Indonesia Indonesian Economy News and Updates

[Madokafc]

Indonesian trade exhibition draws US$73 M in transactions from Egypt​

5 hours ago



Illustration - Paratroopers hover over the Great Pyramid during an air sports festival in Giza, Egypt, on November 8, 2020. ANTARA / Xinhua / Ahmed Gomaa

Jakarta (ANTARA) - A virtual Indonesian trade exhibition -- the Trade Expo Indonesia Virtual Exhibition (TEI-VE) 2020 -- attracted business transactions worth US$73 million, or some Rp1.02 trillion, from Egyptian businesspersons on the international exhibition’s first day.

"The pandemic will not discourage Egyptian buyers from purchasing Indonesian products," Head of the RI Representative/Chargé d'Affaires of the Indonesian Embassy in Cairo M. Aji Surya noted in a written statement in Jakarta, Wednesday.

The business deal was conducted through the inking of a purchase contract held on Tuesday (10/11/2020).

Surya remarked that the trade transactions comprised several superior products of Indonesia, including manufacturing, such as vehicle tires worth US$30 million; toilet soaps, US$3 million; and coffee bean products, US$40 million.

He attributed the realization of transactions to the persistent efforts of the Indonesian Embassy in Cairo to approach traditional and new buyers.

Surya also expressed belief that hopes still rode high for various commodity trade transactions.

Related news: Trade Expo Indonesia - Virtual Exhibition 2020 opens

Trade Attaché of the Indonesian Embassy in Cairo, Irman Adi Purwanto Moefthi, who accompanied Egyptian buyers to sign a memorandum of understanding (MoU) on the purchase mission, emphasized that the presence of the businessman confirmed his loyalty to importing Indonesia's superior products.

"The theme of TEI implemented this year aims to promote sustainable trade in the digital era to encourage the sustainability of Indonesian products and the promotion of domestic products in the Egyptian market and its surroundings," he explained.

Meanwhile, Executive for Economic Functions of the Indonesian Embassy in Cairo, John Admiral, added that this international trade fair could be optimized as a form of promotional innovation in the midst of a pandemic.

Currently, he noted that the Indonesian Embassy in Cairo was exploring the provision of labor to Egypt, including to meet the demand for Indonesian nurses at Egyptian hospitals, experts in construction, fisheries and other projects of the Egyptian government.

The Ministry of Trade will hold TEI-VE on November 10-16, 2020.

Indonesia's largest trade fair is an annual routine agenda to boost Indonesia's exports to international markets.

At the 35th TEI, Trade Minister Agus Suparmanto targeted transactions of US$1 billion, or around Rp14 trillion.

Related news: Indonesia records US$3.5 million transactions in Sirha Budapest 2020

Related news: Indonesia's trade balance posts US$2.4 billion surplus in September




Reporter: Dewa K, Azis K
Editor: Yuni Arisandy Sinaga
COPYRIGHT © ANTARA 2020

Indonesian trade exhibition draws US$73 M in transactions from Egypt

A virtual Indonesian trade exhibition -- the Trade Expo Indonesia Virtual Exhibition (TEI-VE) 2020 -- attracted business transactions worth US$73 million, or ...

en.antaranews.com

 

[Madokafc]

Fintech sector expected to cross US$100 bln by 2025: minister​

11th Nov 2020 20:03

Jakarta (ANTARA) - Last year, Google and Temasek predicted that Indonesia's financial technology (fintech) industry will see the fastest growth in the ASEAN region, Coordinating Minister for Economic Affairs, Airlangga Hartarto, said.

"In 2019, Google and Temasek predicted Indonesia would see the fastest growth in ASEAN," he said at the opening of the 2020 Indonesia Fintech Summit in Jakarta on Wednesday.

Hartarto said the share of fintech is currently estimated at US$40 billion, with an annual growth of around 50 percent, and by 2025, the projected value is expected to cross US$100 billion.

This growth could be realized because fintech is the most competitive sector with the development of four unicorns and one decacorn in Indonesia, valued at more than US$10 billion, he added.

“Fintech, together with Industrial Revolution 4.0, e-commerce, and on-demand service, has become an icon or showcase for Indonesia's digital economy," he said.

The fintech sector in Indonesia is growing, which can be seen in comparison to the initial development in 2016, with fintech making inroads not only in payments and lending, but also various business models, including capital rising, digital insurance, and market provisioning, he explained.

"We also appreciate the success of fintech development with the OJK introducing regulatory sandbox regulations that allow innovation to continue," he said.

Hartarto said fintech played an important role in helping achieve the financial inclusion index of 76 percent in 2019, and would support realizing the target of 90 percent by 2024.

