Sembcorp opens S$34m 'energy from waste' plant

The Jakarta Post, Yunita Ong, Asia News Network/The Straits Times, Singapore, 04/25/2012

Sembcorp opened on Tuesday a S$34 million (US$27.29 million) plant in Sakra district on Jurong Island that will turn waste into energy.

The facility will process woodchips from the firm's solid waste management arm to output 20 ton of process steam an hour for use by other industries nearby, including multinational agribusiness Tate & Lyle.

The wood - gleaned from industrial, commercial, construction and demolition waste - would otherwise be incinerated.

The steam-producing process also cuts costs. Sembcorp has relied on natural gas from Indonesia to fuel its plants since 2001 but using woodchips instead would be 'significantly' less expensive, although the firm did not disclose the savings.

Ng Meng Poh, its executive vice-president for Singapore and ASEAN (Utilities), said Tuesday: “This solution provides an alternative economical source of energy for our customers on Jurong Island while leveraging synergies between our solid waste management and energy business.

“'It is also a step forward in our strategy to grow our portfolio of renewable energy assets and to offer sustainable and competitive energy-from-waste solutions to our customers on (Jurong Island).”

A range of other green facilities was also announced at Tuesday's opening ceremony.

Sembcorp will develop a second boiler at the plant to pump out 40 ton per hour of process steam. It will be completed later next year.

The two boilers, which will cost $64 million in total, will reduce carbon dioxide emissions by an estimated 70,000 ton a year compared with the typical Singapore steam-generating plant, which uses a mix of natural gas and other fuels.

Sembcorp also intends to supply its Sakra customers with one third of their steam demands using alternative fuel.

It aims to build two energy-from-waste boilers in Sakra to produce 140 ton of steam an hour by 2014. Its solid waste collection arm will provide the plant fuel.

In 2007, Sembcorp started burning woodchips, recycled wood and willows to fuel its $187 million power and steam station in Teeside in Britain. 

Indonesia, Singapore to develop BBK Free Trade Zone

Antara News, Fri, March 18 2011

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Batam, Riau Islands (ANTARA News) - The Indonesian and Singaporean governments cooperate in the development of Batam, Bintan and Karimun into an industrial zone competitive against other such projects in Asia and the Pacific.

A Working Group set up by the two countries on Wednesday agreed to develop the electronic, shipbuilding and network storage and server industry in Batam.

"This time we discussed action plans in exploring more than one sector for development, namely the electronic industry, ship building and network storage and servers," said Luky Eko Wuryanto who co chairs the group in Batam on Wednesday.

In addition to determining the three industries which will be developed in Batam the two countries will also discuss special incentives at Batam, Bintan, and Karimun free trade zone (BBK-FTZ).

"We are considering incentives expected by the investors," the official who is also deputy minister coordinating the economy of infrastructures and regional development.

In the meeting, Singapore also agreed to increase capacity building in running the BBK-FTZ by way of trainings with the special assistance of the Singapore government.

On the same place and occasion, Chairman of the Singapore Economic Development Board Leo Yip said the working group also agreed to seriously develop Batam, Bintan and Karimun.

In the meantime Assistant Deputy Minister for Infrastructure of Water Resources of the Ministry Coordinating the Economy Purba Robert Sianipar said actually many industries would be developed in Batam, but the working group agreed to develop several of them only for the same of efficiency and practicality.

The electronic, ship building and network storage and server industry in Batam on the basis of the global investment trend.

He said the cooperation between the two countries is not only in drawing up a concept favorable to fellow naighbouring countries. The Singapore government is also agreed to conduct a joint promotion in introducing Batam in the world business.

In the meantime, besides cooperation in the development of Batam, the two countries also agreed to set up a working group for the development of manpower, investment, air transportation, tourism and agribusiness.

The working group was the result of a meeting between President Susilo Bambang Yudhoyono and the Singapore Prime Minister on May 17, 2010.

Editor: B Kunto Wibisono

Wilmar Int’l set to relocate factories to RI: Govt

The Jakarta Post, Jakarta | Tue, 02/08/2011

The world’s largest palm oil producer, Wilmar International, has proposed to relocate its factories from Malaysia and China to Indonesia this year, a minister says.

