They also make for great gift ideas.
Unique Wind Chimes
The soothing sound of wind chimes can be heard around your home and garden with an exquisite and uniquely designed set of these music makers. Our wind chimes are designed to last and are available at discount prices.
Discount Priced Corner Cabinets
Our corner cabinets will bring understated elegance to your storage needs. These delicately crafted corner cabinets are made of wood and safely store your most cherished items. Our discount priced corner cabinets provide storage for smaller spaces.
African American Figurines at Discount Prices
Our african american figurines are in styles that vary from folk art to fine art. Our finely detailed african american figurines are carefully sculpted by the artisan to make them wonderful home adornments. They also make great gift ideas.
Shop Online For Kitchenware
Our kitchenware will provide your kitchen with sturdy cookware and decorative décor. Our discount kitchenware items include long-lasting and non-stick cookware, stainless steel cutlery, barbecue sets, baskets, cookie jars, and salt & pepper shakers.
Monkey Figurines at Discount Prices
Our monkey figurines will show your guests that you're not afraid to "monkey around". Our monkeys, chimps, and chimpanzees are displayed in the classic "see no evil, hear no evil, speak no evil", with palm trees, playing cards and many other poses.
Fine Selection of Media Cabinets
Our media cabinets are elegantly designed pieces of furniture that fit beautifully in almost any entertainment area. These sturdy media cabinets will graciously hold your CD's and DVD's with style. Discount priced, but look like pieces costing more.
Your Best Source For Golf Gifts
Our golf gifts make wonderful additions to the decor of any room, office, or desk. Never miss tee time with our handsome golf clocks and decorate dad's desktop with one of our unique golf themed desk accessories. They also make great gift ideas.
Unique Home Decor
Our home decor comes in many different styles and fashions. We carry a large selection of discount priced home accents to make your interior decorating both fun and easy. Shop for home decor by item category, by theme, or by room.
Aromatherapy & Other Treasures
Our aromatherapy products will bring scents and fragrances to your home that range from sensual to energizing. Our aromatherapy products, such as incense, essential oils, and candles, are just the thing for setting moods or relieving stress.
Online Shopping for Tealight Holders
Our tealight holders will make a handsome home decoration while emitting an enchanting flame. Our uniquely designed and discount priced tealight holders include eagle, angel, heart shaped plaques, hurricane lanterns, and photo frame styles.
Great Selection of Frosted Glass Figurines at Discount Prices
Our frosted glass figurines will bring the elegant beauty of these precious works of art into your home. Our intricately detailed frosted glass figurines are carefully sculpted by the artisan. They also make great gift ideas for friends and family.
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Fine Selection of Solar Lights
Our solar lights gather energy by day and provide light at night. These handsome solar powered sculptures make a distinctive garden decoration when the sun is up and will shine for up to 8 hours even after the sun has set. They also make great gifts.
Fine Selection of Christmas Lights
Our christmas lights will enlighten any christmas tree or family room. Not only do we have a set of musical christmas lights, but also multicolor figurines and lighted scenery as well. Our discount priced lights make great gifts as well.
Patriotic Clocks Online Store
Our patriotic clocks are a charming way to show your patriotism and appreciation for the united states. All the mighty symbols of freedom, including the proud eagle and american flag, adorn these stately clocks. They make great 4th of july decor.
Glass Figurines at Discount Prices
Our glass figurines would make a stunning addition to any curio or display shelf. There's something soothing and peaceful about a delicate glass creation. Our discount priced glass figurines are carefully crafted and finely detailed by the sculptor.
Fairy Figurines at Bargain Prices
Our fairy figurines will bring a storybook fantasy to life in your living room or girls bedroom. Delicately crafted and finely detailed, our winsome sprites make adorable home accents. At our everyday low discount prices, they make a great gift idea.
Wall Art at Discount Prices
Our wall art collection is filled with exquisite works that are sure to add a touch of elegance to your living room or den. Our discount priced wall art consist of articulately crafted paintings, wall murals, plaques, shadow box art and much more.
Great Selection of Christmas Gifts
Our Christmas Gifts collection contains some of our best Christmas gift ideas. Our entire website is filled with finely crafted and exquisitely designed merchandise that, at our everyday low discount prices, would make great Christmas gifts.
Online Shopping for Bird Figurines
Our bird figurines will make handsome additions to your figurine collection. Whether your looking for eagles, hummingbirds, roosters, swans or owls, you'll find them here. We carry a unique and wide selection of discount priced bird figurines.
Japanese Decor & More
Our Japanese decor will bring the grace and elegance of the Orient into your home. Our Oriental themed decor and home accents are richly detailed and finely designed to help bring this culture to life in any room featuring a Japanese decor theme.
Great Selection of Lighthouse Figurines
Our lighthouse figurines will bring the beacon of safety for seafarers into your home. Glowing with coastal charm, our discount priced lighthouse figurines make great nautical decor and gifts for the sea lover in your life.
Fine Selection of Floor Lamps at Discount Prices
Our floor lamps will brighten up any room and be a lovely addition to your home or office. The elegant designs of these sturdy and finely detailed floor lamps are indeed breathtaking. Our discount priced lamps would also make a great gift ideas.
Fine Selection of Floor Lamps at Discount Prices
Our floor lamps will brighten up any room and be a lovely addition to your home or office. The elegant designs of these sturdy and finely detailed floor lamps are indeed breathtaking. Our discount priced lamps would also make a great gift ideas.
Fine Selection of Birthday Gifts
Our birthday gifts are unique items that say Happy Birthday! in their own special way. If your tired of the usual birthday card, then send them a cheerful birthday gift instead to go with an item that takes into account their interests and character.
Elephant Collectibles at Bargain Prices
Our elephant collectibles and decor will add the accents of an african jungle safari to your home decor. We carry a fine selection of various elephant decor such as candle holders, clocks, and much more all available at discount prices.
Fine Selection of Decorative Candles at Bargain Prices
Our decorative candles make lovely home accents and stunning table centerpieces. Our discount priced decorative candles are finely crafted and uniquely designed and will look great with your home decor. They also make great gift ideas.
Games & Other Treasures
Our Games are sure to challenge both young and old alike, and keep them entertained for hours on end. Our discount priced collection of games include exquisite looking chess sets, backgammon, puzzles, tic tac toe, and recreation room games.
Bargain Priced Lighthouse Decor
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2006-03-19T23:10:00.000-08:00