"The potential of fintech, with a number of challenges, of course, is primarily (in the area of) financial literacy. (We need to ensure the) Digital (push) is supported by an ecosystem and cross-sectoral collaboration to maximize government programs and initiatives," the minister said.

Meanwhile, according to Hartarto, the challenge facing the fintech sector today is answering the potential problem of open unemployment to encourage MSME or entrepreneurial activities.

"I hope that efforts to accelerate national economic recovery, especially financial inclusion and digital technology with cross-sectoral collaboration, can build and reform as well as regenerate our national economy," the senior minister said. (INE)

Related news: Indonesian fintech expands to South East Asian market
Related news: Sharia-compliant fintech can actively spur on economic recovery: Amin

EDITED BY INE







Translated by: Astrid F, Azis K
Editor: Suharto

• https://en.antaranews.com/news/161120/fintech-sector-expected-to-cross-us100-bln-by-2025-minister

 

[Gary]

Indonesia to have world’s fourth-largest air passenger market by 2039: IATA
Mardika Parama The Jakarta Post Jakarta / Thu, November 12, 2020 / 08:27 am

On the rise: Passengers are seen at Terminal 3 of Soekarno-Hatta International Airport in Tangerang, Banten, on Friday. The airport recorded 350-400 flights per day in July, up from 243 flights per day in the preceding month. (JP/Dhoni Setiawan)

This article was published in thejakartapost.com with the title "Indonesia to have world’s fourth-largest air passenger market by 2039: IATA".

The International Air Transport Association (IATA) projected Indonesia’s air passenger market to become the fourth-largest globally by 2039, jumping from 10th position in 2019 thanks largely to travel demand from the country’s growing middle class, according to an official. IATA Asia Pacific member external relation assistant director Kelvin Lee said on Tuesday that the growth of the middle class in Indonesia and Southeast Asia was making the region a hotspot for air passenger market growth over the next two decades, surpassing conventional markets such as Europe and Northern America. “We see that the Asia Pacific will become the region where air travel is expected to grow very strongly and ASEAN plays a key role in the strong growth,” he said in an online webinar held by Malaysia-based think tank Institute for Democracy and Economic Affairs (IDEAS).

This article was published in thejakartapost.com with the title "Indonesia to have world’s fourth-largest air passenger market by 2039: IATA".

IATA expected the Asia-Pacific region to have a 4.5 percent compound annual growth rate (CAGR) over the next 20 years, far above the traditional aviation industry market of Northern America and Europe, which is estimated to see a CAGR of 1.6 percent and 1.8 percent, respectively. China is also projected to surpass the United States in becoming the world’s biggest air passenger market in 2039, while India is set to jump to third place that year from fifth place in 2019, the organization’s data shows. According to the World Bank’s “Aspiring Indonesia: Expanding the Middle Class” report, Indonesia’s middle-class population has expanded over the last 15 years from just 7 percent of the population to 20 percent currently, with 52 million Indonesians currently belonging to the group. Despite the burgeoning middle-class population, Indonesia saw an 18.54 percent year-on-year (yoy) decline in domestic air passengers last year to 76.7 million people, according to Statistics Indonesia (BPS) data. The COVID-19 pandemic has further pressured domestic passenger travel demand this year, with only 23.5 million passengers flying as of September, or 58.33 percent lower compared to the same period last year. Meanwhile, the number of foreign air passengers in the same period plummeted 74.54 percent yoy to 3.5 million people. The Indonesian National Air Carrier Association (INACA) has projected the number of air passengers to only reach around 45.8 million by the end of 2020, a 40 percent drop from last year. Read also: Indonesian airlines lure passengers with discounts Kelvin said ASEAN member countries should also take additional steps to harmonize the regulation on the aviation industry among the region’s member countries, as well as take a more liberal market approach in order to boost the sector’s development in the future. “In order for ASEAN to fully reap its travel growth potential, the region needs to do more in terms of regulatory harmonization to deal with key challenges such as very diverse regulatory maturity. Furthermore, we also expect government controls to remain conservative,” he said during the discussion. The 10-member bloc implemented the ASEAN Single Aviation Market (ASAM) in 2015 to increase regional connectivity. With the agreement, airlines in the region are allowed the fifth freedom of the air, which entails the right to carry traffic between two foreign countries with services starting or ending in the airline’s own country. However, several member states, including Indonesia, are reluctant to take further steps by opening its domestic market to foreign airlines in an effort to protect their local airline industry. Prasetiya Mulya University aviation law researcher Ridha Aditya Nugraha said Indonesia had the strictest minimum operating aircraft regulation, which required an airline to own a minimum of five aircraft and control another five. The requirement was eased by the newly passed Law No. 11/2020 on job creation. The Job Creation Law is intended to cut bureaucratic red tape to boost investment, among other targets. “Investment-friendly provisions among ASEAN member states should lead to the establishment of new airlines and create an environment that supports them. That would bring us seamless air connectivity in ASEAN,” Ridha said during the discussion. INACA previously welcomed the controversial law, believing it will spur investment in an industry that has been battered by the pandemic.