“The relocation will begin this year,” Industry Minister MS Hidayat said on Monday as quoted by kompas.com.

Hidayat said Wilmar had planned to relocate its factories to Gresik, East Java, due to the existing infrastructure in the city, but the government had asked the firm to also set up factories in Riau, Indonesia’s main palm oil province.

He added that Wilmar had agreed to do so on the condition that the government could develop infrastructure such as roads to the seaport in Riau.

Ciputra builds Rp 3 trillion superblock

The Jakarta Post, Jakarta | Wed, 12/15/2010

Publicly listed property firm Ciputra Property is building a Rp 3 trillion (US$333 million) superblock on 5.5 hectares of land on Jl. Prof. Dr. Satrio, Jakarta, using the concept of Singapore’s Orchard Road business district.

The company’s executive director and corporate secretary Artadinata Djangkar said in Jakarta on Tuesday that Ciputra wanted to be the pioneer to build an integrated retail and entertainment hub similar to Singapore’s famous business district of Orchard Road in Jakarta.

“We want to be the pioneer of Orchard Road’s development in Jakarta. We believe that Jl. Prof. Dr. Satrio is among the favorite roads in the city,” he told a press briefing at Ciputra World Jakarta Marketing Gallery.

The development of Jakarta’s Orchard Road started with the Capital World Jakarta project, which is equal to the size of 55 football fields.

“Capital World Jakarta will consist of a mall, entertainment and theme park, auditorium, apartments, hotel and condominiums. Up to the end of 2010, the development of the project has reached 31 percent of the overall project area,” Artadinata said.

The 14-story mall, entertainment and theme park, as well as an auditorium with a capacity of 1,200 people are expected to be open to the public in mid-2012.

In addition, 170 apartments managed by Singapore’s Ascott Group, 136 myHome condominiums, a 170-room Raffles Hotel and 88 luxurious Raffles Residences apartments will also be housed on the super block.

The super block in the busy center of the city is expected to add more traffic in the heart of the capital, but Artadinata said the government was working on an overpass that would resolve traffic issues around the Jl. Prof. Dr. Satrio area.

“From about two weeks ago, the government started its overpass project from Kampung Melayu to Tanah Abang that will reduce traffic and facilitate people coming to the center of Jakarta,” he added.

Artadinata said Ciputra would focus on the development of the Rp 3 trillion-worth Capital World Jakarta as well as another 240,000-square-meter project on Jl. Prof. Dr. Satrio, known as the Kav. 11 project, next year

“Our capital expenditure for next year will be Rp 1 trillion, mostly for Ciputra World Jakarta and the remaining for the Kav. 11 project,” he said.

Listed on the Indonesia Stock Exchange (IDX) since 2007, Ciputra currently has a total of 10 hectares of land throughout the archipelago, including Mal Ciputra and Hotel Ciputra in Jakarta and Semarang, as well as myHome apartments at Ciputra World Jakarta.

On the same day, the property giant also announced a target of 130 percent jump in net profit for the full year of 2010 to Rp 171 billion from Rp 74 billion in 2009. Artadinata expected the growth momentum to continue until next year, as the property sector is expected to boom mainly thanks to hefty economic growth in Southeast Asia’s biggest economy.

“As we all know, Indonesia’s economy is among the most attractive investment destinations this year, so the economy is expanding, affecting the property market,” he added, eyeing Rp 3.9 trillion in assets by the end of the year.

Ciputra’s shares (CTRP) soared following the outlook announcement, trading at Rp 440 apiece at 3 p.m. on the Indonesia Stock Exchange (IDX), a 1.15 percent increase. Ciputra has a total market capitalization of Rp 2.7 trillion. (est)

Santos approves $102m Indonesia project

Smh.com.au,  AAP, November 26, 2010 - 3:14PM

Santos Ltd has approved the development of the Wortel gas project in Indonesia for an estimated $US100 million ($A101.91 million).

First gas is expected from the project, offshore from Madura Island in East Java, by the end of 2011.

