Jakarta (ANTARA News) - The Cooperatives and Small- and Medium-scale Enterprises (SMEs) Ministry in cooperation with businesspeople in Jedda, Saudi Arabia, is to open a trading house for food products and cosmetics produced by Indonesian SMEs in the Saudi city in early 2008, an official said.
"A building to accommodate the house has been set up and all relevant technical matters have been discussed, so our target now is to open the trading house in Jedda in early 2008," Deputy for Marketing and Business Networks to the State Minister for Cooperatives and SMEs Sri Ernawati said here Friday.
The trading house would be run in cooperation with Saudi businesspeople who already have experience in marketing Indonesian SMEs` products in Jedda. The cooperation would be conducted as a partnership for mutual benefit, she said.
Jedda was chosen as the location of the trading house as the city is a gateway to other Arab and African countries.
The trading house in Jedda was expected to be an effective solution to the export and marketing problems encountered by Indonesian SMEs, Ermawati said.
It was reported earlier that the Office of the State Minister for Cooperatives and SMEs has set up an agency providing marketing services to cooperatives and SMEs by acting as a mediator between Indonesian SMEs and foreign buyers.
"The agency is also intended to help SMEs meet export requirements as their capacity in this respect is usually low, while their capital strength and knowledge of export procedures are limited," she said.
The agency which has been operating since 2007 now had business partners in Bulgaria and set up a trading house in a city in that country.
"The agency has set up partnership relations with local companies that have networks and experience in marketing handicraft products from Indonesia," she said.
She said Bulgaria was chosen as the location of the trading house as the country served as a gateway to other European countries.
"In the future, the trading house pattern is expected to overcome export problems frequently faced by cooperatives and SMEs," she said.
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