This article was published in thejakartapost.com with the title "Indonesia to have world’s fourth-largest air passenger market by 2039: IATA - Business - The Jakarta Post".

Indonesia to have world’s fourth-largest air passenger market by 2039: IATA - Business - The Jakarta Post

China is also projected to surpass the United States in becoming the world’s biggest air passenger market in 2039, while India is set to jump to third place that year from fifth place in 2019.

www.thejakartapost.com

 

[Gary]

Sebelum Omnibus Law, Investasi RI Sudah Lampaui Vietnam

Bank Dunia menyebut aliran investasi asing langsung ke RI tembus US$25 miliar, kalahkan Thailand yang hanya US$6,8 miliar dan Vietnam yang hanya US$12 miliar.

www.cnnindonesia.com

​

Just realized that Indonesia's FDI for a year (2019) is equal to Pakistan FDI from CPEC in 8 year.

 

[Madokafc]

INA-LAC business forum posts agreements worth US$71.02 mln​

10th Nov 2020 18:33

Jakarta (ANTARA) - The 2nd Indonesia-Latin America and Caribbean (INA-LAC) business forum, which was held from November 9 to 11 this year, resulted in business deals worth US$71.02 million (around Rp1 trillion).

"The value of this transaction is double compared to the achievements of the 2019 INA-LAC," Foreign Minister Retno Marsudi said during a media briefing, here on Tuesday.

A number of products were covered in the business transactions, including furniture, handicrafts, souvenirs, tires, food and beverages, coconut charcoal, and products made by Indonesian MSMEs.

The Ministry of Foreign Affairs, in collaboration with several other ministries and agencies, organized the INA-LAC forum to facilitate interaction between Indonesian businessmen and their counterparts in the Latin American and Caribbean regions, which have so far been considered remote due to their geographical distance.

"This activity is part of economic diplomacy to diversify Indonesia's export markets, especially during the pandemic," Marsudi remarked.

Several cooperation agreements were inked during the series of INA-LAC meetings, including an MoU on Halal Product Guarantee between Indonesia and Chile, an MoU on cooperation between PT Sarinah (Persero) and Dufry International AG and Grupo Industrial Omega SA de CV, an MoU on cooperation between Naza Art Furniture and CAMCO Rattan Muebles, an MoU on cooperation between PT INUKI (Persero) and ININ Mexico, and an MoU on cooperation between the Indonesian Hotels and Restaurants Association (PHRI) with AHORA of Peru.

The virtual event also facilitated 31 business meetings between company representatives, the signing of a cooperation agreement between Brazil's BADAX and the Indonesian Food and Beverage Association (GAPMMI) for the opening of an Indonesian Outlet (Indonesia Trading House) in Brazil, as well as a business agreement between BADAX and Kokola Group from Indonesia.

At the forum, which was attended by more than 500 Indonesian and Latin American and Caribbean businessmen, the Indonesian Foreign Minister also launched the official website of the INA-LAC Business Forum.

The website provides business information and details of potential export products for Indonesia as well as 108 investment projects in several provinces.

"Through this activity and the launch of a digital platform, interaction between entrepreneurs will continue to be facilitated. Hence, it would increase the value of Indonesia's trade with 33 countries in Latin America and the Caribbean," Marsudi said.

Related news: RI explores trade cooperation with Latin American, Caribbean nations
Related news: Indonesia`s economic diplomacy to target Latin America, East Europe

Translated by: Yashinta DP, Fardah
Editor: Rahmad Nasution

INA-LAC business forum posts agreements worth US$71.02 mln

The 2nd Indonesia-Latin America and Caribbean (INA-LAC) business forum, which was held from November 9 to 11 this year, resulted in business deals worth ...

en.antaranews.com

 

[Gary]

Google invests in Indonesian unicorn Tokopedia, joining Temasek​

US tech companies draw battle lines Southeast Asia's largest economy

Indonesian technology company Tokopedia recently won the HR Asia Award 2020 as one of the best places to work in Asia. (Photo courtesy of the company)
SHOTARO TANI, Nikkei staff writerNovember 14, 2020 00:14 JST
JAKARTA -- Google and Singapore's government investment company Temasek have both invested in Indonesia's e-commerce company Tokopedia, Nikkei Asia has learned.