Wortel will be developed as a tie-back to the existing Oyong oil and gas field, operated by Santos.

Gross production rates from the combined Oyong and Wortel fields are expected to be about 90 million standard cubic feet of gas per day (mmscf/d) at plateau production.

Oyong currently produces about 60 mmscf/d gross of gas and 3,500 barrels per day gross of oil.

Both Wortel and Orong are projects undertaken by the Sampang PSC joint venture, which is 45 per cent held by Santos and 40 per cent by Singapore Petroleum Company, while Cue Energy Resources has the remaining 15 per cent interest.

Shares in Santos were up fove cents at $12.38 at 1458 AEDT while Cue shares were steady at 38 cents.

Radios for Refugees

Tempo Interactive, Thursday, 18 November, 2010

TEMPO Interactive, Yogyakarta:An agribusiness company, Wilmar Foundation, has donated 2.000 radios and batteries to refugees of the recent Mount Merapi eruption.

The radios were handed by Wilmar Group’s Commissioner, M.P. Tumanggor, to Yogyakarta governor, represented by Murprih Antoro Nugroho, the National Welfare and Community Protection Chief, yesterday.

“We hope the refugees will get the right information from the radio,” said Murprih. He said the National Disaster Management Agency and the Radio Republic Indonesia (RRI) had launched the Merapi Radio station last Sunday.

PITO AGUSTIN RUDIANA

Seven foreign investors to build cocoa plants in RI

Antara News, Monday, October 18, 2010 22:30 WIB

Jakarta (ANTARA News) - Seven foreign investors have expressed keen interest in building cocoa processing plants in Indonesia following the imposition of duties on cocoa exports as of April 1, 2010.

The seven investors are ADM Cocoa and Olam International of Singapore, Guanchong Cocoa of Malaysia, Cargill and Mars of the United States, Armajaro of Britan, and Ferrero of Italy, Director General of Agribusiness at the Industry Ministry Benny Wachjudi said on Monday.

"I don`t know when the investors will start investing. But they have asked for clarification on the possibility of the government reviewing the imposition of duties on cocoa exports," he said.

Benny said Guanchong Cocoa was likely to build a cocoa processing plant with an annual capacity of 50 thousand tons early next year.

In addition, he said local cocoa producer PT Bumitangerang Mesindotama would also double the production capacity of its plant in Tangerang, Banten province, to 80 thousand tons per year.

The expansion project which would cost an estimated US$40 million would be completed in eight months` time, he said.

Benny said a number of downstream cocoa processing plants had begun to revive their activities after they ceased operation.

Chairman of the Indonesian Cocoa Producers Association (AIKI) Piter Jasman said the imposition of duties on cocoa exports had a positive impact on the growth of downstream industries.

"Fifteen AIKI members have raised their production capacity. The national cocoa powder and butter production is projected to reach 300 thousand tons in 2011," he said.

Govt to invite investors to manage Jakarta`s int`l airport

Antara News, Monday, August 30, 2010 23:06 WIB 

Jakarta (ANTARA News) - The government is planning to invite a number of foreign investors to manage service facilities at Jakarta city`s Soekarno-Hatta airport, a minister said.

Soekarno-Hatta airport, Jakarta

"We will invite interested investors to serve as partners to manage the airport," State Enterprises Minister Mustafa Abubakar said here on Monday.

The plan to improve the management of the airport was related to the master strategy of state airport operator to improve airport services, he said.

Airports are one of the mirrors or shop windows of a country, he said.

The quality of Soekarno-Hatta airport`s services must be equal to that of other international airports such as Schiphol in The Netherlands, Narita in Japan and Changi in Singapore, he said.

"International airport operators including those of the United States have expressed interest to become investors," he said.

But he added that the government had yet to respond to the offer because it still had to improve the internal management of the state airport operator.

"It (the project) is open to any investor who is willing to, the more so if they have enough experience. We will select them when all the internal aspects have been completed," he said.

To realize the plan the government would first form a subsidiary which would cooperate with the investors, he said.