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PENGHAPUSAN PENCADANGAN USAHA INDUSTRI KOMPONEN KENDARAAN BERMOTOR DI INDIA

2006-03-14T18:33:00.000-08:00

Pemerintah India merencanakan mengurangi kategori pencadangan usaha industri komponen kendaraan bermotor bagi industri kecil, termasuk juga di industri farmasi, kertas, permesinan, plastik serta kimia. Kebijakan anggaran yang baru mengindikasikan bahwa akan dikeluarkan 108 usaha industri dari 506 daftar usaha pencadangan usaha industri yang khusus diperuntukan bagi industri kecil. Kementrian industri kecil menyampaikan bahwa hal ini akan diberlakukan dalam beberapa bulan mendatang dan telah dibahas bersama dengan para stakeholder.Sekitar 2 atau 3 kategori diperkirakan tetap dicadangkan sedangkan sisanya dikeluarkan dari pencadangan 33 usaha industri dibidang farmasi. Demikian juga dari 67 industri dibidang kimia dan produk kimia, dari 36 industri di bidang komponen kendaraan bermotor, dari 19 industri di bidang produk kertas, dari 137 industri dibidang peralatan permesinan, serta dari 53 kategori usaha dibidang industri produk plastic, mayoritas tidak dicadangkan lagi bagi industri kecil. Dasar perubahan kebijakan ini sebagaimana diutarakan pejabat pemerintah adalah untuk memberikan ruang gerak pengembangan usaha karena tingginya permintaan pasar, Serta telah banyak perusahaan besar yang bergerak pada jenis industri tersebut dengan modal dan skala besar sehingga tidak mungkin lagi diperuntukkan bagi pencadangan usaha industri kecil. Meskipun demikian masih terdapat sekitar 326 kategori pencadangan usaha bagi industri kecil.