Google invests in Indonesian unicorn Tokopedia, joining Temasek

US tech companies draw battle lines in Southeast Asia's largest economy

asia.nikkei.com

 

[Gary]

Sejin latest in wave of companies to relocate factories to Indonesia

SHARES Garment company PT Sejin Fashion Indonesia, a subsidiary of South Korean footwear manufacturer Parkland Co., Ltd., has made the decision to relocate its production base from China to Indonesia, making it the latest in a wave of companies that have announced plans to relocate their manufacturing plants to the country. The plan was confirmed following a visit to South Korea by Investment Coordinating Board (BKPM) head Bahlil Lahadalia and State-Owned Enterprises Minister Erick Thohir on Wednesday and Thursday. “One more company is going to relocate from China to Indonesia. It’s a labor-intensive industry, it could add up to 4,000 new jobs. Hopefully, it will help the economy during this COVID-19 crisis,” Bahlil said in a written statement on Saturday, adding that Sejin would also increase foreign exchange as it exported its products. Sejin plans to relocat...

Sejin latest in wave of companies to relocate factories to Indonesia - Mon, September 28, 2020 - The Jakarta Post

Garment company PT Sejin Fashion Indonesia, a subsidiary of South Korean footwear manufacturer Parkland Co., Ltd., has made the decision to relocate its production base from China to Indonesia, a top official said on Saturday.

www.thejakartapost.com

 

[Gary]

Grab leads $100m funding round for LinkAja, builds R&D center in Indonesia

Eisya A. Eloksari
The Jakarta Post Jakarta /
Wed, November 11, 2020 / 01:28 pm

Ride-hailing giant Grab announced on Tuesday that it led a US$100 million series B funding round for homegrown e-wallet LinkAja, making Grab a minority shareholder aside from launching its regional research and development (R&D) center in Indonesia. Grab Indonesia managing director Neneng Goenadi said in a statement that Grab had decided to fund LinkAja because the e-wallet had a hyperlocal knowledge base and nationwide distribution network reaching Indonesia’s tier two and three cities. “This investment and strategic collaboration with LinkAja have proven our commitment to accelerating financial inclusion in Indonesia,” she added. The announcement came after news circulated of Grab planning to merge Lippo-backed OVO with DANA last year to gain dominance over Gojek’s payment solution as GoPay had the largest number of users. However, a recent survey by Ipsos shows that ShopeePay has the highest user penetration rate followed by OVO, GoPay, DANA and LinkAja. Other than Grab, telco company Telkomsel and venture capitalists BRI Ventura Investama and Mandiri Capital Indonesia also invested in LinkAja's latest funding round. “COVID-19 does not interfere with our investment plan in Indonesia whatsoever,” Neneng said during an online press conference for the launch of Grab Tech Center, the company’s R&D hub in the region, on Tuesday. She went on to say that the tech center would focus on researching, designing and testing tools and technology for small and medium enterprises (SMEs) in Indonesia and beyond as well as developing solutions for Grab’s own businesses, namely Grab Kiosks, Grab Food and Grab Merchants. Read also: Digitally mature SMEs could add $164b to GDP: Cisco, IDC “We focus on SMEs because many business-to-business tech solutions in the market are designed for larger enterprises, and SMEs may not have the budget, time or knowledge to use these products,” she said, adding that digitizing SMEs could boost their resilience and help prevent more job losses amid the pandemic. The launch of the tech center is aimed at digitalizing 5 million SMEs as they onboard Grab’s ecosystem by 2025, joining around 6 million SMEs already on the platform, said Grab Indonesia president Ridzki Kramadibrata. During May to September, Grab reported that over 70,000 merchants in Indonesia joined its ecosystem through its merchant self-onboarding tool. “We want to help expand the potential of Indonesian tech and look forward to bringing ‘Made in Indonesia’ products to all of Southeast Asia,” Ridzki said, adding that the tech center was part of Grab and Japan-based Softbank's commitment in investing $2 billion in Indonesia’s digital development, which started last year. According to a study by Mandiri Institute, SMEs that have an online presence are more resilient as they are more likely to continue producing and selling goods as well as have a longer runway to survive the economic slowdown. The country’s small businesses account for more than 60 percent of gross domestic product (GDP) and employ a majority of the labor force. The study suggests that digitalized SMEs can even help Indonesia reduce 1.5 percent of the economic burden on GDP amid the COVID-19 pandemic.