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S’pore firm to invest $500m in RI cacao industry

The Jakarta Post, Jakarta | Mon, 07/19/2010 10:33 AM

ADM Cocoa Pte Ltd, an intermediate cacao product manufacturer based in Singapore, plans to invest about US$500 million in the cacao processing industry in Indonesia, says a senior official.

“The company expects to process between 80,000 and 100,000 tons of cacao per year,” Deputy Agriculture Minister Bayu Krisnamurthi told The Jakarta Post on Sunday via text message.

He said ADM Cocoa had acquired land in South Sulawesi for a cacao plantation to supply cocoa beans for the company’s processing plants.

“It intends to develop a new factory or upgrade its existing plant. Talks are still under way,” he said.

“We estimate national production of cocoa beans at 750,000 tons this year,” Bayu said, adding that Indonesia exported 350,000 tons of cocoa each year.

Apart from cacao, he said, the ministry had also accelerated its campaign to promote other agricultural products, including coffee.

Accompanied by the Indonesian Coffee Exporters Association (AEKI) and representatives from 20 coffee producers, a ministry delegation led by Bayu recently toured China to promote Indonesian coffee, starting with a pitch at the 2010 World Expo in Shanghai, China.

“Chinese consumers very much enjoy Indonesian coffee,” he said, adding they preferred coffee with exotic aromas such as Toraja and Mandailing coffees. He said Chinese consumers also loved the Indonesian coffee specialty Kopi Luwak.

The Luwak coffee stand is one of the more popular stands at the Indonesia pavilion at the six-month Expo that kicked off May 1.

It serves between 300 and 500 cups of coffee each day to visitors.

“This is proof that coffee drinking is becoming more popular among the traditionally tea-loving Chinese,” Trade Minister Mari Elka Pangestu said last week.

The government has set a new target of 5 million visitors to the Indonesia pavilion, which it hopes to reach by the end Expo on Oct. 31, after the initial target of 3 million visitors was met last week.

Bayu said Indonesian coffee producers were targeting young Chinese consumers, an estimated market of 350 million people.

“Chinese demand accounts for about 17 percent of our total exports each year,” he said, adding that exports of Indonesian coffee to China could reach 50,000 tons annually.

Bayu added that a global coffee association had included four Indonesian blends in its list of the 10 best coffees in the world — Toraja, Gayo, Mandailing and East Java. (ebf)

Shell opens largest petrochem plant

Vincent Lingga, The Jakarta Post, Singapore | Wed, 05/05/2010 11:06 AM

Royal Dutch Shell opened its largest-ever multi-billion dollar petrochemical complex on Bukom and Jurong islands Tuesday in a stronger bid to strengthen its leading position in the expanding Asian market.

The multi-billion dollar Shell Eastern Petrochemicals Complex (SEPC) consists of an ethylene cracker and butadiene extraction unit on Bukom island, and a mono-ethylene glycol (MEG) plant and a butadiene plant on neighboring Jurong island.

The complex is capable of manufacturing 800,000 tons of ethylene, 750,000 tons of MEG, 155,000 tons of butadiene, 450,000 tons of propylene and 230,000 tons of benzene a year.

MEG is a raw material for polyester fibers for clothing and furnishing, safety equipment, film, anti-freeze coolants and many other consumer products.

“The demand for petrochemicals, the basic building blocks for manufacturing many consumer goods, in Asia is soaring,” noted Shell chief executive officer Peter Voser at the inauguration ceremony which was also attended by Singapore Prime Minister Lee Hsien Loong.

Shell enjoyed a 60 percent increase in underlying post-tax profits to US$4.9 billion in the first quarter of this year.

SEPC, Shell’s largest fully-integrated refinery and petrochemicals hub, is the second major petrochemical complex completed by Shell in the past five years after the CNOOC-Shell petrochemical joint venture in Guangdong, China.

Shell’s investments in Singapore and China reinforce the Shell strategy to build chemicals production to meet the needs of Asia and Pacific countries which account for around 70 percent of global MEG consumption, SEPC Deputy Venture Director Pieter Eijsberg said.

Voser described SEPC as a model example of Shell’s strategy to integrate its refining and petrochemicals assets to maximize economies of scale and efficiency benefits in terms of feedstocks, operations and logistics.