Sources: Deaprtement Perdagangan -RI

USAHA BARU KHUSUS EKSPOR MENDAPAT TAX HOLIDAY 10 TAHUN KE INDIA

2006-03-14T18:13:00.000-08:00

Kementrian Perdagangan dan Industri India sedang merancang paket kebijaksanaan insentif bagi usaha berorientasi ekspor (Export Oriented Unit, EOU) yang akan dituangkan dalam kebijakan ekspor impor yang baru. Paket yang telah dibahas bersama dengan aparat perpajakan akan memberlakukan batasan waktu baru bagi pemberian tax holiday yang serupa dengan yang diberlakukan pada special economi zones (SEZ). Tax holiday yang berlaku saat ini dan berjangka waktu 10 tahun akan berakhir pada tahun 2009 untuk sekitar 2100 unit EOU di seluruh India.Pejabat pemerintah mengatakan bahwa peraturan tax holiday saat ini tidak efektif bagi pengusaha baru karena hanya sampai tahun 2009, sehingga waktu efektif hanya 3 tahun lagi. Untuk itu kebijakan baru tidak menetapkan dalam batasan tahun berakhirnya tax holiday namun dalam batasan perioda 5 s/d 10 tahun. Insentif EOU mempunyai keuntungan dibandingkan SEZ karena dapat tidak tergantung lokasi yang telah ditentukan namun dapat dilaksanakan di berbagai tempat dimana usaha itu berada. Kebijakan lainnya yang juga akan dikeluarkan terkait dengan EOU adalah pembebasan pembayaran atas pajak pusat dan pajak pelayanan. Kebijakan anggaran yang baru juga telah menurunkan Tarif Bea Masuk (tbm) dari 50% menjadi 25 % dari kawasan EOU ke dalam negeri namun menaikan pajak lainnya tersebut dari 50% menjadi 100%.

Sources: Departemen Perdagangan - RI

INDONESIAN EXPORT AT RISK AMID PERSISTENT ALLEGATIONS

2006-03-06T18:47:00.000-08:00

Anissa S. Febrina, The Jakarta Post, Jakarta
With the failure to properly address recurring transshipment and dumping allegations against Indonesian businesses, analysts say the government should learn that it's better to act now than pay later.
The long overdue response to complaints from Indonesia's trade partners -- especially the United States -- on rampant illegal transshipment of textiles and shrimp, as well as dumping allegations on paper products, puts future exports of the commodities at risk.
The U.S. has threatened to impose premium import duties on exports of textiles and to temporarily halt imports of shrimp from Indonesia due to suspicions the commodities originated from China and Thailand.
"There is an immediate need to curb illegal transshipment and respond to dumping allegations to avoid exports of the commodities from being banned entirely," Centre for Strategic and International Studies economist Yose Rizal Damuri said last week.
Transshipment, a legal measure in the ordinary course of business, becomes an unlawful practice when undertaken to circumvent trade laws and other restrictions applicable to the shipment.
The U.S. imposed a quota on imports of China's textile and garment products last year. Since then, exports of the products from Indonesia to the U.S. have increased significantly.
"Chinese manufacturers choose Indonesia because it is easier to obtain an illegal certificate of origin (COO) here," Damuri said.
Illegal transshipment involves claiming a false COO to circumvent quotas, avoid paying higher duties such as antidumping or countervailing duties or to receive benefits from special trade programs.
Unlawful transshipment can establish an erroneous restraint level on a host country based on the level of unlawful transshipped goods, thereby restricting legitimate manufacturers.
The Trade Ministry limits the issuance of the COO to specific areas, such as Java, North Sumatra, Batam and Bali.
However, it is still easy to acquire a fake COO in Indonesia, a source close to the ministry said, "for only US$3,000 to $4,000".
Damuri said the government should impose strict sanctions on those proven to have done such criminal conduct.
Meanwhile, for lined-paper products, the U.S. Department of Commerce said that it was conducting further investigations on alleged dumping of the products.
A country can impose antidumping duties on products sold at a lower price than the price on the home market to protect its own industry.
The Trade Ministry's director for trade safeguard, Martua Sihombing, said the government had sent a letter denying the dumping allegations from the U.S.
"The private sector must work very closely with us in this matter to be able to pass the investigation phase and prove that we did not take such a (protective) policy, or it would hamper our exports' sustainability," Martua added.
In 2003, the U.S. Department of Commerce imposed antidumping import duties on farm-raised shrimp from China, Thailand, Vietnam, India, Brazil and Ecuador. Four Indonesian companies were under investigation for alleged transshipment of the products from China and Thailand. Then fisheries minister Freddy Numberi said that his office would revoke licenses of the companies if they were proven to have committed illegal practices, Antara newswire reported.