Grab leads $100m funding round for LinkAja, builds R&D center in Indonesia - Business - The Jakarta Post

LinkAja has a hyperlocal knowledge base and nationwide distribution network reaching Indonesia’s tier two and three cities, Grab says.

www.thejakartapost.com

 

[Gary]

Facebook to give Rp 12.5 billion to local SMEs

Yunindita Prasidya The Jakarta Post Jakarta / Thu, November 12, 2020 / 03:07 pm

Jakarta / Thu, November 12, 2020 / 03:07 pm

Pieter Lydian Sutiono, Facebook country director for Indonesia. (./.)

0 SHARES Social media giant Facebook is selecting local small and medium enterprises (SMEs) affected by the COVID-19 crisis to be recipients of a total of Rp 12.5 billion (US$887,688) in grants, according to the company’s country director. “In regard to the disbursement of SME funds, right now we are still selecting [the applicants],” Facebook Indonesia country director Pieter Lydian said during Facebook Summit Indonesia, which was held virtually on Tuesday. Earlier this year, Facebook announced that it would distribute US$100 million in cash grants and ad credits globally to small businesses affected by the pandemic.

The funds, which are to be distributed to some 30,000 eligible small businesses in more than 30 countries, can be spent on rent and operational costs or to finance customer outreach initiatives. Small businesses account for more than 60 percent of Indonesia’s gross domestic product (GDP) and employ a majority of the labor force but have been hit hard by the COVID-19 crisis and the country’s economic recession. Indonesia’s economy shrank by 3.49 percent year-on-year (yoy) in the third quarter this year, the second consecutive quarter of GDP contraction, marking the country’s first recession since the 1998 Asian financial crisis. In the second quarter, the country’s GDP contracted by 5.32 percent yoy. In addition to the grant, Facebook Indonesia has forged partnerships with local businesses to help them survive and adapt to conditions during and, eventually, after the pandemic through virtual training programs, Pieter said. “We do not only give support through funding, we also have virtual training programs on features, products, tips and tricks, as well as on every application available on our platform,” he added. “The goal is to help promote local products.” Pieter said Facebook Indonesia’s program for women entrepreneurs had had more than 14,000 participants so far and that the company planned to scale it up further. Facebook is also targeting young entrepreneurs through its Instagram Academy series, which has reached more than 3,500 young entrepreneurs. The program is part of the company’s campaign, #TumbuhdiFacebook (#GrowonFacebook), a collaboration with the Trade Ministry in which Facebook Indonesia hosts virtual discussions on topics related to SMEs. Facebook Indonesia vertical lead Aldo Rambie said during the summit that the ability to monetize content on Facebook and to make creative content were two challenges to small businesses’ efforts to develop a digital strategy. “What we have seen in terms of challenges is that, for our fellow SMEs, building a customer journey by using our platform with the goal of selling products [remains difficult],” Aldo said. SMEs also needed to determine the best practices for advertising to reach their target audience, Aldo added. Homegrown multiservice app company Gojek has also taken part in initiatives to help SMEs during the pandemic, including by connecting small businesses with content creators through its partnership with influencer marketing platform Narrators. Narrators launched an app called Tokotown Pro as part of the partnership. The application connects merchants to content creators so they can collaborate to reach targeted buyers. “Sixty-one percent of consumers say that micro influencers are more trusted when it comes to content. It’s the same with millennials; 61 percent of them make decisions to purchase products when watching these digital influencers’ [social media] accounts,” Narrators founder and chief executive officer (CEO) Laurent Verrier said. Multiservice app company Grab Indonesia introduced an app called GrabMerchant in June. The app is designed to be a one-stop service platform to allow micro, small and medium enterprises (MSMEs), to digitally manage their operational hours, orders, employees, menu items and promotions.

Facebook to give Rp 12.5 billion to local SMEs - Business - The Jakarta Post

Social media giant Facebook is selecting local small and medium enterprises (SMEs) affected by the COVID-19 crisis to be recipients of a total of Rp 12.5 billion (US$887,688) in grants, according to the company’s country director.

www.thejakartapost.com

 

[Gary]

Indonesia's Resilient Digital Economy Up 11% to $44b in 2020: Google​

A motorized rickshaw accepts fare using a digital payment service in Gorontalo city, Gorontalo, on Sunday. (Antara Photo/Adiwinata Solihin)
BY :JAKARTA GLOBE
NOVEMBER 11, 2020
Jakarta. Indonesia’s digital economy sets to expand by 11 percent to $44 billion in 2020 from $40 billion last year, showing resilience amid the Covid-19 pandemic that wreaks havoc on online transportation, food, and travel services, the latest report from tech giant Google showed on Tuesday.
The pandemic also trowing that the largest digital economy in Southeast Asia’s growth off the track. Indonesia is now projected to churn out a total of $124 billion in gross merchandise value in 2025, down 6.7 percent from Goggle’s earlier projection of $133 billion.
On the bright side, more new customers use online services in droves, and health and education tech emerged as new exiting frontiers for the country’s digital economy.