He reaffirmed the strategy of the giant oil company to derive more than one half of its upstream production from natural gas by 2012 because natural gas plants produce only half as much CO2 compared to coal-fired power plants.

Shell’s largest and flagship gas projects under construction are two LNG plant projects worth $21 billion in Qatar, one of which will come on stream next year.

“Asia is both gas rich and gas-hungry, and Southeast Asia is an important exporter of LNG to the rest of the world with Malaysia and Indonesia being the world’s second and third LNG suppliers after Qatar,” Voser said.

In late March, Shell joined with PetroChina Co. in a $3.2 billion acquisition of Arrow Energy Ltd., a deal which will give them access to Arrow Energy’s huge holdings of coal-seam gas reserves, or coal-bed methane, in Australia.

As much as 40 percent of Shell’s capital spending in the next few years has been earmarked for the Asia Pacific region and this programs seems to fit perfectly well within Shell’s strategy to become a gas company that increasingly focuses on Southeast Asia.

Singapore Chamber of Commerce Visits South Sulawesi

Tempo Interactive, Tuesday, 20 April, 2010 | 16:07 WIB

TEMPO Interactive, Jakarta: Singapore Chamber of Commerce is visiting Indonesian Province of South Sulawesi today (20/4) for a meeting with the regional chamber of commerce on raw material trade and between the country and the province and opportunities in manufacturing sector in the province.

The Singapore side proposed to open direct air and sea transport service that connect the province and the city state to facilitate export-import traffic.

A member of the Singapore delegates Jimmy Michael said the direct link will open a better access for Singopre to commodities in the region.

Head of South Sulawesi Chamber of Commerce Zulkarnaen Arif said “Singapore is expecting the direct import before 2015”. The meeting followed a visit by South Sulawesi Governor Syahrul Yasin Limpo to Singapore to promote the region's commodities like cocoa and corn.

ICHSAN AMIN

"Surya Baksara Jaya" operation to be conducted in Ambon

Antara News, Thursday, April 1, 2010 14:45 WIB

Ambon (ANTARA News) - A health services provision program dubbed "Operation Surya Baksara Jaya" will be conducted at seven villages in Ambon July 29-August 3, in conjunction with the international marine event Sail Banda 2010.

"A similar program as part of Sail Banda 2010 will also be conducted in Banda Neira, Central Maluku district at the same time," Sail Banda local committee chairman Cak Saimima said here on Thursday.

He said the health operation activity by using floating hospital would be conducted at Mamala, Morella, Liang, Waai, Tulehu, Passo, and Hutumuri villages on the island of Ambon.

"The Surya Baksara Jaya health operation will be supported by the biggest United States Navy floating hospital USNS MERCY T-AH19," Saimima said.

Technically and aesthetically, the 273-meter long USNS MERCY T-AH19 with 955 medical personnel and doctors is arguably the most sophisticated vessel in its class to assist KRI Dr Soeharso in giving medical services to the people of Maluku.

Saimima said that the so-called Sailing Medical Service (SMS) program would also help the people in the districts of Buru Selatan, West Southeast Maluku (MTB), and Southwest Maluku (MBD) from April to August 2010.

"A health simulation program will be conducted in Ambon, Banda Neira, and MBD district town of Wonreli in Kisar island from July 1 to August 10," Saimima said.

He said naval ships from Singapore, Malaysia, and Australia would be sent to Maluku to support the Surya Baksara Jaya operation in the districts of West Seram, West Southeast Maluku, and Southwest Maluku.

The floating hospital`s operations will be coordinated the health ministry assisted by the Maluku health office and so will be the target areas of the Surya Baksara Jaya operation program.

"We welcome the support from the US, Australia, Malaysia and Singapore in the operation because indirectly they also promote Maluku`s tourism potential and the Sail Banda event," Saimima said.

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Singapore`s Wilmar plans US$400 mln CPO complex in E. Java

Antara News, Wednesday, February 24, 2010 21:37 WIB

Jakarta (ANTARA News/Asia Pulse) - Singapore-based Wilmar International Ltd (SGX:KD3), one of the world's largest producers of crude palm oil (CPO) hopes to start the operation of a US$400 million project in Gresik, East Java in the middle of this year.