USE FULL LINK FOR MARKET INFORMATION

2006-03-06T02:32:00.000-08:00

Countries
CIA World Factbook with regional maps and profiles of all countries.
Eldis Country profiles, focus on information related to development.
Eurostat Statistics on European Union countries.
OECD Economic, social, and infrastructure data on industrialized countries.
UNCIJN International crime-related statistics and survey data.
UNICEF Country profiles and children-related information (various sources).
US Census Bureau Demographic and socioeconomic data for 227 countries.
WomenWatch UN statistics and indicators on women; summary of findings in major report.
World Bank World Development Indicators for 206 countries.

Culture
UVA Information and resources on religious movements (U.S. and international).
World Values Survey Some data and analysis from survey of public beliefs, 66 countries.

Development
Eldis Gateway to development information.
World Bank Links to World Bank development data and reports.

Economics
Handbook of International Economic Statistics, 1998 World, regional, and country data.
IMF IMF research and links to World Economic Outlook.
Penn World Tables Economic data on 152 countries, 1950-1992.
US-Foreign Trade Comprehensive statistics on U.S. foreign trade.
Yardeni/Oak Associates, Ltd. Current economic indicators and analysis.

Education
NCES Some comparative data on education (mainly OECD).
UNESCO World educational statistics.

Environment
CIESIN Center for International Earth Science Information Network, various data sources.
FAO International data on food production, land use, nutrition.
UNEP Global environmental trends and world resources data.

Health
CIHI International data on health, population, and nutrition.
DHS Demographic and health survey data, 50+ countries.
UNAIDS Epidemiological data and reports on HIV/AIDS.
WHO Comprehensive health indicators and health-related data.

Inequality, poverty
Luxembourg Income Study Income-related data on 25 countries.
WIDER UNDP World Income Inequality Database.
World Bank International data and analysis.

Politics
COW List of wars; datasets for scholarly use from Correlates of War project.
FSU Links to datasets for scholarly use on international politics and conflict.
Lijphart National legislative elections data for 26 countries.

Population
UN-Population Division World population data and trends.

Various
CESSDA Catalogue and maps of social science data archives.
GaWC Data on world cities and city links.
ICPSR Many data sets (international and U.S.) for scholarly use.
Minorities at Risk Minority group data; dataset on ethnic conflict for scholarly use.
UCSD Metasite with links to many social science datasets, archives, and gateways.

WHY INVEST TO BRAZIL???

2006-03-05T19:57:00.000-08:00

Sources: http://www.braziltradenet.gov.br/
Economically, because the country:

occupies an area of over 8.5 million km2;
has a population of 170 million inhabitants and an economically active population of 90 million people;
presents a birth rate of 2.5 million people per year;
is a gateway to Mercosur;
borders ten countries: Argentina, Bolivia, Colombia, French Guiana, Guiana, Paraguay, Peru, Suriname, Uruguay and Venezuela;
is one of the world’s ten largest economies;
has the largest and most diversified industrial park in Latin America and the Caribbean;
is the world’s largest producer of coffee, oranges and sugar-cane;
is home to the largest forest based industry in Latin America;
is one of the largest producers and exporters of rough and processed ore;
has large reserves of iron ore, bauxite, manganese, tin and gold;
is among the world’s top generators of electric energy;
offers an excellent railway and waterway system, alongside a vast coastline, with several harbors;
is among the world’s top producers of foodstuffs;
has one of the most modern telecommunications systems;
has one of the most modern and cutting-edge bank systems in the world;
has an installed capacity of 32.4 million tons;is a large producer of consumer goods;
has a modern and competitive textile industry, with 30 thousand companies that trade US$ 21 billion per year;
has 22% of the world’s arable land;
offers excellent tourism infrastructure;
is visited by more than 5 million foreign tourists every year;
is the world’s first producer of commercial jets;
is the third largest producer of shoes in the world, with a highly competitive leather industry;
is third among the producers of soda drinks;
is the fourth largest producer of commercial aircraft in the world;
has the fifth rubber industry;
is the sixth largest market for cosmetics, with US$ 9 billion of sales per year;
has the seventh largest chemical industry;
is the eighth largest producer of steel in the world (27 million tons per year);
is the tenth largest producer of automobiles (1.8 million vehicles per year);
has the tenth largest paper and cellulose industry.

Culturally, because the country:

is peaceful and multiracial;
respects immigrants and their creeds.

Politically, because the country:

sustains a democratic regime;
sustains stable public institutions, as the Chamber of Deputies, the Federal Senate and the courts of law;
is free of conflicts, defends international law and promotes peace and progress among nations.

INDUSTRY AWAITS FOR GOVERNMENT SUPPORT FOR JAPAN TEXTILE LOAN

2006-03-01T22:29:00.000-08:00

Posted by: nafed on Tuesday, January 24th, 2006 15:08:42

Japan Textile has expressed interest in helping Indonesian textile companies with newer generation spinning and waving machinery. A loan commitment by the federation could help revitalize Indonesia’s ailing textile industry, as long as the government is willing to guarantee the loan. It was revealed by The Indonesian Textile Association (API) as quoted by The Jakarta Post daily (14/1).
“We have filed a proposal for some US$ 3 billion worth of machinery and Japan has agreed as long as the government is willing to guarantee (the loan)”, API Secretary General, Ernovian G. Ismy, said on Friday. Japan, along with the United Sates and European Union countries, is currently the largest importer of Indonesian textiles and garments, with several companies here producing textiles under Japanese brands.
Exports of textiles and garments to Japan accounted for almost 30 percent of the US$ 7.6 billion in total export revenue Indonesian manufacturers booked in the first 11 months of 2005.
The possible soft loan, Ernovian said, could be used to start revamping the aging production facilities of textile companies in West Java.
“They offered a 4 percent interest rate as long as we can guarantee the financial health of the companies receiving the machines”, he said.
However, the government is still assessing the feasibility of the offer in order to avoid problems in the future, an official at the Ministry of Industry said.
“We have to be sure the textile companies can solve their internal problems first”, said Ansari Bukhari, the Ministry’s Director General for Textile sector.
Ansari added the loan would have to be made on a government-to-government basis, thus requiring prudent assessment beforehand.
An evaluation by the Ministry of Industry found that half of the machinery at Indonesian textile companies was more than 15 years old, causing inefficiency and lowering the price competitiveness of Indonesian products.
The ministry estimated a first phase af revitalization would cost Rp 5 trillion. Enorvian said newer generation spinning could produce 50 percent more yarn every hour compared to older machines.
Textile companies have had difficulty seeking loans as local banks doubt the capacity of the firms to repay the money considering their weak financial condition.
“The already ailing companies cannot afford to pay the high interest rates, ranging from 14 percent to 18 percent”, Ernovian explained, hoping the ministry’s textile restructuring team could help lobby for lower interest rates. Ansari, however, said such treatment would be discriminatory and the details of the loans would need to be discussed on a case-by-case basis.