“In Indonesia, with its various stages of lockdowns, users turned to the Internet for solutions to their sudden challenges,” Google said in the report.

Such behavior is reflected in e-commerce and media, which outgrew the slump in transport, food, and travel.

The report, prepared in collaboration with Singapore’s sovereign wealth fund Temasek and multinational consultancy firm Bain and Company, projected e-commerce would increase 52 percent to $32 billion this year from $21 billion last year. The online media, including games, music, and movie subscription services, would increase to $4.4 billion, up from $3.5 billion last year.

On the other hand, online transportation dropped 68 percent to just $3 billion from $10 billion last year, as cities across Indonesia impose restrictions on gathering and travels. Online travel was also down 18 percent to $5 billion from $6 billion last year.

Still, Google noted a significant trend among Indonesian internet users. More than a third, or 37 percent, 37 percent of all digital service consumers in the country joined just recently, higher than the Southeast Asia average.

More importantly, “93 percent of these new consumers intending to continue their behavior post-pandemic,” Google said. Indonesians used the Internet 4.7 hours a day on average during the pandemic lockdowns, up from 3.5 hours before, and continue to be online up to 4.2 hours a day after, the report showed.

“HealthTech and EdTech have played a critical role during the pandemic, with impressive adoption rates to match,” Google said in the report.

Indonesian Healthtech and Edtech were in a good position to boost adoption and attract funding, which likely to encourage more innovation in the sectors.

Still, they would face the enduring challenges in Indonesia's digital economy.

"In our 2019 report, we identified six key barriers to growth - internet access, funding, consumer trust, payments, logistics and talent - and this year had seen significant progress on most (payments and consumer trust, especially)," Google said

"Talent, however, remains a key blocker that all parties will need to keep working on to ensure the momentum gained this year is sustained," the tech giant said.

In terms of funding, Indonesians digital startups managed to attract $2.8 billion worth of investments across 202 deals in the first half of this year, up from $1.8 billion across 123 deals in the same period last year.

"Since peaking in 2018, funding for unicorns in mature sectors... has slowed. Platforms are now refocusing on their core business to prioritize a path to profitability, and are addressing consumers’ broad range of needs through partnerships," Google said in the report.

Indonesia's Resilient Digital Economy Up 11% to $44b in 2020: Google

Indonesia’s digital economy sets to expand by 11 percent to $44 billion in 2020, showing resilience amid the Covid-19 pandemic.

jakartaglobe.id

 

[Madokafc]

INA-LAC business forum posts agreements worth US$71.02 mln​

10th Nov 2020 18:33

Jakarta (ANTARA) - The 2nd Indonesia-Latin America and Caribbean (INA-LAC) business forum, which was held from November 9 to 11 this year, resulted in business deals worth US$71.02 million (around Rp1 trillion).

"The value of this transaction is double compared to the achievements of the 2019 INA-LAC," Foreign Minister Retno Marsudi said during a media briefing, here on Tuesday.

A number of products were covered in the business transactions, including furniture, handicrafts, souvenirs, tires, food and beverages, coconut charcoal, and products made by Indonesian MSMEs.

The Ministry of Foreign Affairs, in collaboration with several other ministries and agencies, organized the INA-LAC forum to facilitate interaction between Indonesian businessmen and their counterparts in the Latin American and Caribbean regions, which have so far been considered remote due to their geographical distance.

"This activity is part of economic diplomacy to diversify Indonesia's export markets, especially during the pandemic," Marsudi remarked.

Several cooperation agreements were inked during the series of INA-LAC meetings, including an MoU on Halal Product Guarantee between Indonesia and Chile, an MoU on cooperation between PT Sarinah (Persero) and Dufry International AG and Grupo Industrial Omega SA de CV, an MoU on cooperation between Naza Art Furniture and CAMCO Rattan Muebles, an MoU on cooperation between PT INUKI (Persero) and ININ Mexico, and an MoU on cooperation between the Indonesian Hotels and Restaurants Association (PHRI) with AHORA of Peru.

The virtual event also facilitated 31 business meetings between company representatives, the signing of a cooperation agreement between Brazil's BADAX and the Indonesian Food and Beverage Association (GAPMMI) for the opening of an Indonesian Outlet (Indonesia Trading House) in Brazil, as well as a business agreement between BADAX and Kokola Group from Indonesia.