Construction of the integrated industrial complex including cooking oil refinery, packaging, oleochemical, biodiesel and NPK fertilizer factories, began late 2009.

Wilmar is also building supporting infrastructure including a special quay and power plant, the newspaper Investor Daily said.

Source:
Business in Asia Today - Feb.24, 2010
published by Asia Pulse

Related Article:

RI, Malaysia promote new approach to CPO exports

GMF secures contracts from Singapore Airshow

Novan Iman Santosa, The Jakarta Post, Jakarta | Wed, 02/17/2010 11:27 AM

Aircraft maintenance, repair and overhaul (MRO) company PT GMF AeroAsia signed three contracts as a result of its participation at the Singapore Airshow earlier this month, the company said in a media release acquired by The Jakarta Post on Tuesday.

The contracts and deals under negotiation represent business opportunities worth $56.75 million.

GMF general marketing manager Sandi Yuliawan said the deals include a contract extension with cargo airline Cardig Air for maintenance services for its Boeing B737F.

“The contract is worth $4 million and without a time limit,” Sandi said in the release.

GMF, a subsidiary of flag carrier Garuda Indonesia, also signed maintenance cooperation contracts with the Indonesian Air Force and joint partnership deals with Aircelle and Triumph.

The cooperation with Aircelle worth $11 million, is for inspection, repair, overhaul and replacement work on the thrust reverser systems that equip Rolls-Royce Trent 700 engines for Garuda’s fleet of Airbus A330 jetliners, Aircelle said in its web site.

“The 26-month agreement will ensure that thrust reversers used on Garuda A330s are up to the latest operational standards,” said Aircelle, which makes engine nacelles.

As for Triumph, GMF, will maintain the GTCP 131-9B auxiliary power units (APUs) of the Boeing 737 Next Generation aircraft.

GMF was also in negotiation with Sriwijaya Air to maintain its fleet of eight Boeing 737 Classic, with Max Air of Nigeria for the maintenance of its six Boeing 747 wide body aircraft, and with Chinese Airlines for technical handling during line maintenance at Bali’s Ngurah Rai International Airport.

GMF was the only Indonesian company taking part in the air show although two charter airlines showcased some of their aircraft at static displays on behalf of the aircraft manufacturers.

Premiair showcased its Brazilian Embraer Legacy 600 business jet while Susi Air showed its Anglo-Italian AgustaWestland AW109S Grand helicopter, the American Cessna 208 Caravan and the Italian Piaggio Avanti II aircraft.

Bakrie Energy Plans $13b Investment In Indonesian Petrochemical Plant Over 6 Years

Jakarta Globe, Janeman Latul, February 02, 2010

33PT Bakrie Energy International said on Monday that it would invest $16 billion in a petrochemical plant over the next six years, including $300 million in the first phase this year.

Yuanita Rohali, the company’s chief financial officer, said construction was scheduled to begin in early 2011. She said about 70 percent of the $300 million of the initial investment would come from loans.

“We are currently in talks with at least four financial institutions, including banks, from West Europe,” she said, declining to offer more details.

Yuanita said the company would also offer a stake in the project to strategic investors. “There are several investors from Germany, South Korea and the Middle East that have already expressed an interest,” she said.

Bakrie Energy is a newly established unit of Bakrie group holding company PT Bakrie & Brothers. When Bakrie Energy was established in December, the group said it would be involved in commodities trading and investments in manufacturing, among other sectors.

“It’s mainly a new cash cow for the Bakrie group,” Yuanita said.

Bakrie Energy’s petrochemical project would represent the first foray into the sector by the Bakrie group, a politically connected conglomerate with interests ranging from coal mining to plantations.

“The company [Bakrie Energy] has been established in Singapore with three subsidiaries, PT Bakrie Petro International, PT Bakrie Agro Commodity International and PT Bakrie Amonium International,” Yuanita said.

