Jakarta, Aug 29 (Antara) - Indonesian Vice President Jusuf Kalla, who is on a five day visit until Sunday to attend a peace conference in Seoul, has promoted Indonesian businesses to attract more investment from South Korea.
Kalla, who attended the Peace Summit of the Universal Peace Federation on Friday, also held meetings with the South Korean prime minister, trade and industry minister and conglomerates.
"Indonesia and South Korea are friendly countries and have strong relations," Kalla said in his address during a dinner party with South Korean conglomerates at Conrad Hotel, Seoul, Friday night.
During his speech, Kalla introduced additional investment potentials to South Korea, which is one of the five largest investor countries in Indonesia.
He noted that South Korea and Indonesia are both 70 years old, but South Korea has moved ahead in becoming an advanced nation.
Therefore, Indonesia is now offering investment cooperation. The country is led by leaders with business backgrounds, and it understands what is needed by businessmen and investors to develop the nation;s economy, the vice president said.
Earlier, Kalla paid a courtesy call on Prime Minister Hwang Kyo-ahn and met with South Korean Trade, Industry and Energy Minister Yoon Sang-jik.
Kalla¿s meetings with several officials and business figures are expected to draw more investment to Indonesia, especially in the energy and manufacturing sectors, such as steel, electronics and petrochemicals.
According to Head of the Investment Coordinating Board (BKPM) Franky Sibarani, in a press statement received here on Friday, South Korea is one of the countries that has been the focus of the government's attention because of its significant potential.
South Korea is among the largest five investor countries, with the ratio of its investment realization reaching 64.51 percent.
This means that most of South Korean investment plans are realized. However the portion of South Korean investment in Indonesia was not as large as their investments in other countries.
"There are still a lot of Korean investment potentials which could be withdrawn into Indonesia," said Sibarani, who is also accompanying the vice president during his tour of the country from August 26 to August 30.
Kalla was accompanied by Sibarani during the meeting with officials of a South Korean conglomerate, which is exploring the possibility of expanding its business in Indonesia.
The South Korean company has long-standing experience and technology in the field of energy and has built a solar panel factory abroad.
According to Sibarani, the company will conduct a study to build another solar panel factory in Indonesia.
Apart from that, the Vice President also met with another conglomerate engaged in several business sectors, such as electronics, transformers, automotive, industrial bag (air bag), nylon, polyester, industrial transformers, ATM machines, restaurants, as well as tourism.
The BKPM has recorded that South Korean investment projects in Indonesia employ 35,000 workers, with an investment value worth Rp2.01 trillion during the first half of 2015.
Of all the projects, there were about 158 South Korean investment projects in the textile and textile product (PTP) sector which employed 27,000 workers, with an investment value of Rp805.46 billion.
South Korean investment in the first half of 2015 also covered 54 projects in the footwear sector, with investments totaling Rp86.48 billion and employing 5,000 workers.
"PTP and footwear are two labor-intensive industries that employ most of the workers. South Korea is a potential investing nation in the two sectors. Therefore, South Korea will become the focus of BKPM's investment promotion," Sibarani stated.
Sibarani noted that a South Korean investment company was also included in the 54 investment projects whose construction work is on-going and is being monitored by the BKPM.
The company, which is located in Wonogiri, Central Java, is expected to enter the commercial production phase by the end of 2015, with the total workforce to be employed reaching 12,600. The 100 percent export-oriented company has the potential to contribute US$10.5 million to the country¿s export performance each year.
"South Korea has another garment company, which faces constraints with regard to spatial planning in Batang, Central Java. The fully export-oriented company has the potential to employ 4,000 workers," Sibarani noted.
The Central Java BKPM office is now providing assistance in an effort to remove the constraints being faced by the South Korean firm.
Based on data issued by the Financial Times, Indonesia is the seventh-largest investment destination for South Korea. South Korea's investment in Indonesia accounts for 2.7 percent of its total investments worldwide.
Indonesia receives less South Korean investments than China, the US, Vietnam, Uzbekistan and Mexico, and that is why BKPM had been actively holding investment marketing activities in South Korea through its team of marketing officers for Singapore and South Korea, along with BKPM representatives in Seoul, Franky said.
"South Korean investment reached 12 percent of total investment in ASEAN in the first half of 2015 but, indeed, Indonesia's position is still below Vietnam. This is a challenge for BKPM. I am optimistic that South Korean investment will increase¿, he said.
South Korean investment in Indonesia during the first half of this year increased 20 percent to US$790 million, compared to US$650 million recorded in the corresponding period one year earlier.
The number of principle permits submitted by South Korea to Indonesia in the first half of 2015 also increased by 39 percent to US$1.48 billion, as compared to US$1.06 billion in the same period in 2014. ***3***
(T.A014/INE)
(T.A014/A/BESSR/A. Abdussalam) 29-08-2015 15:21: |
Tidak ada komentar:
Posting Komentar