At the forum, which was attended by more than 500 Indonesian and Latin American and Caribbean businessmen, the Indonesian Foreign Minister also launched the official website of the INA-LAC Business Forum.

The website provides business information and details of potential export products for Indonesia as well as 108 investment projects in several provinces.

"Through this activity and the launch of a digital platform, interaction between entrepreneurs will continue to be facilitated. Hence, it would increase the value of Indonesia's trade with 33 countries in Latin America and the Caribbean," Marsudi said.

Related news: RI explores trade cooperation with Latin American, Caribbean nations
Related news: Indonesia`s economic diplomacy to target Latin America, East Europe

Translated by: Yashinta DP, Fardah
Editor: Rahmad Nasution

 

[Indos]

The measures and procedure during flight in Garuda Indonesia Airline. Our airlines financial lost are not as severe as airlines in Singapore with no domestic flight, but the sales are still suppressed by the obligation to do rapid test for any domestic flight passengers.

Garuda Indonesia got 1 billion USD lost since the beginning of this year until Q3, I think more job cut should be done and some routes should be suspended to decrease further lost. The need to undergo rapid test for domestic flight passengers really suppresses the sales of tickets. This shows large money can be gone under specific situation, so no need to feel so reluctant to finance KFX/IFX program (2 billion USD development cost) which even still has good possibility to reach break even.

 

[Indos]

 

[Madokafc]

Indonesia sets target of 250 percent increase in shrimp export value​

7 hours ago

Jakarta (ANTARA) - The Ministry of Marine Affairs and Fisheries (KKP) has called on all concerned stakeholders to help the government achieve its target of 250 percent increase in shrimp export value by 2024.

"Every stakeholder should help and work together in increasing shrimp production and developing national warehouses in the future," KKP's Director General of Aquaculture Slamet Soebjakto said in a press release here on Sunday.

To achieve the target, the ministry could not work alone, hence it needs the supports of the central government and regional governments, as well as other stakeholders such as shrimp farmers' associations, academicians and practitioners.

KKP's strategies in realizing the target, among others, is by conducting a program to develop more shrimp pond areas through cluster system in the next five years, without damaging the environment, according to him.

He also emphasized that opening of shrimp pond areas would be carried out integratedly with the silvofishery concept, namely the traditional polyculture cultivation concept so as to maintain the existence of mangroves forests.

Meanwhile, Agnes Marcellina, Deputy Chairman of the Commission for Stakeholders and Public Consultation for Marine and Fisheries (KP2KP) in the Business Synergy Sector, said that the revitalization of shrimp ponds is included in the 2020-2024 Medium Term Development Plan (RPJM) in accordance with the direction of the President to the Minister Marine Affairs and Fisheries to optimize aquaculture.

"The target of shrimp pond growth mentioned by the Director General of Aquaculture is 2.5 times each year, so that by 2024 our shrimp production would reach 1.2 million tons, with a production value of Rp30 trillion to around Rp90 trillion," she said.

Related news: Fisheries Minister Prabowo highlights potential of shrimp cultivation
Related news: Natuna's fish and shrimp exports increase steadily


Reporter: M Razi Rahman, Fardah
Editor: Rahmad Nasution
COPYRIGHT © ANTARA 2020

Indonesia sets target of 250 percent increase in shrimp export value

The Ministry of Marine Affairs and Fisheries (KKP) has called on all concerned stakeholders to help the government achieve its target of 250 percent increase ...

en.antaranews.com

 

[Madokafc]

RCEP proves commitments of peace and stability in the region: Jokowi​

2 hours ago

Indonesian Presiden Joko Widodo (left) witnesses the signing of RCEP during the 4th RCEP Summit held virtually, from the Presidential Palace in Bogor, West Java, Sunday (Nov. 15, 2020). (ANTARA/HO-Muchlis Jr - Biro Pers Sekretariat Presiden)


The signing marks our powerful commitment on multilateralism,
Jakarta (ANTARA) - Indonesian President Joko Widodo (Jokowi) said that the signing of Regional Comprehensive Economic Partnership (RCEP) on Sunday has demonstrated the commitments of peace and stability as well as prosperity within the region.

During the 4th RCEP Summit held virtually, President Jokowi stated that the signing was a historical moment as its process took nearly a decade after being initiated in 2011, and the first round of negotiation was conducted in 2013.

"The signing marks our powerful commitment on multilateralism," Jokowi remarked.

This regional pact that becomes the world's biggest trade agreement covering a market of around 2.2 billion people or 30 percent of the world's population has officially been signed by 10 ASEAN member countries along with their five partners -- China, South Korea, Japan, Australia, and New Zealand.