She said Bakrie Amonium would responsible for the petrochemical project, while Bakrie Petro and Bakrie Agro would focus on commodities trading.

Ari S Hudaya, current president director of the group’s coal miner, PT Bumi Resources, has been appointed president director of Bakrie Energy, Yuanita said.

She said the company was already trading crude oil, palm oil, rubber and coal, and expected trading activities to contribute $500 million in revenue to the group this year.

Yuanita said Bakrie Energy was looking at possible locations for the petrochemical plant, which would likely be finalized in the third quarter.

“By early 2011 we could start construction of the project so the initial production could begin in about in two and a half years,” she said.

Yuanita said the petrochemical plant’s products would include fertilizer, plastics and fuel, and potential profit from the project had been estimated at $160 million annually.

Boustead Singapore wins S$11m in contracts from power industry

By Georgina Josepg, Channel NewsAsia | Posted: 01 February 2010 2033 hrs

SINGAPORE: Boustead Singapore has clinched two separate contracts worth S$11 million from the power industry.

The first contract is from Lilama Corporation, one of the largest state-owned infrastructure engineering corporations in Vietnam.

It is also Boustead's first project in the Vietnamese power industry.

The second contract was awarded by Toshiba Plant Systems & Services Corporation for the installation and commissioning services related to an ongoing project in Central Java, Indonesia.

Boustead said the contracts are not expected to have a material impact on its earnings per share in the current financial year ending 31 March 2010. - CNA/vm

Swedish businessmen to visit Indonesia

Antara News, Saturday, January 30, 2010 17:40 WIB

Jakarta (ANTARA News) - President directors of 35 Swedish companies will visit Indonesia on January 30 - February 2, 2010 to identify investment and business opportunities in the country, Swedish Embassy said in a media release here on Friday.

This will be the biggest Swedish business delegation ever to visit Indonesia. The visit is jointly organized by the Swedish Embassies in Jakarta and Singapore, in cooperation with the Swedish Business Associations of Indonesia and Singapore.

During their stay in Indonesia, the delegation is expected to meet with high level officials from relevant ministries and authorities, economists, the European Union delegation, as well as with representatives of the Indonesian and Swedish related business community.

Ambassador of Sweden to Indonesia Ewa Polano, heading the delegation, says that the Swedish businessmen are very happy that so many Swedish communities have signed up.

"It has been our ambition to present the Swedish president directors a visiting program that gives a unique opportunity to improve their understanding of the impressive economic and political developments in Indonesia over the last years," she said.

Indonesia has made substantial progress in the field of democracy, economic reforms and security over the last decade. Its location and size make Indonesia strategically important: the fourth largest country in the world and the largest in ASEAN.

Having been worst hit by the Asian economic crisis in 1997-98, Indonesia has now outperformed other major economies in Southeast Asia in 2009 and in fact most other countries in the world.

Investment falls, as reforms incomplete

Andi Haswidi, The Jakarta Post, Jakarta | Thu, 01/28/2010 10:36 AM | Business

Foreign direct investment, which makes up the bulk of direct investments each year, fell 27.2 percent in value last year as total cumulative investment only stood at Rp 97.38 trillion (US$10.82 billion) by the end of December.

Approximately 40 percent of total foreign investment came from Singapore, followed by the Netherlands with 11 percent, Japan with 6 percent, South Korea with 5.8 percent, the UK with 3.4 percent and the rest from other countries.

The Investment Coordinating Board (BKPM) says the main factor behind this poor performance was the state of the global economy and the time-lag between investment commitment and disbursement, reflecting complicated procedures.

In a bid to simplify and speed up bureaucratic procedures, the board has been given the legal authority to take over official functions from 15 other government departments, for example in the issuing of permits and licenses, targeting to slash the time needed to complete such procedures from 70 days to 40 days.

The administrative reform program to do this is now nearing completion, BKPM chairman Gita Wirjawan said.

“We have completed the process for the delegation of authority from 13 ministries, the last two will be signed on Wednesday,” he said Tuesday night.

The board has launched a so called One Stop Shop (PTSP) for all business licensing procedures at all its regional branches and an electronic licensing and information service (SPIPISE) -- also known as the National Single Window for Investment (NSWi).