BRASIL SEBAGAI PASAR EKSPOR INDONESIA

2006-02-28T20:44:00.000-08:00

Kegiatan ekspor merupakan salah satu sumber penghasil devisa bagi Indonesia. Perkembangan ekspor Indonesia sejak terjadinya krisis moneter di akhir tahun 1997 mengalami perkembangan yang pasang surut. Sebenarnya kalau kita telaah tren perkembangan ekspor Indonesia sejak tahun 1998-2001 cenderung stagnan. Seperti yang kita ketahui bahwa selama ini tujuan pasar ekspor Indonesia hanya mengutamakan pasar ekspor tradisional. Tujuan pasar ekspor tradisional Indonesia adalah Jepang, Amerika Serikat, negara-negara Eropa Barat, Asia Tenggara, dan Asia Timur. Untuk itu, dalam upaya meningkatkan nilai ekspor, langkah yang bisa diambil salah satunya adalah dengan cara mengembangkan tujuan pasar ekspor di luar pasar ekspor tradisional.

Alternatif negara tujuan ekspor selain pasar ekspor tradisional adalah negara-negara “emerging market”. Negara-negara yang termasuk golongan negara emerging market diantaranya adalah Cina, Korea Selatan, Malaysia, Taiwan, Argentina, Meksiko, Brasil, Chile, Timur Tengah dan beberapa negara Eropa Timur.

Sebagai pertimbangan alternatif pengembangan pasar ekspor Indonesia adalah kawasan Amerika Selatan yang merupakan salah satu kawasan “emerging market”. Dasar pertimbangan lain dalam memilih kawasan Amerika Selatan sebagai tujuan pasar ekspor produk Indonesia, karena negara-negara di kawasan ini merupakan negara-negara yang memiliki pasar yang besar dan pendapatan perkapita yang tinggi. Di antara negara-negara Amerika Selatan, Brasil adalah merupakan mitra dagang utama Indonesia, hal ini dapat dilihat dari nilai ekspornya yang terbesar dari negara-negara Amerika Selatan yang lain. Selain itu, Brasil merupakan pasar yang menarik bagi ekspor Indonesia, karena negara ini merupakan negara yang luas, memiliki penduduk yang besar, dan merupakan negara industri yang sedang berkembang. Selain itu daya tarik dari negara ini adalah merupakan market entry yang strategis untuk pasar kawasan Amerika Selatan, yang diantaranya juga memiliki potensi yang besar untuk pasar ekspor Indonesia.

Hasil penelitian pada karya akhir ini mengindikasikan bahwa Brasil memiliki potensi yang bagus bagi pengembangan tujuan pasar ekspor Indonesia. Potensi yang dimiliki oleh Brasil adalah memiliki kombinasi jumlah penduduk dan luas negara yang besar, merupakan pasar yang besar sedang tumbuh, merupakan pasar yang bebas dan terbuka, dan memiliki nilai strategis bagi entry pasar negara-negara Amerika Selatan.

Diindikasikan pula pada hasil penelitian ini bahwa hambatan-hambatan perdagangan ke Brasil secara prinsip dapat diatasi oleh para eksportir Indonesia. Kemudian juga didapati kendala yang paling sering dihadapi eksportir Indonesia ke Brasil seperti kurangnya ketersediaan informasi mengenai Brasil, serta tidak pernah adanya upaya dari pemerintah Indonesia atau Brasil untuk melakukan misi/promosi dagang.

Indikasi yang terakhir dari analisis penelitian ini bahwa produk Indonesia yang berpeluang bagus untuk diekspor ke Brasil adalah produk-produk: textile yarn seperti polyester dan nylon yarn, produk olahraga, dan komponen peralatan elektronik. Untuk pasar Brasil produk-produk tersebut mengalami persaingan yang didominasi oleh Cina untuk produk textile yarn dan olahraga; serta oleh Jepang dan Korea Selatan untuk produk peralatan elektronik dan komponennya.

Untuk upaya mengatasi kendala kurangnya ketersediaan informasi tentang Brasil bagi eksportir, usaha yang paling nyata adalah menyarankan kepada BPEN untuk bekerjasama dengan kedutaan Indonesia di Brasil dan Kedutaan Brasil di Indonesia untuk menyediakan informasi tersebut. Atau diharapkan adanya sikap proaktif dari eksportir untuk mencari informasi mengenai Brasil dari Kedutaan Indonesia atau Brasil, Kamar Dagang Indonesia-Brasil, serta dari sumber di internet.