Jokowi emphasized that all the member states feel the same way about the uneasy process to achieve RCEP. But, again, a strong commitment has made it all possible, he added.

The pact would also intensify the principle of an open, fair and benefited all-sides multilateral commerce. Furthermore, this provides hope and optimistic view on economic recovery for post-pandemic era throughout the region.

"It is indeed an honour for Indonesia to be a country coordinator for the long process (of RCEP dialogue). Therefore, I would like to extend my gratitude and appreciation for every support and constructive contribution from all countries during the negotiation," Jokowi said.

However, President Jokowi emphasized that this Sunday's signing was only a beginning as every single states involved should put their efforts to manage it, and Indonesia is open for other countries to later join this pact.

"This also needs out political will on the highest level. And Indonesia--we welcome other countries in the region that are willing to join RCEP," he said.

Related news: Vietnam urges New Zealand to open door wider for ASEAN goods
Related news: President welcomes New Zealand's decision to sign RCEP


Reporter: Indra Arief Pribadi, Suwanti
Editor: Rahmad Nasution
COPYRIGHT © ANTARA 2020

RCEP proves commitments of peace and stability in the region: Jokowi

Indonesian President Joko Widodo (Jokowi) said that the signing of Regional Comprehensive Economic Partnership (RCEP) on Sunday has demonstrated the ...

en.antaranews.com

 

[Indos]

Elon Musk is going to meet Indonesia delegation next week according to recent news. They are talking about the possibility to make a battery factory in Batang, Central Java. It is clever that government offers Batang since it is close to West Java, the center of Indonesia automotive industries. New SOE in EV battery should also be built in Batang instead of Sulawesi as suggested by initial plan. The battery factory should be built near West Java if not inside West Java.

 

[Gary]

Elon Musk is going to meet Indonesia delegation next week according to recent news. They are talking about the possibility to make a battery factory in Batang, Central Java. It is clever that government offers Batang since it is close to West Java, the center of Indonesia automotive industries. New SOE in EV battery should also be built in Batang instead of Sulawesi as suggested by initial plan. The battery factory should be built near West Java if not inside West Java.

Having the smelter factory in the country while having the electric car production plant also will be a huge advantage, just like how oil was an advantage to Saudi Arabia.

 

[Nilgiri]

Elon Musk is going to meet Indonesia delegation next week according to recent news. They are talking about the possibility to make a battery factory in Batang, Central Java. It is clever that government offers Batang since it is close to West Java, the center of Indonesia automotive industries. New SOE in EV battery should also be built in Batang instead of Sulawesi as suggested by initial plan. The battery factory should be built near West Java if not inside West Java.

Does Indonesia have lot of the metals available locally that are needed in EV battery?

i.e Lithium, Nickel, Manganese, Cobalt, Copper etc..

Either being mined right now or have reserves detected?

If so that will help with Indonesia's cost advantage.

 

[Gary]

Does Indonesia have lot of the metals available locally that are needed in EV battery?

i.e Lithium, Nickel, Manganese, Cobalt, Copper etc..

Either being mined right now or have reserves detected?

If so that will help with Indonesia's cost advantage.

Indonesia is the largest nickel producer in the world, with 800,000 tonnes of nickel produced in 2019, up from 606,000 tonnes in 2018.[10][11] In 2020, production is expected to drop due to the export ban.

Nickel mining in Indonesia - Wikipedia

en.wikipedia.org

Nickel reserves by country

Top 9 Countries by Nickel Reserves (Updated 2024)

Investors interested in nickel stocks are often curious about which countries produce significant amounts of the metal. After all, major producers are often home to many miners and explorers.But investors should also be aware of which countries hold significant nickel reserves. Why? Many...

investingnews.com

 

[Gary]

Indonesia to develop circular economy for EVs, boost battery industry

He further explained that as Indonesia did not have the natural lithium reserves needed to produce the battery, the ministry had initiated the process of recovering lithium from recycled batteries in a process known as urban mining. He went on to say that an orientation of substituting imports had to be implemented from the early stages of developing the EV industry in the spirit of reducing Indonesia’s reliance on imports. While short in lithium, Indonesia is the world’s largest nickel ore producing country.

Nickel is a key ingredient in EV battery production. Analysts have said that the country's nickel industry would benefit from the growth of the EV industry. Indonesia is setting its sights on becoming a major player in this new electric-powered transportation economy. Under President Joko “Jokowi” Widodo’s administration, the local automotive industry is expected to begin domestic EV production by 2021 or 2022 to reach the target of exporting 200,000 electric cars by 2025. The number accounts for around 20 percent of the expected total of 1 million cars exported a year

@Nilgiri