“So far, the SPIPISE has only been implemented in Batam. The rest of the regions will soon follow,” Gita said.

The new electronic system, he said, has two benefits: bypassing complicated procedures and document handling for investment procedures while facilitating that investors need not be present in Indonesia to deal with all the licensing process, but can also complete key procedures online.

“This year we expect total investment value to pick up between 10 and 15 percent,” he said.

Sofyan Wanandi, chairman of Indonesia’s Employers Association (Apindo) which also often serves as a point of liaison for foreign investors, praised the progress of the investment reform agenda.

“If the plan goes well, it will be very useful, but we haven’t actually felt the benefit of the electronic system because it’s new,” he commented briefly.

The progress of reform in business licensing services, Gita said, was in line with the momentum of Indonesia’s improving economic fundamentals, which has led to the improvement of the country’s sovereign risk ratings.

Fitch Ratings upgraded Indonesia’s long-term foreign and local currency ratings on Monday to BB+ from BB, one level below investment grade, citing the country’s resilience in the global financial crisis.

Fitch says Indonesian companies are likely to benefit from improved profitability and external debt leveraging following recovery from the Asian financial crisis and favorable relationships between local firms and affiliated parent companies.

Moody’s Investors Service on Jan. 21 maintained its Ba2 rating for Indonesia, while Standard & Poor’s raised the outlook on its BB- rating for the country to BB+ on Oct. 23. S&P’s rating is three levels below investment grade, while Moody’s is two levels below investment grade.

“There is no reason for us not achieving investment grade within the 24 to 36 months ahead, especially if we see the [improved] trajectory of our economic growth,” Gita said.

Wiwig Santoso, head of treasury at Bank DBS Indonesia, said the Fitch Ratings upgrade had been expected by many market participants.

“We expect the pending pipeline of investment projects to materialize, on top of the already projected investments.” Wiwig said.

He added that although the corporate credit spread for Indonesia is still relatively high, the spread on Indonesian assets do offer a lucrative return for investors.

Foreign Investors to Rise Agriculture Investments in Papua

Tempo Interactive, Wednesday, 20 January, 2010 | 15:36 WIB

TEMPO Interactive, Jakarta: The Agriculture Department said more foreign and domestic investors are interested to food and agriculture potentials of Papua and China, Saudi Arabia, and Singapore are venturing opportunities to invest in food estate projects in the island.

Vice Agriculture Minister Bayu Krishnamurti said on Wednesday (20/1) “They are ready to invest, to build farms, factories and industries.”

Bayu said the investments will be directed mainly to Merauke Regency where the government have prepare 500,000 hectares of land with total land potentials up to 1.5 million hectares. The area is most suitable for rice and cane and in certain areas for garians and corn, but the land type is not very good for other kinds of crops.

The government, he said will support investments by improving infrastructures, “Some of the state budget will be allocated (for the region) especially to build infrastrctures.” But Bayu refused to reveal investment projections for the region saying there will be more than one company come to invest their money, adding that the cost sharing scheme between government and investors will depend on the business plan.”

EKO ARI WIBOWO

Solo SMEs to participate in Singapore Chingay Parade

Antara News, Thursday, January 14, 2010 15:57 WIB

Solo, C Java (ANTARA News) - Small and medium enterprises (SMEs) in Central Java`s city of Solo have prepared various handicraft goods to participate in the Chingay parade in Singapore which will take place on February 19-22, 2010.

The handicraft products, mostly Batik cloth, are expected to enliven the international event, head of the cooperatives and UKM Solo office, Febria Roekmie (Evy) said here on Thursday.

"The handicraft goods include batik masks, batik bracelets, and batik cloth are aimed to support the contingent from Solo," Roekmie said.

A total of 50 countries will take part in the annual Chingay parade, she said, adding that batik is not only used for making dresses.

Meanwhile, head of Culture and Tourism Solo office, Purnomo Subagyo said Indonesia in the event is given a quota for 150 participants while other countries such as Malaysia, China and Japan only 20 participants each at the most.