Business partnership campaign launched<\/p>\n
JAKARTA (JP): President Soeharto launched a national business
\npartnership drive on Wednesday, appealing to local businesses to
\nhelp each other compete in the global market.<\/p>\n
Partnerships between large and small enterprises will help
\nIndonesian businesses face economic globalization and will also
\nmodernize Indonesia's economy, Soeharto said.<\/p>\n
\"Without striving for economic unity, we will lose in a free
\ncompetition, which will become the rule of the game in the
\nworld's future economy,\" he said when launching the drive.<\/p>\n
\"Our stance must be clear. Abroad, as a nation, we have to win
\nthis free competition. Inside, as a nation, we have to help each
\nother so that we will become a reliable force,\" he said.<\/p>\n
The President said Indonesian businesses must benefit from
\nintensifying international trade. The determinant of winning
\nglobal competition, he added, is improving efficiency in order to
\nproduce goods and services with a competitive edge.<\/p>\n
He called on companies engaged in partnerships to improve
\nefficiency so their partnerships will benefit consumers and not
\njust the companies. \"This drive has to benefit not only companies
\nbut also all the people... for the welfare of the people.\"<\/p>\n
The partnership drive should help reduce the concentration of
\neconomic resources, which, if not reduced, could widen the gap
\nbetween large and smaller businesses, he said.<\/p>\n
Partnerships between large and small enterprises should be
\nbased on mutual benefit, he said.<\/p>\n
\"In industrialized countries, their economic base lies with
\nsmall businesses. Thus, empowering small businesses has the same
\nmeaning as broadening the base of our national economy,\" Soeharto
\nsaid, adding \"We believe that small and medium-scale businesses,
\nwhich are resilient, independent and efficient, will certainly be
\ncompetent enough to compete in the free market.\"<\/p>\n
Soeharto gave books on partnership programs and business
\nprofiles by tycoons of the Jimbaran group to Minister of
\nCooperatives and Small Enterprises Subiakto Tjakrawerdaya and
\ntycoon Anthony Salim.<\/p>\n
The forum groups 41 large business leaders who pledged in
\nJimbaran, Bali, last year to help the government eradicate
\npoverty by forging partnerships with smaller enterprises and
\ncooperatives.<\/p>\n
The group has set up PT Mitra Dana Jimbaran with paid-up
\ncapital of Rp 50 billion (US$22.2 million) to provide cheap
\nfinancing to the targeted enterprises and cooperatives.<\/p>\n
Sudwikatmono, president of the country's largest cement
\nproducer, PT Indocement Tunggal Prakarsa, said the 41 business
\nleaders have committed to form partnerships with 99,662 small
\nenterprises and cooperatives across the country, with a combined
\npartnership value of Rp 2.9 trillion.<\/p>\n
PT Astra International leads the gang with a Rp 732.4 billion.
\ncommitment to build partnerships with 28,802 small firms and
\n4,958 cooperatives.<\/p>\n
PT Bank Danamon has committed to forge partnerships with 50
\nsmall firms to the tune of Rp 700 billion. It is followed by the
\nSalim Group, which has promised 22,896 small firms and 992
\ncooperatives to join a partnership worth Rp 508.2 billion.<\/p>\n
Sudwikatmono said that as of last year, 35 business groups
\nhave already formed partnerships with 64,478 small firms and
\ncooperatives, involving capital of Rp 2.8 trillion.<\/p>\n
Astra International again led the pack with existing
\npartnerships valued at Rp 1.6 trillion and involving 783 small
\nand medium-sized firms. The Salim Group has Rp 709.8 billion in
\n38,932 small firms and 3,884 cooperatives. Gajah Tunggal has a
\npartnership valued at Rp 132.7 billion with one small firm and 74
\ncooperatives.<\/p>\n
President Soeharto witnessed the signing of the partnership
\ncommitment document. Aburizal Bakrie of the Bakrie Group
\nrepresented the 41 large businesses. Moechtar Sany, from the
\nmultibusiness cooperative Cipta Bangun Usaha in Lampung,
\nrepresented the smaller firms and cooperatives.<\/p>\n
Soeharto also witnessed the signing of commitment document on
\nhuman resources development and transfer of technology. T.P.
\nRachmat of Astra International signed for six large businesses,
\nand Suharman, a small-scale entrepreneur from West Sumatra,
\nrepresented the smaller firms and cooperatives.<\/p>\n
Soeharto's son, Bambang Trihatmodjo, who is also chairman of
\nthe Bimantara Group, praised the drive as a way to transfer
\ntechnology and management skills from large entities to smaller
\nbusinesses.<\/p>\n
Eka Tjipta Widjaja, chairman of the Sinar Mas Group, called on
\npeople with annual net incomes of Rp 100 million (US$44,520) or
\nmore to heed the government's call to donate 2 percent of their
\nincome to the government-sponsored poverty alleviation program.<\/p>\n
\"Those who do not want to donate have no morality -- including
\nforeign investors here. They should realize...they earn a living
\nhere. If they do not donate 2 percent of their incomes, they
\nshould be ashamed,\" Eka said after the ceremony. (rid)<\/p>",
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"sponsor": "Okusi Associates",
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